Document:

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                                                                     EXHIBIT 4.2

                        BAY VIEW TRANSACTION CORPORATION
                                   Transferor

                         BAY VIEW ACCEPTANCE CORPORATION
                                    Servicer

                      DEUTSCHE BANK TRUST COMPANY AMERICAS
                     Indenture Trustee and Back-up Servicer

                      SYSTEMS & SERVICES TECHNOLOGIES, INC.
                                Standby Servicer

                                       and

                            WILMINGTON TRUST COMPANY
                                  Owner Trustee

                          TRUST AND SERVICING AGREEMENT

                           Dated as of August 1, 2003

                         Bay View 2003-LJ-1 Owner Trust

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                                TABLE OF CONTENTS

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<S>                                                                                                            <C>
ARTICLE I Creation of Trust.......................................................................................1

      SECTION 1.01       Name.....................................................................................1
      SECTION 1.02       Office...................................................................................1
      SECTION 1.03       Purposes and Powers......................................................................1
      SECTION 1.04       Appointment of Owner Trustee.............................................................2
      SECTION 1.05       Initial Capital Contribution of Trust Estate.............................................2
      SECTION 1.06       Declaration of Trust.....................................................................2
      SECTION 1.07       Title to Trust Property..................................................................3
      SECTION 1.08       Situs of Trust...........................................................................3

ARTICLE II Definitions............................................................................................3

      SECTION 2.01       Definitions..............................................................................3
      SECTION 2.02       Usage of Terms..........................................................................22
      SECTION 2.03       Cut-off Date and Record Date............................................................22
      SECTION 2.04       Section References......................................................................22
      SECTION 2.05       Compliance Certificates.................................................................22
      SECTION 2.06       Directions..............................................................................23
      SECTION 2.07       Calculations............................................................................23
      SECTION 2.08       Action by or Consent of Noteholders.....................................................23
      SECTION 2.09       Material Adverse Effect.................................................................23

ARTICLE III Conveyance of Receivables............................................................................23

      SECTION 3.01       Conveyance of Receivables...............................................................23

ARTICLE IV Acceptance by Trustee.................................................................................25

      SECTION 4.01       Acceptance by Trustee...................................................................25

ARTICLE V Information Delivered to the Rating Agencies...........................................................25

      SECTION 5.01       Information Delivered to the Rating Agencies............................................25

ARTICLE VI Agent for Service.....................................................................................26

      SECTION 6.01       Agent for Service.......................................................................26

ARTICLE VII The Receivables......................................................................................26

      SECTION 7.01       Representations and Warranties of Transferor............................................26
      SECTION 7.02       Repurchase Upon Breach..................................................................27
      SECTION 7.03       Custody of Receivable Files.............................................................28
      SECTION 7.04       Duties of Servicer as Custodian.........................................................28
      SECTION 7.05       Instructions; Authority to Act..........................................................29

ARTICLE VIII Administration and Servicing of Receivables.........................................................29

      SECTION 8.01       Duties of Servicer......................................................................29
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TRUST AND SERVICING AGREEMENT

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      SECTION 8.02       The Back-up Servicer....................................................................30
      SECTION 8.03       The Standby Servicer....................................................................32
      SECTION 8.04       Retention and Termination of Servicer...................................................34
      SECTION 8.05       Collection of Receivable Payments.......................................................35
      SECTION 8.06       Realization Upon Receivables............................................................36
      SECTION 8.07       Physical Damage Insurance...............................................................37
      SECTION 8.08       Maintenance of Security Interests in Financed Vehicles..................................38
      SECTION 8.09       Covenants of Servicer...................................................................42
      SECTION 8.10       Purchase of Receivables Upon Breach.....................................................42
      SECTION 8.11       Servicing Fee...........................................................................43
      SECTION 8.12       Servicer's Certificate..................................................................44
      SECTION 8.13       Annual Statement as to Compliance; Notice of Default....................................45
      SECTION 8.14       Annual Independent Certified Public Accountant's Report.................................45
      SECTION 8.15       Access to Certain Documentation and Information Regarding Receivables...................46
      SECTION 8.16       Servicer Expenses.......................................................................46
      SECTION 8.17       Reports to Noteholders..................................................................47
      SECTION 8.18       Fidelity Bond...........................................................................47
      SECTION 8.19       Delegation of Duties....................................................................47

ARTICLE IX Collections; Distributions to Noteholders and Certificateholders......................................48

      SECTION 9.01       Lock-Box Account........................................................................48
      SECTION 9.02       Collection Account......................................................................49
      SECTION 9.03       Collections.............................................................................51
      SECTION 9.04       Additional Deposits.....................................................................52
      SECTION 9.05       Application of Funds....................................................................53
      SECTION 9.06       Spread Account..........................................................................53
      SECTION 9.07       Advances................................................................................54
      SECTION 9.08       No Segregation of Moneys; No Interest...................................................54
      SECTION 9.09       Accounting and Reports to the Certificateholder, the Internal Revenue
                         Service and Others......................................................................54
      SECTION 9.10       Payahead Account........................................................................55
      SECTION 9.11       Certain Reimbursements to the Servicer..................................................55
      SECTION 9.12       Securities Accounts.....................................................................56

ARTICLE X Voting Rights and Other Actions........................................................................56

      SECTION 10.01      Prior Notice with Respect to Certain Matters............................................56
      SECTION 10.02      Action with Respect to Certain Matters..................................................57
      SECTION 10.03      Restrictions on Certificateholder's Power...............................................57
      SECTION 10.04      Control.................................................................................58
      SECTION 10.05      Rights of Insurer.......................................................................58
      SECTION 10.06      Registration of Transfer and Exchange of the Certificate................................58

ARTICLE XI The Certificate.......................................................................................58

      SECTION 11.01      Initial Ownership.......................................................................58
      SECTION 11.02      The Certificates........................................................................59
      SECTION 11.03      Authentication of Certificate...........................................................59
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      SECTION 11.04      Registration of Transfer and Exchange of Certificate....................................59
      SECTION 11.05      Mutilated, Destroyed, Lost, or Stolen Certificates......................................60
      SECTION 11.06      Persons Deemed Certificateholder........................................................60
      SECTION 11.07      Covenants of the Certificateholder......................................................61

ARTICLE XII The Transferor.......................................................................................62

      SECTION 12.01      Representations and Undertakings of Transferor..........................................62
      SECTION 12.02      Liability of Transferor; Indemnities....................................................66
      SECTION 12.03      Merger or Consolidation of, or Assumption of the Obligations of Transferor..............67
      SECTION 12.04      Limitation on Liability of Transferor and Others........................................67
      SECTION 12.05      Transferor May Own Notes................................................................68

ARTICLE XIII The Servicer; Back-Up Servicer; and Standby Servicer................................................68

      SECTION 13.01      Representations and Warranties..........................................................68
      SECTION 13.02      Indemnities of Servicer, Back-up Servicer and Standby Servicer..........................74
      SECTION 13.03      Merger or Consolidation of, or Assumption of the Obligations of the
                         Servicer, Back-up Servicer and Standby Servicer.........................................76
      SECTION 13.04      Limitation on Liability of Servicer and Others..........................................78
      SECTION 13.05      Servicer, Back-up Servicer and Standby Servicer Not to Resign...........................78
      SECTION 13.06      Delegation of Duties....................................................................79

ARTICLE XIV Servicer and Standby Servicer Defaults...............................................................79

      SECTION 14.01      Events of Servicer Default..............................................................79
      SECTION 14.02      Standby Servicer Default................................................................83
      SECTION 14.03      Appointment of Successors...............................................................86
      SECTION 14.04      Notice of Events of Servicer Default....................................................89
      SECTION 14.05      Waiver of Past Defaults.................................................................89

ARTICLE XV The Owner Trustee.....................................................................................90

      SECTION 15.01      Duties of Owner Trustee.................................................................90
      SECTION 15.02      Action upon Instruction.................................................................91
      SECTION 15.03      Accounting and Records to the Certificateholder, the Internal Revenue
                         Service and Others......................................................................93
      SECTION 15.04      Signature on Returns; Tax Matters Partner...............................................94
      SECTION 15.05      Owner Trustee's Certificate.............................................................94
      SECTION 15.06      Trust's Assignment of Purchased Receivables.............................................94
      SECTION 15.07      Certain Matters Affecting the Owner Trustee.............................................95
      SECTION 15.08      Owner Trustee Not Liable for Certificate or Receivables.................................96
      SECTION 15.09      Owner Trustee May Own Notes.............................................................97
      SECTION 15.10      Owner Trustee's and Indenture Trustee's Fees and Expenses; Indemnification..............97
      SECTION 15.11      Eligibility Requirements for Owner Trustee..............................................98
      SECTION 15.12      Resignation or Removal of Owner Trustee.................................................98
      SECTION 15.13      Successor Owner Trustee.................................................................99
      SECTION 15.14      Merger or Consolidation of Owner Trustee...............................................100
      SECTION 15.15      Appointment of Co-Trustee or Separate Owner Trustee....................................100
</Table>

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      SECTION 15.16      Representations and Warranties of Owner Trustee........................................101

ARTICLE XVI Termination.........................................................................................102

      SECTION 16.01      Termination of the Trust...............................................................102
      SECTION 16.02      Optional Disposition of All Receivables................................................103

ARTICLE XVII Miscellaneous Provisions...........................................................................104

      SECTION 17.01      Amendment..............................................................................104
      SECTION 17.02      Protection of Title to Trust...........................................................106
      SECTION 17.03      Limitation on Rights of Certificateholders.............................................108
      SECTION 17.04      Governing Law..........................................................................109
      SECTION 17.05      Notices................................................................................109
      SECTION 17.06      Severability of Provisions.............................................................110
      SECTION 17.07      Assignment.............................................................................111
      SECTION 17.08      Insurer................................................................................111
      SECTION 17.09      Nonpetition Covenants..................................................................111
      SECTION 17.10      No Recourse............................................................................111
      SECTION 17.11      No Legal Title to Trust Property in Certificateholder..................................111
      SECTION 17.12      Further Assurances.....................................................................111
      SECTION 17.13      No Waiver; Cumulative Remedies.........................................................112
      SECTION 17.14      Third-Party Beneficiaries..............................................................112
      SECTION 17.15      Actions by  Noteholders or Certificateholders..........................................112
      SECTION 17.16      Corporate Obligation...................................................................113
      SECTION 17.17      Covenant Not File a Bankruptcy Petition................................................113
      SECTION 17.18      Independence of the Servicer, Back-up Servicer and Standby Servicer....................113
      SECTION 17.19      No Joint Venture.......................................................................113
      SECTION 17.20      Headings...............................................................................113
      SECTION 17.21      Entire Agreement.......................................................................114
      SECTION 17.22      Limitation of Liability of Owner Trustee...............................................114
      SECTION 17.23      Effect of Policy Expiration Date.......................................................114
      SECTION 17.24      Counterparts...........................................................................114
      SECTION 17.25      Consent to Jurisdiction................................................................114
      SECTION 17.26      Trial by Jury Waived...................................................................115
      SECTION 17.27      Sarbanes-Oxley Certifications..........................................................116

A.       Standby Servicing And Transfer Expenses..................................................................1
</Table>

EXHIBIT 1             --       Owner Trustee's Certificate Pursuant to Section
                               15.05 (Assignment to BVAC)
EXHIBIT 2             --       Owner Trustee's Certificate Pursuant to Section
                               15.05 (Assignment to Servicer)
EXHIBIT 3             --       Servicer's Certificate
EXHIBIT A             --       Form of Certificate of Trust
EXHIBIT B             --       Form of Certificate

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EXHIBIT C             --       Confirmation of Computer Tape (Back-up Servicer)
EXHIBIT D             --       Confirmation of Computer Tape (Standby Servicer)
EXHIBIT E             --       Exception List Under Section 8.08(b)
EXHIBIT F             --       Form of Certification of Indenture Trustee
                               Pursuant to Section 8.08(b)(iv)
EXHIBIT G             --       Form of Instructional Letter of BVAC Pursuant to
                               Section 8.08(b)(v)
SCHEDULE A            --       Schedule of Receivables
SCHEDULE B            --       Location of Receivables
SCHEDULE C            --       Standby Servicer Schedule
SCHEDULE D            --       Delivery Requirements

TRUST AND SERVICING AGREEMENT

                                       v

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         TRUST AND SERVICING AGREEMENT 013558.0118:245055.08 This TRUST AND
SERVICING AGREEMENT, dated as of August 1, 2003, is made with respect to the
formation of the Bay View 2003-LJ-1 Owner Trust, among BAY VIEW TRANSACTION
CORPORATION, a Delaware corporation, as transferor (the "Transferor"), BAY VIEW
ACCEPTANCE CORPORATION, a Nevada corporation, as servicer (the "Servicer"),
DEUTSCHE BANK TRUST COMPANY AMERICAS, a New York banking corporation (the
"Indenture Trustee" and the "Back-up Servicer"), SYSTEMS & SERVICES
TECHNOLOGIES, INC., a Delaware corporation (the "Standby Servicer"), and
WILMINGTON TRUST COMPANY, a Delaware banking corporation, as owner trustee (the
"Owner Trustee").

         WITNESSETH THAT: In consideration of the premises and of the mutual
agreements herein contained, the parties hereto agree as follows:

                                   ARTICLE I

                                CREATION OF TRUST

         Upon the execution of this Agreement by the parties hereto and the
prompt filing thereafter of the Certificate of Trust in the State of Delaware,
there is hereby created the Bay View 2003-LJ-1 Owner Trust.

         SECTION 1.01 Name. The Trust created hereby shall be known as "Bay View
2003-LJ-1 Owner Trust", in which name the Owner Trustee may conduct the business
of the Trust, make and execute contracts and other instruments on behalf of the
Trust and sue and be sued on behalf of the Trust. The Trust shall constitute a
statutory trust within the meaning of Section 3801(a) of the Delaware Statutory
Trust Act for which the Owner Trustee has filed a certificate of trust with the
Secretary of State of the State of Delaware pursuant to Section 3810(a) of the
Delaware Statutory Trust Act.

         SECTION 1.02 Office. The office of the Trust shall be in care of the
Owner Trustee at its Corporate Trust Office or at such other address as the
Owner Trustee may designate by written notice to the Certificateholder, the
Noteholders, the Servicer, the Transferor, the Insurer, the Standby Servicer,
and the Indenture Trustee.

         SECTION 1.03 Purposes and Powers. The purpose of the Trust is to engage
in the following activities:

         (i)      to issue the Notes pursuant to the Indenture and the
                  Certificate pursuant to this Agreement and to sell or transfer
                  the Notes and the Certificate in one or more transactions;

         (ii)     with the proceeds of the sale of the Notes and the
                  Certificate, to fund the Spread Account pursuant to the terms
                  of the Spread Account Agreement and to purchase the
                  Receivables pursuant to this Agreement;

         (iii)    to assign, grant, transfer, pledge, mortgage and convey the
                  Trust estate pursuant to the Indenture and to hold, manage and
                  distribute to the Certificateholder pursuant to the terms of
                  this Agreement any portion of

TRUST AND SERVICING AGREEMENT

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                  the Trust estate released from the Lien of, and remitted to
                  the Trust pursuant to, the Indenture;

         (iv)     to enter into and perform its obligations under the Basic
                  Documents to which it is to be a party;

         (v)      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; and

         (vi)     subject to compliance with the related documents, to engage in
                  such other activities as may be required in connection with
                  conservation of the Trust estate and the making of
                  distributions to the Certificateholder, the Noteholders, the
                  Insurer and the others specified in this Agreement and the
                  Indenture.

         The Trust is hereby authorized to engage in the foregoing activities.
The Trust 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 1.04 Appointment of Owner Trustee. The Transferor hereby
appoints the Owner Trustee as trustee of the Trust effective as of the date
hereof, to have all the rights, powers and duties set forth herein and in the
Delaware Statutory Trust Act.

         SECTION 1.05 Initial Capital Contribution of Trust Estate. The
Transferor hereby sells, assigns, transfers, conveys and sets over to the Trust,
as of the date hereof, the Trust estate. The Owner Trustee on behalf of the
Trust hereby acknowledges receipt in trust from the Transferor, as of the date
hereof, of the foregoing contribution, which shall constitute the initial Trust
estate. The Transferor shall pay the organizational expenses of the Trust 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.

         SECTION 1.06 Declaration of Trust. The Owner Trustee hereby declares
that it will hold the Trust estate in trust upon and subject to the conditions
set forth herein for the use and benefit of the Certificateholder, subject to
the obligations of the Trust under the other related documents. It is the
intention of the parties hereto that the Trust constitute a statutory trust
under Delaware law and that this Agreement constitute the governing instrument
of such trust. It is the intention of the parties hereto that solely for
federal, state and local income and franchise tax purposes (i) so long as there
is a sole Certificateholder, the Trust shall be disregarded as a separate
entity, with the assets of the Trust being treated as the assets of such sole
Certificateholder, and the Notes being non-recourse debt of the sole
Certificateholder, and (ii) if there is more than one Certificateholder, the
Trust shall be treated as a partnership, with the assets of the partnership
being the Trust estate, the partners of the partnership being the
Certificateholders and the Notes being non-recourse debt of the partnership. The
Trust shall not elect to be treated as an association under Treasury Regulations
Section 301.7701-3(a) for federal income tax purposes. The parties agree that
unless otherwise required by appropriate tax authorities, the sole
Certificateholder or the Administrator on behalf of the Trust will file or

TRUST AND SERVICING AGREEMENT

                                       2
<PAGE>

cause to be filed annual or other necessary returns, reports and other forms
consistent with the characterization of the Trust as provided in the second
preceding sentence for such tax purposes. The Owner Trustee, the initial
Certificateholder and each successor Certificateholder (as a condition to
acquiring its Certificate) agree to disregard the Trust as a separate entity (if
there is one Certificateholder) or to treat it as a partnership (if there are
two or more Certificateholders) and to treat the Notes as indebtedness for
purposes of federal, state, and local income or franchise taxes.

         SECTION 1.07 Title to Trust Property. Legal title to all of the Trust
estate shall be vested at all times in the Trust as a separate legal entity
except where applicable law in any jurisdiction requires title to any part of
the Trust estate to be vested in a trustee or trustees, in which case title
shall be deemed to be vested in the Owner Trustee, a co-trustee and/or a
separate trustee, as the case may be.

         SECTION 1.08 Situs of Trust. The Trust will be located and administered
in the State of Delaware. Any bank accounts maintained by the Owner Trustee on
behalf of the Trust shall be located in the State of Delaware. The Trust shall
not have any employees in any state other than Delaware; provided, however, that
nothing herein shall restrict or prohibit the Owner Trustee from having
employees within or without the State of Delaware. Payments, if any, will be
received by the Trust only in Delaware, and payments, if any, will be made by
the Trust only from Delaware. The only office of the Trust will be at the
Corporate Trust Office in Delaware.

                                   ARTICLE II

                                   DEFINITIONS

         SECTION 2.01 Definitions. Capitalized terms which are used in this
Agreement but are not defined herein shall have the meanings provided in the
Indenture. Whenever used in this Agreement, the following words and phrases,
unless the context otherwise requires, shall have the following meanings:

         "Accrual Period" means, with respect to each Receivable and the related
due date, the immediately preceding calendar month. For purposes of making
calculations pursuant to this Agreement and the Indenture, interest shall be
computed on each Receivable on the basis of a 365-day year over the actual
number of days elapsed for purposes of this definition.

         "Additional Funds Available" means, with respect to any Payment Date,
the sum of (i) the Deficiency Claim Amount, if any, received by the Indenture
Trustee with respect to that Payment Date plus (ii) the Insurer Optional
Deposit, if any, received by the Indenture Trustee with respect to that Payment
Date plus (iii) the payment of any amounts with respect to a Preference Claim
pursuant to the Policy.

         "Accrued Interest" means all interest accrued on the Receivables prior
to the opening of business on the day following the Cut-off Date.

         "Administration Agreement" means the Administration Agreement dated as
of August 1, 2003 between the Trust and the Administrator and acknowledged by
the Indenture Trustee.

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         "Administrator" means the Administrator under the Administration
Agreement, which is initially BVAC, and its successors and assigns thereunder.

         "Advance" means, with respect to a Receivable and with respect to a
Collection Period, the amount that the Servicer is required to advance pursuant
to Section 9.07.

         "Affiliate" means, with respect to any specified Person, any other
Person who directly or indirectly controls, or is under direct or indirect
common control with such specified Person. For the purposes of this definition,
"control" when used with respect to any 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.

         "Agreement" means this Trust and Servicing Agreement executed by the
Transferor, the Servicer, the Indenture Trustee, the Back-up Servicer, the
Standby Servicer and the Owner Trustee, and all amendments and supplements
hereto entered into from time to time in accordance with the terms hereof.

         "Amount Available" means with respect to any Payment Date, the sum of
(x) Available Funds for such Payment Date and (y) Additional Funds Available, if
any, for such Payment Date.

         "Amount Financed" means, with respect to a Receivable, the aggregate
amount originally advanced under the Receivable toward the purchase price of the
Financed Vehicle.

         "Annual Percentage Rate" or "APR" of a Receivable means the annual rate
of finance charges stated in the Receivable exclusive of prepaid finance
charges. If after the Closing Date, the annual rate with respect to such
Receivable as of the Closing Date, is reduced as a result of (i) an insolvency
proceeding involving the related Obligor or (ii) pursuant to the Soldiers' and
Sailors' Civil Relief Act of 1940, as amended, the Annual Percentage Rate or APR
shall refer to such reduced rate.

         "Assignment" means the assignment dated as of August 1, 2003 by BVAC to
the Transferor substantially in the form of Annex A to the Purchase Agreement,
pursuant to which the Receivables are conveyed to the Transferor.

         "Authorized Newspaper" means a newspaper of general circulation in the
Borough of Manhattan, the City of New York, printed in the English language and
customarily published on each Business Day, whether or not published on
Saturdays, Sundays and holidays.

         "Available Funds" means with respect to any Payment Date, each of the
following then on deposit in any Trust Accounts with respect to the related
Collection Period, (i) Scheduled Receivable Payments (including Modified
Scheduled Receivable Payments) and prepayments on Receivables (other than
Payaheads) received by the Servicer; (ii) any net withdrawal from the Payahead
Account; (iii) interest earned on funds held in the Collection Account and the
Payahead Account; (iv) Liquidation Proceeds; (v) Advances; (vi) Purchase Amounts
and/or any indemnity payments made in lieu of or otherwise relating to such
Purchase Amounts in accordance with the terms of Sections 7.02, 8.08 and 8.10 of
this Agreement, (vii) proceeds from any insurance policies related to the
Receivables or Financed Vehicles, (viii) Recoveries with

TRUST AND SERVICING AGREEMENT

                                       4
<PAGE>

respect to Charged-off Receivables and (ix) the Redemption Price if, the
Servicer exercise its rights pursuant to Section 16.02.

         "Available Spread Amount" means, on any Payment Date, the amount on
deposit in the Spread Account, including any income or gain from any investment
of funds in the Spread Account, net of any losses from such investment before
giving effect to deposits into or withdrawals from the Spread Account pursuant
to the Indenture and the Spread Account Agreement on such Payment Date.

         "Back-up Servicer" means Deutsche Bank Trust Company Americas, as the
back-up servicer of the Receivables, and each successor to Deutsche Bank Trust
Company Americas (in the same capacity) appointed hereunder.

         "Bank" means Bay View Bank, N.A. and its successors and assigns.

         "Back-up Servicer Fee" means, for any Collection Period, the fee
payable to the Back-up Servicer for services rendered during such Collection
Period. If the Back-up Servicer shall have taken on the role as Servicer
hereunder, it will be entitled to the Servicing Fee, and it shall not be
entitled to a Back-up Servicer Fee.

         "Basic Documents" means this Agreement, the Indenture, the Purchase
Agreement, the Assignment, the Insurance Agreement, the Indemnification
Agreement, the Spread Account Depositor Trust Agreement, the Spread Account
Agreement, the Premium Letter, the Certificate Pledge Agreement, the Stock
Pledge Agreement, the Lock-Box Agreement, the Administration Agreement, the
Custodian Agreement, the Transfer and Contribution Agreement, the organizational
documents of the Transferor and other documents and certificates delivered in
connection therewith.

         "Business Day" means, unless otherwise specified, any day other than a
Saturday, a Sunday or a day on which banking institutions in Wilmington,
Delaware, New York, New York, San Mateo, California or St. Joseph, Missouri or
any other location of the Servicer, any successor Servicer, successor Standby
Servicer, successor Owner Trustee, or successor Indenture Trustee, shall be
authorized or obligated by law, executive order, or governmental decree to be
closed.

         "BVAC" means Bay View Acceptance Corporation, a Nevada corporation, and
its successors and assigns, other than in its capacity as Servicer.

         "BVTC" means Bay View Transaction Corporation, a Delaware Corporation,
and its successors and assigns, other than in its capacity or Transferor.

         "Casualty" means, with respect to any Financed Vehicle, the total loss
or destruction of such Financed Vehicle.

         "Certificate" means a certificate executed on behalf of the Trust and
authenticated by the Owner Trustee substantially in the form attached hereto as
Exhibit B, which represents ownership of a 100% interest in the Trust.

TRUST AND SERVICING AGREEMENT

                                       5
<PAGE>

         "Certificate of Trust" means the Certificate of Trust of the Trust in
substantially the form of Exhibit A hereto.

         "Certificate Pledge Agreement" means the Certificate Pledge and
Collateral Agency Agreement, dated as of September 1, 2002, among the
Transferor, the Spread Account Depositor, the Insurer and Deutsche Bank Trust
Company Americas, as collateral agent, as the same may be amended, supplemented,
or otherwise modified from time to time in accordance with the terms thereof.

         "Certificate Register" means the register maintained by the Owner
Trustee pursuant to Section 11.03.

         "Certificateholder" or "Holder" means the Person in whose name the
Certificate shall be registered in the Certificate Register.

         "Charged-Off Receivable" means, for any Collection Period, a Receivable
as to which any of the following has occurred: (i) any payment, or part thereof,
is 120 days or more delinquent as of the last day of such Collection Period
(without giving effect to any Advances), (ii) the Financed Vehicle that secures
the Receivable has been repossessed for at least 90 days, or (iii) the Servicer
has determined that the Receivable is uncollectible in accordance with the
Servicer's customary practices on or before the last day of such Collection
Period; provided, however, that "Charged-Off Receivable" shall not include any
Receivable that is to be repurchased pursuant to Section 7.02 or purchased
pursuant to Section 8.10; provided further, that any Advances made with respect
to a Receivable shall not be considered in the determination of the delinquency
status of such Receivable.

         "Closing Date" means August 14, 2003.

         "Code" means the Internal Revenue Code of 1986, as amended from time to
time, and Treasury Regulations promulgated thereunder.

         "Collateral Agent" shall mean Deutsche Bank Trust Company Americas, in
its capacity as collateral agent, including its successors in interest, until
and unless a successor Person shall become the Collateral Agent pursuant to the
Spread Account Agreement, and thereafter, "Collateral Agent" shall mean such
successor Person.

         "Collected Interest" on a Receivable, as of the last day of a
Collection Period, means the portion of all payments received by the Servicer
allocable to interest relating to such Collection Period.

         "Collection Account" means the account designated as such, established
and maintained pursuant to Section 9.02.

         "Collection Period" means, with respect to a Payment Date or a
Redemption Date, the calendar month immediately preceding the calendar month in
which such Payment Date or Redemption Date occurs, until the Trust shall
terminate pursuant to Article XVI.

TRUST AND SERVICING AGREEMENT

                                       6
<PAGE>

         "Computer Tape" means a computer tape or diskette (or other means of
electronic transmission acceptable to the Back-up Servicer, the Standby Servicer
and the Insurer) in a format acceptable to the Back-up Servicer, the Standby
Servicer and the Insurer.

         "Controlling Party" means the Insurer, so long as no Insurer Default
shall have occurred and be continuing and so long as the Insurance Agreement has
not terminated, and the Indenture Trustee, at the direction of the Majority
Noteholders, for so long as an Insurer Default shall have occurred and is
continuing or if the Insurance Agreement has terminated.

         "Corporate Trust Office" means the office of the Owner Trustee at which
its corporate trust business shall, at any particular time, be administered,
which office at the date of the execution of this Agreement is located at Plaza
Building, 1st Floor, 301 West 11th Street, Wilmington, Delaware 19890-0001;
Attention: Corporate Trust Department; Telecopy (302) 636-6000 or at such other
address as the Owner Trustee may designate from time to time by notice to the
Certificateholder, the Transferor, the Servicer, the Insurer, the Standby
Servicer, and the Indenture Trustee.

         "Custodian" means initially BVAC or any successor Custodian, in each
case, in accordance with the terms of the Custodian Agreement.

         "Custodian Agreement" means the Custodian Agreement, dated as of August
1, 2003, among BVAC, as custodian, the Trust, the Insurer and the Indenture
Trustee, as the same may be amended, supplemented or otherwise modified from
time to time in accordance with the terms thereof.

         "Cut-off Date" means July 31, 2003.

         "Dealer" means the seller of a Financed Vehicle, who originated and
assigned the related Receivable to BVAC under an existing agreement with BVAC or
the Bank, as applicable, who arranged for a loan from BVAC or the Bank, as
applicable, to the purchaser of a Financed Vehicle under an existing agreement
with BVAC or the Bank, as applicable.

         "Deemed Cured" has the meaning set forth in the Spread Account
Agreement.

         "Deficiency Claim Amount" means, for any Payment Date, the amount,
after taking into account the application on such Payment Date of the Available
Funds on such Payment Date, equal to any shortfall in the full payment of
amounts described in clauses (i) through (vi) of Section 8.05(a) of the
Indenture, to the extent that such amount is available for the particular
purpose on such Payment Date in accordance with the provisions of the Spread
Account Agreement.

         "Deficiency Claim Date" means, with respect to any Payment Date, a date
no later than the fourth Business Day immediately preceding such Payment Date.

         "Deficiency Notice" has the meaning ascribed thereto in Section 9.05(b)
hereof.

         "Delaware Statutory Trust Act" means the Delaware Statutory Trust Act,
12 Del. C. Sections .3801 et seq.

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<PAGE>

         "Delivery" means with respect to assets held in the Trust Accounts:

         (1) (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 UCC (other than certificated securities),
                  transfer thereof:

                  (i)      by physical delivery to the Indenture Trustee,
                           indorsed by an effective indorsement to, or
                           registered in the name of, the Indenture Trustee or
                           its nominee or indorsed in blank by an effective
                           indorsement;

                  (ii)     by the Indenture Trustee continuously maintaining
                           possession of such instrument; and

                  (iii)    by the Indenture Trustee continuously indicating by
                           book-entry that such instrument is credited to the
                           related Trust Account;

         (b)      with respect to a "certificated security" (as defined in
                  Section 8-102(a)(4) of the UCC), transfer thereof:

                  (i)      by physical delivery of such certificated security to
                           the Indenture Trustee, provided that if the
                           certificated security is in registered form, it shall
                           be indorsed by an effective indorsement to, or
                           registered in the name of, the Indenture Trustee or
                           indorsed in blank by an effective indorsement;

                  (ii)     by the Indenture Trustee continuously maintaining
                           possession of such certificated security; and

                  (iii)    by the Indenture Trustee continuously indicating by
                           book-entry that such certificated security is
                           credited to the related Trust Account;

         (c)      with respect to any security issued by the U.S. Treasury, the
                  Federal Home Loan Mortgage Corporation, the Government
                  National Mortgage Association or the Federal National Mortgage
                  Association 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 UCC, transfer thereof:

                  (i)      by (x) book-entry credit of such property to an
                           appropriate book-entry account maintained with a
                           Federal Reserve Bank by a securities intermediary
                           which is also a "participant" pursuant to applicable
                           federal regulations, the

TRUST AND SERVICING AGREEMENT

                                       8
<PAGE>

                           making by such securities intermediary of entries in
                           its books and records to a "securities account" (as
                           defined in Section 8-501(a) of the UCC) the Indenture
                           Trustee is the holder of the "security entitlement"
                           (as defined in Section 8-102(a)(17) of the UCC); and

                  (ii)     by the Indenture Trustee continuously indicating by
                           book-entry that property is credited to the related
                           Trust Account;

         (d)      with respect to any asset in the Trust Accounts that is an
                  "uncertificated security" (as defined in Section 8-102(a)(18)
                  of the UCC) and that is not governed by clause (c) above or
                  clause (e) below:

                  (i)      transfer thereof:

                           (A)      by registration to the Indenture Trustee as
                                    the registered owner thereof, on the books
                                    and records of the issuer thereof; or

                           (B)      by another Person (not a securities
                                    intermediary) who either becomes the
                                    registered owner of the uncertificated
                                    security on behalf of the Indenture Trustee,
                                    or having become the registered owner,
                                    acknowledges that it holds for the Indenture
                                    Trustee; or

                  (ii)     the issuer thereof has agreed that it will comply
                           with instructions originated by the Indenture Trustee
                           with respect to such uncertificated security without
                           further consent of the registered owner thereof; or

         (e)      in the case of each security in the custody of or maintained
                  on the books of a clearing corporation (as defined in Section
                  8-102(a)(5)) or its nominee, by causing:

                  (i)      the relevant clearing corporation to credit such
                           security to a securities account of the Indenture
                           Trustee at such clearing corporation; and

                  (ii)     the Indenture Trustee to continuously indicate by
                           book-entry that such security is credited to the
                           related Trust Account;

         (f)      with respect to the security entitlement to be transferred to
                  or for the benefit of the Indenture Trustee and not governed
                  by clauses (c) or (e) above: if a securities intermediary (A)
                  indicates by book entry that the underlying "financial asset"
                  (as defined in Section

TRUST AND SERVICING AGREEMENT

                                       9
<PAGE>

                  8-102(a)(9) of the UCC) has been credited to be the Indenture
                  Trustee's securities account, (B) receives a financial asset
                  from the Indenture Trustee or acquires the underlying
                  financial asset for the Indenture Trustee, and in either case,
                  accepts it for credit to the Indenture Trustee's securities
                  account or (C) becomes obligated under other law, regulation
                  or rule to credit the underlying financial asset to the
                  Indenture Trustee's securities account, the making by the
                  securities intermediary of entries on its books and records
                  continuously identifying such security entitlement as
                  belonging to the Indenture Trustee; and continuously
                  indicating by book-entry that such security entitlement is
                  credited to the Indenture Trustee's securities account; and by
                  the Indenture Trustee continuously indicating by book-entry
                  that such security entitlement (or all rights and property of
                  the Indenture Trustee representing such securities
                  entitlement) is credited to the related Trust Account; and/or

       (2)    In the case of any such asset, such additional or alternative
              procedures as are now or may hereafter become appropriate to
              effect the complete transfer of ownership of, or control over any
              such assets in the Trust Accounts to the Indenture Trustee free
              and clear of any adverse claims, consistent with changes in
              applicable law or regulations or the interpretation thereof.

In each case of delivery contemplated herein, the Indenture Trustee shall make
appropriate notations on its records, and shall cause the same to be made on the
records of its nominees, indicating that securities are held in trust pursuant
to and as provided in this Agreement.

         "Determination Date" means, for each Collection Period, the fifteenth
calendar day prior to the related Payment Date, or if the fifteenth day is not a
Business Day, the next following Business Day.

         "Eligible Bank" means any depository institution with trust powers
(including the Owner Trustee and the Indenture Trustee), organized under the
laws of the United States or any State having a net worth in excess of
$50,000,000, the deposits of which are insured to the full extent permitted by
law by the Federal Deposit Insurance Corporation, which is subject to
supervision and examination by Federal or State authorities and which (i) has a
long-term unsecured debt rating of at least A2 from Moody's and A from Standard
& Poor's or (ii) is approved by the Insurer and each Rating Agency. The initial
Indenture Trustee is deemed an Eligible Bank.

         "Eligible Account" shall mean a segregated non-interest bearing trust
account or accounts maintained with (A) an institution whose deposits are
insured by the FDIC, the unsecured and uncollateralized long term debt
obligations of which institution shall be rated AA- or higher by Standard &
Poor's and Aa3 or higher by Moody's and in the highest short term rating
category by each of the Rating Agencies, 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 duly organized, validly existing and
in good standing under the applicable banking

TRUST AND SERVICING AGREEMENT

                                       10
<PAGE>

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 by the Insurer and each of
the Rating Agencies by written notice to the Indenture Trustee and the
Collateral Agent, (B) a chartered depository institution acceptable to each
Rating Agency and the Insurer, having capital and surplus of not less than
$100,000,000, acting in its fiduciary capacity or (c) the initial Indenture
Trustee.

         "Eligible Investment" means any of the following:

                  (a) (i) direct interest-bearing obligations of, and
         interest-beating obligations guaranteed as to timely payment of
         principal and interest by, the United States or any agency or
         instrumentality of the United States the obligations of which are
         backed by the full faith and credit of the United States and (ii)
         direct interest-bearing obligations of, and interest-bearing
         obligations guaranteed as to timely payment of principal and interest
         by, the Federal National Mortgage Association or the Federal Home Loan
         Mortgage Corporation, but only if, at the time of investment, such
         obligations are rated AAA by Standard & Poor's and Aaa by Moody's;

                  (b) demand or time deposits in, certificates of deposit of, or
         bankers' acceptances issued by any depository institution or trust
         company organized under the laws of the United States or any State and
         subject to supervision and examination by federal and/or State banking
         authorities (including, if applicable, the Indenture Trustee or any
         agent of the Indenture Trustee acting in their respective commercial
         capacities); provided that the commercial paper or other short-term
         unsecured debt obligations of such depository institution or trust
         company at the time of such investment, or contractual commitment
         providing for such investment, are rated A-l+ by Standard & Poor's and
         P-1 by Moody's;

                  (c) repurchase obligations pursuant to a written agreement (1)
         with respect to any obligation described in clause (i) above, where the
         Indenture Trustee has taken actual or constructive delivery of such
         obligation, and (2) entered into with a depository institution or trust
         company organized under the laws of the United States or any State
         thereof, the deposits of which are insured by the Federal Deposit
         Insurance Corporation and the short-term unsecured debt obligations of
         which are rated A-l+ by Standard & Poor's and P-1 by Moody's
         (including, if applicable, the Indenture Trustee or any agent of the
         Indenture Trustee acting in its commercial capacity);

                  (d) securities bearing interest or sold at a discount issued
         by any corporation incorporated under the laws of the United States or
         any State whose long-term unsecured debt obligations are rated AAA by
         Standard & Poor's and Aaa by Moody's at the time of such investment or
         contractual commitment providing for such investment; provided,
         however, that securities issued by any particular corporation will not
         be Eligible Investments to the extent that an investment therein will
         cause the then outstanding principal amount of securities issued by
         such corporation and held as part of the related Trust Account to
         exceed 10% of the Eligible Investments held in the related Trust
         Account (with Eligible Investments in the related Trust Account valued
         at par);

TRUST AND SERVICING AGREEMENT

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<PAGE>

                  (e) commercial paper that (1) is payable in United States
         dollars and (2) is rated at least A-1+ by Standard & Poor's and P-1 by
         Moody's;

                  (f) any money market fund (including those owned, operated or
         managed by the Indenture Trustee) that has been rated Aaa by Moody's
         and AAAm or AAAm-G (without an "r" script) by Standard & Poor's and
         numerical gradations within such rating category (or the equivalent
         long-term rating of such Rating Agency) for such money market funds;
         and

                  (g) any other demand or time deposit, obligation, security or
         investment as may be acceptable to the Rating Agencies and the Insurer
         (so long as the Insurer is the Controlling Party) and has been rated
         Aaa by Moody's and AAA by Standard & Poor's or rated P-1 by Moody's and
         A-l+ by Standard & Poor's).

         Any of the foregoing Eligible Investments may be purchased from, by or
through the Owner Trustee or the Indenture Trustee, or any of their respective
Affiliates.

         "Eligible Servicer" means BVAC, Deutsche Bank Trust Company Americas,
Systems and Services Technologies, Inc. or another Person which at the time of
its appointment as Servicer, (i) is servicing a portfolio of motor vehicle
retail installment sale contracts and/or motor vehicle installment loans, (ii)
is legally qualified and has the capacity to service the Receivables, (iii) has
demonstrated the ability professionally and competently to service a portfolio
of motor vehicle retail installment sale contracts and/or motor vehicle
installment loans similar to the Receivables with reasonable skill and care, and
(iv) is qualified and entitled to use, pursuant to a license or other written
agreement, and agrees to maintain the confidentiality of, the software which the
Servicer uses in connection with performing its duties and responsibilities
under the this Agreement or otherwise has available software which is adequate
to perform its duties and responsibilities under this Agreement.

         "ERISA" means the Employee Retirement Income Security Act of 1974, as
amended.

         "Event of Servicer Default" means an event specified in Section 14.01.

         "Financed Vehicle" means a new or used automobile, light-duty truck,
sport utility vehicle or van, together with all accessions thereto, securing an
Obligor's indebtedness under the respective Receivable.

         "GAAP" means generally accepted accounting principles set forth in the
opinions and pronouncements of the Accounting Principles Board of the American
Institute of Certified Public Accountants and statements and pronouncements of
the Financial Accounting Standards Board, or in such other statements that are
described in Statement on Auditing Standards No. 69 "The Meaning of Present
Fairly in Conformity With Generally Accepted Accounting Principles in the
Independent Auditor's Report" that are applicable to the circumstances as of the
date of determination, applied on a consistent basis.

         "Holder"--see "Certificateholder."

TRUST AND SERVICING AGREEMENT

                                       12
<PAGE>

         "Indemnification Agreement" means the Indemnification Agreement, dated
as of August 14, 2003 among BVAC, the Underwriters and the Insurer, as the same
may be amended, supplemented or otherwise modified from time to time in
accordance with the terms thereof.

         "Indenture" means the Indenture dated as of August 1, 2003 between the
Trust and the Indenture Trustee, which provides for the issuance of the Notes as
the same may be amended, supplemented or otherwise modified from time to time in
accordance with the terms thereof.

         "Indenture Trustee" means Deutsche Bank Trust Company Americas in its
role as Indenture Trustee under the Indenture and its permitted successors and
assigns.

         "Indenture Trustee Fee" means the fees and expenses payable on each
Payment Date to the Indenture Trustee in consideration for the performance of
its duties as Indenture Trustee, Back-up Servicer and Collateral Agent as set
forth in the fee letter agreement dated August 14, 2003.

         "Indenture Trustee Office" means the office of the Indenture Trustee at
which its business as Indenture Trustee under the Indenture shall be
administered, which office is presently located at 60 Wall Street, MS NYC
60-2606, New York, New York 10005; Attention: Corporate Trust and Agency
Services, telecopy (212) 797-8606 or at such other address as the Indenture
Trustee may designate from time to time by notice to the Owner Trustee, the
Servicer and the Noteholders.

         "Independent Accountants" means a firm of certified public accountants
that is Independent and is acceptable to the Insurer.

         "Initial Reserve Account Deposit" means $0.

         "Insolvency Event" means, with respect to a specified Person, (a) the
filing of a petition against such Person or the entry of a decree or order for
relief by a court having jurisdiction in the premises in respect of such Person
or any substantial part of its property in an involuntary case under any
applicable federal or state bankruptcy, insolvency or other similar law now or
hereafter in effect, or appointing a receiver, liquidator, assignee, custodian,
trustee, sequestrator, or similar official for such Person or for any
substantial part of its property, or ordering the winding-up or liquidation of
such Person's affairs, and such petition, decree or order remaining unstayed and
in effect for a period of 60 consecutive days; or (b) the commencement by such
Person of a voluntary case under any applicable federal or state bankruptcy,
insolvency or other similar law now or hereafter in effect, or the consent by
such Person to the entry of an order for relief in an involuntary case under any
such law, or the consent by such Person to the appointment of or taking
possession by, a receiver, liquidator, assignee, custodian, trustee,
sequestrator, or similar official for such Person or for any substantial part of
its property, or the making by such person of any general assignment for the
benefit of creditors, or the failure by such person generally to pay its debts
as such debts become due, or the taking of action by such Person in furtherance
of any of the foregoing.

         "Insolvency Proceeding" means the commencement, after the date hereof,
of any bankruptcy, insolvency, readjustment of debt, reorganization, marshaling
of assets and liabilities or similar proceedings by or against BVAC, the
Transferor or the Issuer, the commencement,

TRUST AND SERVICING AGREEMENT

                                       13
<PAGE>

after the date hereof, of any proceedings by or against BVAC, the Transferor or
the Issuer for the winding up or liquidation of its affairs or the consent,
after the date hereof, to the appointment of a trustee, conservator, receiver,
or liquidator in any bankruptcy, insolvency, readjustment of debt,
reorganization, marshaling of assets and liabilities or similar proceedings of
or relating to BVAC, the Transferor or the Issuer.

         "Insolvency Proceeds" means the proceeds, after all payments and
reserves from the sale of the assets of the Trust upon the dissolution of the
Trust because of an insolvency of the Transferor.

         "Insurance Agreement" means the Insurance and Indemnity Agreement,
dated as of August 1, 2003, among the Insurer, the Transferor, the Issuer, BVAC
and the Spread Account Depositor as the same may be amended, supplemented or
otherwise modified from time to time in accordance with the terms thereof.

         "Insurance Agreement Event of Default" means an Event of Default (as
such term is defined in the Insurance Agreement).

         "Insurance Policies" means any physical damage, credit life and credit
accident and health insurance policies or certificates or any vendor's single
interest physical damage insurance policy relating to the Receivables, the
Financed Vehicles or the Obligors.

         "Insurer" means Financial Security Assurance, Inc., a New York monoline
insurance company.

         "Insurer Default" means the existence and continuance of any of the
following:

                  (a) the Insurer shall have failed to make a payment required
         under the Policy in accordance with its terms; or

                  (b) the Insurer shall have (i) filed a petition or commenced
         any case or proceeding under any provision or chapter of the United
         States Bankruptcy Code 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 United States Bankruptcy Code or any other similar federal or state
         law relating to insolvency, bankruptcy, rehabilitation, liquidation or
         reorganization which is final and nonappealable; or

                  (c) a court of competent jurisdiction, the New York Department
         of Insurance or other competent regulatory authority shall have entered
         a final and nonappealable order, judgment or decree (i) appointing a
         custodian, trustee, agent or receiver for the Insurer or for all or any
         material portion of its property or (ii) authorizing the taking of
         possession by a custodian, trustee, agent or receiver of the Insurer
         (or the taking of possession of all or any material portion of the
         property of the Insurer).

         "Insurer Optional Deposit" has the meaning ascribed thereto in Section
5.18 of the Indenture.

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<PAGE>

         "Interest Advance Amount" with respect to a simple interest Receivable
as to which an Advance is required to be made on the last day of a Collection
Period, shall mean an amount equal to 30 days of interest upon the Principal
Balance of such Receivable as of such date; and, with respect to a Precomputed
Receivable as to which an Advance is required to be made on the last day of a
Collection Period, shall mean an amount equal to that portion of the earliest
delinquent Scheduled Payment allocable to interest (using the actuarial or
constant yield method).

         "Interest Shortfall" means, as to any Simple Interest Receivable as of
the last day of any Collection Period, the amount, if any, by which (a) interest
due on such Receivable exceeds (b) the Collected Interest on such Receivable.
"Interest Shortfall" with respect to a Precomputed Receivable as of the last day
of any Collection Period means the amount, if any, by which the portion of the
Scheduled Payment due during such Collection Period allocable to interest (using
the actuarial or constant yield method) exceeds the Collected Interest on such
Receivable (computed using the same method except that the amount of Collected
Interest in respect of Precomputed Receivables shall be increased by giving
effect to the withdrawal for the related Payment Date of any previously received
Scheduled Payments in respect of such Receivable from the Payahead Account in
accordance with Sections 8.05(b) and 9.10 hereof).

         "Lien" means a security interest, lien, charge, pledge, equity, or
encumbrance of any kind other than tax liens, mechanics' liens, and any liens
which attach to the respective Receivable or related Financed Vehicle by
operation of law.

         "Liquidation Proceeds" means the monies collected from whatever source,
including, but not limited to, insurance proceeds and tax rebates/refunds,
during a Collection Period on a Charged-Off Receivable, net of the sum of (i)
any out-of-pocket expenses reasonably incurred by the Servicer in enforcing such
Charged-Off Receivable plus (ii) any amounts required by law to be remitted to
the related Obligor.

         "Lock-Box" means the post-office box or boxes, to be established by
BVAC, as the initial Servicer, and maintained pursuant to this Agreement and the
Lock-Box Agreement, into which the Servicer shall direct each Obligor under each
Receivable to forward all payments in respect of such Receivable.

         "Lock-Box Account" means the segregated account or accounts designated
as such, established and maintained by the Servicer in accordance with this
Agreement and the Lock-Box Agreement (or if the Standby Servicer is acting as
Servicer hereunder any such replacement Lock-Box Account approved by the
Insurer, in its sole and absolute discretion).

         "Lock-Box Agreement" means the Lock-Box Agreement, dated as of November
13, 2002, among BVAC, Bay View Securitization Corporation, Bay View 2002-LJ-1
Owner Trust, Bay View 2003-LJ-1 Owner Trust, Deutsche Bank Trust Company
Americas and the Lock-Box Processor, as further amended, modified or
supplemented from time to time in accordance with the terms thereof, unless such
agreement shall be terminated in accordance with its terms or the terms hereof
or unless a replacement Lock-Box Agreement has been entered into in accordance
with the terms hereof, in which event "Lock-Box Agreement" shall mean such other
agreement,

TRUST AND SERVICING AGREEMENT

                                       15
<PAGE>

in form and substance acceptable to the Insurer, in its sole and absolute
discretion, among BVAC, the Trust, the Lock-Box Processor and the Indenture
Trustee.

         "Lock-Box Bank" means, initially, Commerce Bank, N.A., or any
replacement or additional depository institution named by the Servicer (or if
SST is then acting as Servicer, named by SST) and acceptable to the Insurer, in
its sole discretion, at which a Lock-Box Account is established and maintained
in accordance with the terms of this Agreement and the Lock-Box Agreement.

         "Lock-Box Collection Percentage" has the meaning ascribed thereto in
the Spread Account Agreement.

         "Lock-Box Processor" means, initially, Commerce Bank, N.A., or any
replacement or subcontracted Lock-Box Processor named by the Servicer (or if SST
is then acting as Servicer, named by SST) and acceptable to the Insurer, in its
sole discretion, who acts as the processor of the payments received in respect
of the Receivables in the Lock-Box in accordance with the Lock-Box Agreement.

         "Modified Scheduled Receivable" means any Receivable which is not a
Charged-Off Receivable and as to which the related Obligor shall have been
declared bankrupt with the result that such Obligor's periodic Scheduled
Receivable Payment amount has been reduced pursuant to an order of the
bankruptcy court.

         "Modified Scheduled Receivable Payment" means, with respect to any
Modified Scheduled Receivable, the amount of such reduced periodic Scheduled
Receivable Payment.

         "Moody's" means Moody's Investors Service, Inc., and its successor and
assigns.

         "Notes" mean the Notes issued by the Trust pursuant to the Indenture.

         "Obligor" on a Receivable means the purchaser or the co-purchasers of
the Financed Vehicle or any other Person who owes payments under the Receivable.
The phrase "payment made on behalf of an Obligor" shall mean all payments made
with respect to a Receivable except payments made by BVAC, the Transferor or the
Servicer.

         "Officers' Certificate" means a certificate signed by any two of the
chairman of the board, the president, any vice chairman of the board, any vice
president, the treasurer, or the controller of BVAC, the Transferor or the
Servicer, as the case may be; provided that no individual shall sign in a dual
capacity.

         "Opinion of Counsel" means a written opinion of counsel, who may be
counsel to the Transferor and/or Servicer, which counsel shall be acceptable to
the Owner Trustee.

         "Original Pool Balance" means $193,287,508.30.

         "Outstanding Advances" as of any date, with respect to a Receivable,
means the total amount of Advances made on such Receivable for which the
Servicer has not been reimbursed.

TRUST AND SERVICING AGREEMENT

                                       16
<PAGE>

         "Owner Trustee" means Wilmington Trust Company, a banking corporation
organized under the laws of the State of Delaware and its successors or any
corporation resulting from or surviving any merger or consolidation to which it
or its successors may be a party or any successor trustee at the time serving as
successor trustee hereunder.

         "Owner Trustee's Certificate" means a certificate completed and
executed by the Owner Trustee by a Responsible Officer pursuant to Section
15.05, substantially in the form of, in the case of an assignment to BVAC,
Exhibit 1, and in the case of an assignment to the Servicer, Exhibit 2.

         "Owner Trustee Fee" means the fees and expenses payable on each Payment
Date to the Owner Trustee in consideration for the performance of its duties as
Owner Trustee as set forth in the fee letter agreement dated August 14, 2003.

         "Payahead" on a Precomputed Receivable means the amount, as of the
close of business on the last day of a Collection Period, computed in accordance
with Section 8.05(b) with respect to such Receivable.

         "Payahead Account" means the account designated as such, established
and maintained pursuant to Section 9.10.

         "Payahead Balance" on a Precomputed Receivable means the sum, as of the
close of business on the last day of a Collection Period, of all Payaheads made
by or on behalf of the Obligor with respect to such Precomputed Receivable, as
reduced by applications of previous Payaheads with respect to such Precomputed
Receivable, pursuant to Sections 8.05(b) and 8.07 of the Indenture.

         "Payment Date" means, for each Collection Period, the twenty-fifth
calendar day of the month or, if such day is not a Business Day, the first
Business Day thereafter. The first Payment Date shall be September 25, 2003.

         "Person" means any individual, corporation, estate, partnership, joint
venture, association, joint stock company, trust, unincorporated organization,
or government or any agency or political subdivision thereof.

         "Policy" means the financial guaranty insurance policy No. 51441-N
issued by the Insurer to the Indenture Trustee for the benefit of the
Noteholders pursuant to the Insurance Agreement, including any endorsements
thereto.

         "Policy Claim Amount" shall have the meaning set forth in Section
9.03(a) of the Indenture.

         "Policy Expiration Date" means the date on which the Notes have been
paid in full and all outstanding Reimbursement Obligations and other amounts due
to the Insurer have been paid in full and the Term Of This Policy (as defined in
the Policy) has expired.

         "Pool Balance" as of any date means the aggregate Principal Balance of
the Receivables as of such date; provided, however, that for purposes of
determining Monthly Principal, the

TRUST AND SERVICING AGREEMENT

                                       17
<PAGE>

Principal Balance of a Charged-Off Receivable or a Purchased Receivable (if
actually purchased by the Servicer or repurchased by BVAC) shall be deemed to be
zero on and after the close of business on the last day of the Collection Period
in which the Receivable becomes a Charged-Off Receivable or a Purchased
Receivable that is actually purchased or repurchased.

         "Precomputed Receivable" means any Receivable under which the portion
of a payment allocable to earned interest (which may be referred to in the
related contract as an add-on finance charge) and the portion allocable to the
Amount Financed is determined according to the sum of periodic balances, the sum
of monthly balances, the rule of 78's or any equivalent method.

         "Premium" has the meaning ascribed thereto in the Premium Letter.

         "Premium Letter" means the premium letter, dated August 14, 2003 among
the Insurer, BVAC, the Transferor, the Trust and the Indenture Trustee.

         "Prepayment Charges," means, with respect to a Precomputed Receivable
that is prepaid in full, the difference between the Principal Balance of such
Receivable (plus accrued interest to the date of prepayment) and the Principal
Balance of such Receivable computed in accordance with the actuarial or constant
yield method.

         "Principal Balance" of a Simple Interest Receivable, as of the close of
business on the last day of a Collection Period, means the Amount Financed minus
that portion of all payments received on or before the close of business on such
last day allocable to principal of such Receivable. "Principal Balance" with
respect to a Precomputed Receivable, as of the close of business on the Cut-off
Date, means the gross principal balance of such Receivable on the records of the
Servicer, net of unearned or accrued interest reflected therein, and as of the
close of business on the last day of a Collection Period, means the Principal
Balance as of the Cut-off Date minus that portion of all Scheduled Payments
received with respect to such Receivable in respect of such Collection Period
and all prior Collection Periods allocable to principal of such Receivable using
the actuarial or constant yield method.

         "Purchase Agreement" means the Purchase Agreement dated as of the date
hereof by and between the Transferor and BVAC, as amended, supplemented or
modified from time to time in accordance with the terms thereof.

         "Purchase Amount" of any Receivable, as of the close of business on the
last day of any Collection Period, means the amount equal to the sum of the
Principal Balance of such Receivable plus any unpaid interest accrued and due
during or prior to such Collection Period on such Receivable.

         "Purchased Receivable" means a Receivable purchased by the Servicer
pursuant to Section 8.10 or repurchased by BVAC pursuant to Section 7.02 or
Section 8.08 not later than the respective dates required thereby.

         "Rating Agency" means each of Moody's and Standard & Poor's and their
successors and assigns.

TRUST AND SERVICING AGREEMENT

                                       18
<PAGE>

         "Receivable" means any simple interest or pre-computed (add-on)
interest installment sales contract or installment loan and security agreement
which shall appear on Schedule A to this Agreement.

         "Receivable Files" means the documents specified in the Custodian
Agreement.

         "Receivables" means those Receivables conveyed to the Trust by the
Transferor listed as of the Cut-off Date in Schedule A hereto.

         "Recoveries" means, with respect to a Charged-off Receivable and for
any Collection Period occurring after the Collection Period during which such
Receivable becomes a Charged-off Receivable, all payments, including insurance
proceeds, that the Servicer received from or on behalf of an Obligor regarding
such Charged-off Receivable, or from liquidation of the related Financed
Vehicle, net of any reasonably incurred out-of-pocket expenses incurred by the
Servicer in enforcing such Charged-off Receivable.

         "Reimbursement Obligations" means, with respect to each Payment Date,
any amounts due to the Insurer under the terms hereof, the Indenture, the
Insurance Agreement or the Premium Letter and with respect to which the Insurer
has not been previously paid whether or not BVAC is obligated to pay such
amounts.

         "Requisite Amount" has the meaning ascribed thereto in the Spread
Account Agreement.

         "Reserve Account" means the account designated as such, established and
maintained pursuant to Section 8.08.

         "Responsible Officer" means, when used with respect to the Owner
Trustee, any officer within the Corporate Trust Office (or any successor group
of the Owner Trustee) including any managing director, director, vice president,
assistant vice president, assistant treasurer, assistant secretary or any other
officer of the Owner Trustee customarily performing functions similar to those
performed by the persons who at the time shall be such officers, respectively,
or to whom any corporate trust matter is referred because of his knowledge of
and familiarity with the particular subject.

         "Scheduled Receivable Payment" on any Receivable (other than a Modified
Scheduled Receivable) means that portion of the payment required to be made by
the Obligor during the respective Collection Period sufficient to amortize the
Principal Balance over the term of the Receivable and to provide interest at the
APR based on a 365-day year over the actual number of days elapsed, and with
respect to a Modified Scheduled Receivable, the applicable Modified Scheduled
Receivable Payment; provided, however, that with respect to a Precomputed
Receivable such interest amount shall be determined on the basis of the
actuarial or constant yield method.

         "Secured Parties" means each of the Indenture Trustee, the Noteholders
and the Insurer pursuant to the Indenture.

         "Securities" means the Notes and the Certificate.

TRUST AND SERVICING AGREEMENT

                                       19
<PAGE>

         "Servicer" means Bay View Acceptance Corporation, a Nevada corporation,
in its capacity as the servicer of the Receivables and each successor to Bay
View Acceptance Corporation (in the same capacity) pursuant to Section 13.03 or
14.03; provided that, if the Servicer has been removed pursuant to Section 8.04
or Section 14.03 hereof, "Servicer" shall mean the Standby Servicer or such
other Person appointed as the successor Servicer pursuant to Section 14.03
hereof. If the Standby Servicer has been removed as Servicer pursuant to Section
14.03 hereof, "Servicer" shall mean the Back-up Servicer, acting through an
agent, or such other Person appointed as the successor Servicer pursuant to
Section 14.03 hereof.

         "Servicer Extension Notice" means the notice delivered pursuant to
Section 8.04 hereof.

         "Servicer Fee" means the sum of the Servicing Fee and the Supplemental
Servicing Fee and all reasonable out-of-pocket expenses of the Servicer (which
expenses shall not exceed the sum of $50,000 per Servicer in the aggregate over
the term of the Notes).

         "Servicer Fee Rate" shall be 1/12th of 1.0% payable monthly.

         "Servicer's Certificate" means a certificate completed and executed by
the chairman of the board, the vice chairman, the president, any vice president,
the treasurer, any assistant treasurer, the chief financial officer, the
secretary, any assistant secretary, the controller, or any assistant controller
of the Servicer pursuant to Section 8.12 hereof.

         "Servicing Fee" means, for any Collection Period, a fee payable to the
Servicer for services rendered during such Collection Period, which shall be the
product of (i) the Servicer Fee Rate and (ii) the aggregate Principal Balance of
the Receivables as of the first day of such Collection Period.

         "Simple Interest Receivable" means any Receivable which provides for
equal monthly payments, pursuant to which the portion of such payment that is
allocated to interest is equal to the product of the fixed rate of interest on
such obligation multiplied by the period of time on the basis of a 365-day year
over the actual number of days elapsed.

         "Spread Account" means the account designated as such, established and
maintained pursuant to Section 3.01 of the Spread Account Agreement.

         "Spread Account Agreement" means the Master Spread Account Agreement,
dated as of September 1, 2002, among the Insurer, the Spread Account Depositor,
the Indenture Trustee and Collateral Agent, as supplemented by Series 2003-LJ-1
Supplement to Spread Account Agreement, dated as of August 1, 2003, as the same
may be further amended, supplemented or otherwise modified from time to time in
accordance with the terms thereof.

         "Spread Account Depositor" means Bay View 2002-LJ-I Funding Trust, a
Delaware statutory trust, and its successors.

         "Spread Account Depositor Owner Trustee" means Wilmington Trust
Company, a Delaware banking corporation, not in its individual capacity but
solely as owner trustee under the Spread Account Depositor Trust Agreement, its
successors in interest or any successor owner trustee thereunder.

TRUST AND SERVICING AGREEMENT

                                       20
<PAGE>

         "Spread Account Depositor Trust Agreement" means the trust agreement
dated as of September 1, 2002, between Bay View Securitization Corporation, a
Delaware corporation, and the Spread Account Depositor Owner Trustee, as the
same may be amended, supplemented or otherwise modified from time to time in
accordance with the terms thereof.

         "Spread Account Initial Deposit" is equal to $3,962,393.00.

         "SST" means Systems & Services Technologies, Inc., and its successors
and assigns.

         "Standard & Poor's" means Standard & Poor's Ratings Services, a
division of The McGraw-Hill Company, Inc.

         "Standby Servicer" means SST in its capacity as Standby Servicer or
such Person as shall have been appointed Standby Servicer pursuant to Section
8.03 hereof.

         "Standby Servicer Default" has the meaning ascribed thereto in Section
14.02 hereof.

         "Standby Servicer Fee" means, for any Collection Period, the fee
payable to the Standby Servicer for services rendered during such Collection
Period, which shall be equal to the amount determined in accordance with
Schedule C attached hereto. If the Standby Servicer shall have taken on the role
as Servicer hereunder, its compensation shall be equal to the amount determined
in accordance with Schedule C attached hereto as successor Servicer, and it
shall not be entitled to a Standby Servicer Fee.

         "Standby Servicer Fee Rate" means, with respect to any Payment Date,
the amount, expressed as a percentage, determined by dividing (i) the Standby
Servicer Fee for such Payment Date and (ii) the outstanding Principal Balance of
the Receivables as of the first day of the immediately preceding Collection
Period.

         "State" means (i) any state of the United States of America or (ii) the
District of Columbia.

         "Stock Pledge Agreement" means the Stock Pledge and Collateral Agency
Agreement, dated as of August 1, 2003, among BVAC, as pledgor, the Insurer and
the Collateral Agent.

         "Supplemental Servicing Fee" has the meaning set forth in Section
8.11(a) hereof.

         "Transfer and Contribution Agreement" means the Transfer and
Contribution Agreement, dated as of August 1, 2003, between the Bank and BVAC
pursuant to which the Bank contributed and transferred all of its right, title
and interest, if any, in, to and under the Receivables and the related
Transferred Property.

         "Transferor" means Bay View Transaction Corporation, a Delaware
corporation, in its capacity as the transferor of the Receivables under this
Agreement, and each successor to Bay View Transaction Corporation (in the same
capacity) pursuant to Section 12.03.

         "Transition Costs" means reasonable costs and expenses (including
attorneys' fees and expenses) incurred by and payable by the predecessor
Servicer, or to the extent not so paid, by

TRUST AND SERVICING AGREEMENT

                                       21
<PAGE>

the Issuer, to the extent of Available Funds, pursuant to Section 8.05(a) of the
Indenture, to the successor Servicer in connection with the transfer of
servicing (whether due to termination, resignation or otherwise) from the
Servicer to such successor Servicer, including, without limitation, costs and
expenses incurred in connection with transferring the Receivable Files and
amending this Agreement to reflect the transfer of servicing, which shall be
approved in writing by the Insurer; provided, however, that in no event shall
the Transition Costs exceed $200,000 without the prior written consent of the
Controlling Party.

         "Treasury Regulations" means 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.

         "Trigger Event" means any of the events identified as such in the
Spread Account Agreement.

         "Trust" means the Delaware statutory trust created by this Agreement,
the estate of which shall generally comprise the Trust Property.

         "Trust Accounts" means the Collection Account, the Lock-Box Account,
the Payahead Account and the Reserve Account.

         "Trust Property" has the meaning set forth in Section 3.01 hereof.

         "UCC" means the Uniform Commercial Code as in effect in the applicable
jurisdiction.

         SECTION 2.02 Usage of Terms. With respect to all terms in this
Agreement, the singular includes the plural and the plural the singular; words
importing any gender include the other genders; references to "writing" include
printing, typing, lithography and other means of reproducing words in a visible
form; references to agreements and other contractual instruments include all
subsequent amendments thereto or changes therein entered into in accordance with
their respective terms and not prohibited by this Agreement; references to
Persons include their permitted successors and assigns; and the term "including"
means "including without limitation."

         SECTION 2.03 Cut-off Date and Record Date. All references to the Record
Date prior to the first Record Date in the life of the Trust shall be to the
Closing Date.

         SECTION 2.04 Section References. All Section references in this
Agreement shall be to Sections in this Agreement unless otherwise specified.

         SECTION 2.05 Compliance Certificates. Upon any application or request
by the Transferor, the Servicer, the Back-up Servicer or the Standby Servicer to
the Indenture Trustee to take any action under any provision herein, such
requesting party shall furnish to the Indenture Trustee and the Insurer (so long
as the Insurance Agreement has not terminated), an Officer's Certificate stating
that all conditions precedent, if any, provided for herein relating to the
proposed action have been complied with, except that in the case of any other
such application or request as to which the furnishing of such documents is
specifically required by any provision of

TRUST AND SERVICING AGREEMENT

                                       22
<PAGE>

this Agreement relating to such particular application or request, no additional
certificate need be furnished.

         Every certificate with respect to compliance with a condition or
covenant provided herein shall include a statement that each individual signing
such certificate has read such covenant or condition and the definitions and
other provisions herein relating thereto.

         SECTION 2.06 Directions. Any direction required to be given by the
Noteholders shall be given hereunder by the Insurer, unless an Insurer Default
shall have occurred and be continuing or the Policy shall have expired in
accordance with its terms, in which case the Indenture Trustee, acting at the
direction of the Majority Noteholders, shall be entitled to give such direction.

         SECTION 2.07 Calculations. All calculations of the amount of the
Servicing Fee, the Standby Servicer Fee, the Indenture Trustee Fee and the Owner
Trustee Fee shall be made on the basis of a 360-day year consisting of twelve
thirty-day months. All references to the Principal Balance of a Receivable as of
the last day of a Collection Period shall refer to the close of business on such
day.

         SECTION 2.08 Action by or Consent of Noteholders. Whenever any
provision of this Agreement refers to action to be taken, or consented to, by
Noteholders, such provision shall be deemed to refer to Noteholders of record as
of the Record Date immediately preceding the date on which such action is to be
taken, or consent given, by Noteholders. Solely for the purposes of any action
to be taken or consented to by Noteholders, any Note registered in the name of
the Issuer, the Transferor, the Servicer or any Affiliate thereof shall be
deemed not to be outstanding and shall not be taken into account in determining
whether the requisite interest necessary to effect any such action or consent
has been obtained; provided, however, that, solely for the purpose of
determining whether the Indenture Trustee is entitled to rely upon any such
action or consent, only Notes which the Indenture Trustee actually knows to be
so owned shall be so disregarded.

         SECTION 2.09 Material Adverse Effect. Whenever a determination is to be
made under this Agreement as to whether a given event, action, course of conduct
or set of facts or circumstances could or would have a material adverse effect
on the Issuer or Noteholders (or any similar or analogous determination), such
determination shall be made without taking into account the insurance provided
by the Policy. Whenever a determination is to be made under this Agreement
whether a breach of a representation, warranty or covenant has or could have a
material adverse effect on a Receivable or the interest therein of the Issuer,
the Noteholders or the Insurer (or any similar or analogous determination), such
determination shall be made by the Controlling Party in its sole discretion.

                                   ARTICLE III

                            CONVEYANCE OF RECEIVABLES

         SECTION 3.01 Conveyance of Receivables. In consideration of the Trust's
issuance of, and the Owner Trustee's delivery of, the Certificate to, or at the
direction of, the

TRUST AND SERVICING AGREEMENT

                                       23
<PAGE>

Transferor and the proceeds to be realized by the Trust from the issuance of the
Notes pursuant to the Indenture to the Transferor, the Transferor does hereby
sell, transfer, assign, and otherwise convey to the Trust, in trust without
recourse (subject to the obligations herein):

              (i)    all right, title, and interest of the Transferor in and to
                     the Receivables listed in Schedule A hereto;

              (ii)   the security interests in the Financed Vehicles granted by
                     Obligors pursuant to the Receivables;

              (iii)  any proceeds from claims and other amounts relating to
                     Insurance Policies and other items financed under the
                     Receivables or otherwise covering an Obligor or a Financed
                     Vehicle;

              (iv)   any Liquidation Proceeds;

              (v)    all property (including the right to receive future
                     Liquidation Proceeds) that secures a Receivable and that
                     has been or may be acquired pursuant to the liquidation of
                     the Receivable;

              (vi)   the interest of the Transferor in any proceeds from
                     recourse to Dealers relating to the Receivables;

              (vii)  all documents contained in the Receivable Files;

              (viii) all monies paid on the Receivables and all monies due
                     thereon, including Accrued Interest after the Cut-off Date;

              (ix)   all right, title and interest of the Transferor pursuant to
                     this Agreement and pursuant to the Purchase Agreement,
                     including, without limitation, a direct right to cause BVAC
                     to purchase Receivables from the Trust upon the occurrence
                     of a breach of any of the representations and warranties
                     contained in Section 3.02(b) of the Purchase Agreement or
                     the failure of BVAC to timely comply with its obligations
                     pursuant to Section 5.06 of the Purchase Agreement;

              (x)    all rights of the Transferor pursuant to the Transfer and
                     Contribution Agreement; and

              (xi)   all proceeds of the foregoing.

         The Transferor does hereby further assign, convey, pledge and grant a
security interest in (i) any and all other right, title and interest, including
any beneficial interest the Transferor may have in the Trust Accounts and the
funds deposited therein, and (ii) any proceeds of any of the foregoing, to the
Owner Trustee and for the benefit of the Noteholders to secure amounts payable
to Noteholders as provided under this Agreement. The Transferor acknowledges
that all of the foregoing shall constitute the "Trust Property" and the
Transferor hereby consents to the pledge

TRUST AND SERVICING AGREEMENT

                                       24
<PAGE>

by the Trust of all of such assets to the Indenture Trustee for the benefit of
the Secured Parties pursuant to the Indenture.

                                   ARTICLE IV

                              ACCEPTANCE BY TRUSTEE

         SECTION 4.01 Acceptance by Trustee. The Owner Trustee does hereby
accept on behalf of the Trust all of the Trust Property conveyed by the
Transferor pursuant to Article III, and declares that the Owner Trustee shall
hold such Trust Property, upon the trusts herein set forth for the benefit of
all present and future Certificateholders, subject to the terms and provisions
of this Agreement.

                                   ARTICLE V

                  INFORMATION DELIVERED TO THE RATING AGENCIES

         SECTION 5.01 Information Delivered to the Rating Agencies.

                  (a) The Servicer hereby expresses its intention to deliver
         promptly to each Rating Agency (i) a copy of each Servicer's
         Certificate that it delivers to the Owner Trustee, the Indenture
         Trustee and the Insurer pursuant to Section 8.12, (ii) a copy of each
         annual Officers' Certificate as to compliance and any notice of default
         that it delivers to the Indenture Trustee or the Owner Trustee pursuant
         to Section 8.13, (iii) delinquency and loss information for the
         Receivables, written notice of any merger, consolidation, or other
         succession of the Servicer, pursuant to Section 13.03, or the
         Transferor, pursuant to Section 12.03, (iv) a copy of each amendment to
         this Agreement and (v) any Opinion of Counsel delivered to the Owner
         Trustee pursuant to Section 17.02(i) hereof.

                  (b) The Owner Trustee hereby expresses its intention to
         deliver promptly to each Rating Agency (i) a copy of each annual
         certified public accountant's report received by the Owner Trustee
         pursuant to Section 8.14, (ii) a copy of each amendment to this
         Agreement and (iii) a copy of the notice of termination of the Trust
         provided to the Owner Trustee pursuant to Section 16.01.

                  (c) For purposes of delivery pursuant to paragraphs (a) and
         (b) of this Article V, the addresses for the Rating Agencies are:

                             Structured Finance/Asset Backed Surveillance Group
                             Standard & Poor's Rating Services, a Division of
                               The McGraw-Hill Companies, Inc.
                             55 Water Street, 40th Floor
                             New York, New York 10041-0003

TRUST AND SERVICING AGREEMENT

                                       25
<PAGE>

                             Moody's Investors Services, Inc.
                             Attention:  ABS Monitoring Department
                             4th Floor
                             99 Church Street
                             New York, New York 10007

                  (d) The provisions of this Article V are included herein for
         convenience of reference only and shall not be construed to be
         contractual undertakings or obligations. The failure of the Servicer or
         the Owner Trustee to comply with any or all of the provisions of this
         Article V shall not constitute an Event of Servicer Default or a
         default of any kind under this Agreement or make any remedy available
         to any Person.

                                   ARTICLE VI

                                AGENT FOR SERVICE

         SECTION 6.01 Agent for Service. The agent for service for the
Transferor shall be Joseph J. Catalano, Vice President of the Transferor. Any
and all service on the agent for service of the Transferor shall be sent to Bay
View Transaction Corporation, 1840 Gateway Drive, San Mateo, California 94404 or
such other address as the Transferor shall provide notice thereof pursuant to
Sections 17.02(c) or 17.05.

         The agent for service for BVAC shall be Joseph J. Catalano, Vice
President of the Servicer. Any and all service on the agent for service of the
Servicer shall be sent to Bay View Acceptance Corporation, 1840 Gateway Drive,
San Mateo, California 94404, or such other address as BVAC shall provide notice
thereof pursuant to Section 17.02(c) or 17.05.

         A copy of any service of process served on the Transferor or BVAC
hereunder shall also be sent to the Indenture Trustee, the Insurer and the
parties to receive notices on behalf of the Transferor or BVAC, as the case may
be, under Section 17.05 of this Agreement.

                                   ARTICLE VII

                                 THE RECEIVABLES

         SECTION 7.01 Representations and Warranties of Transferor.

                  (a) Pursuant to Article III, the Transferor has assigned to
         the Trust the benefit of, and its rights respecting, the
         representations and warranties made to the Transferor in the Purchase
         Agreement as to the Receivables on which the Trust relies in accepting
         the Receivables in trust and executing and authenticating the Notes and
         executing and delivering the Indenture and on which the Insurer will
         rely in issuing the Policy. The Transferor agrees that the
         representations shall also be for the benefit of the Secured Parties to
         the same extent as if each of such representations and warranties were
         fully set forth herein, including, without limitation, the
         representations and warranties set forth in Sections 3.01 and 3.02 of
         the Purchase Agreement. Such representations and warranties

TRUST AND SERVICING AGREEMENT

                                       26
<PAGE>

         speak as of the execution and delivery of the Purchase Agreement but
         shall survive the sale, transfer, and assignment of the Receivables to
         the Trust and the pledge of the Receivables to the Indenture Trustee.

                  (b) The Transferor hereby represents and warrants to the Trust
         that it has entered into the Purchase Agreement with BVAC, that BVAC
         has made the representations and warranties set forth therein, that
         such representations and warranties run to and are for the benefit of
         the Transferor, and that pursuant to Article III of this Agreement the
         Transferor has transferred and assigned to the Trust all rights of the
         Transferor to cause BVAC under the Purchase Agreement to repurchase
         Receivables in the event of a breach of such representations and
         warranties.

                  (c) The foregoing provisions of this Section 7.01 are intended
         to grant the Trust and its assignees a direct right against BVAC to
         demand performance of its obligations under the Purchase Agreement.

                  (d) It is the intention of the Transferor that the transfer
         and assignment herein contemplated, taken as a whole, constitute a sale
         of the Receivables and the other Trust Property from the Transferor to
         the Trust and that the Receivables and the other Trust Property not be
         part of the bankruptcy estate in the event of the bankruptcy of the
         Transferor. In the event that a court of competent jurisdiction were to
         conclude that the transfer of Receivables or the other Trust Property
         constitutes a grant of a security interest rather than a sale of the
         Receivables, the other Trust Property and the proceeds thereof, this
         Agreement and the transactions provided for herein shall be deemed to
         constitute a grant by the Transferor to the Trust of a valid continuing
         first priority security interest in the Receivables, the other Trust
         Property and the proceeds thereof. No Receivable or other item of Trust
         Property has been sold, transferred, assigned, or pledged by the
         Transferor to any Person other than the Trust. Immediately prior to the
         transfer and assignment herein contemplated, the Transferor had good
         and marketable title to each Receivable and the other Trust Property,
         free and clear of all Liens, and, immediately upon the transfer
         thereof, the Trust (for the benefit of the Certificateholder and the
         Secured Parties pursuant to the Indenture) shall have good and
         marketable title to each Receivable and the other Trust Property, free
         and clear of all Liens and rights of others, except for the rights of
         the Certificateholder, the Noteholders and the Insurer; and the
         transfer has been perfected under the UCC. On or prior to the Closing
         Date, all filings (including, without limitation UCC filings) necessary
         in any jurisdiction to give the Trust and its assignees a first
         priority perfected ownership interest in the Receivables and the other
         Trust Property shall have been made.

         SECTION 7.02 Repurchase Upon Breach. Each party hereto shall inform the
other parties hereto and the Insurer promptly, in writing, upon the discovery of
any breach of the representations and warranties contained in Section 3.02 of
the Purchase Agreement and assigned to the Trust hereunder or upon the discovery
that any Receivable has been materially and adversely affected because a court
has determined that a Receivable is not perfected by a first priority perfected
security interest in the related Financed Vehicle in favor of the Indenture
Trustee. Unless the breach or failure to perfect shall have been cured by the
last day of the first full Collection Period, following the discovery, the
Transferor shall cause BVAC, pursuant to its

TRUST AND SERVICING AGREEMENT

                                       27
<PAGE>

obligations under the Purchase Agreement to repurchase any such Receivable if
such Receivable or the interest therein of the Issuer, the Noteholders, the
Certificateholder or the Insurer is materially and adversely affected by any
such breach or failure to perfect as of the last day of the first full
Collection Period. In consideration of the purchase of the Receivable, BVAC
shall remit the Purchase Amount, in the manner specified in Section 9.04. As
required under Section 3.03 of the Purchase Agreement, the Transferor shall
cause the Seller to indemnify the Owner Trustee, the Issuer, the Indenture
Trustee, the Insurer, the Back-up Servicer, the Collateral Agent, the Standby
Servicer, the Servicer, the Noteholders, the Certificateholder and their
respective officers, directors and employees against all costs, expenses,
losses, damages, claims and liabilities, including reasonable fees and expenses
of counsel, which may be asserted against or incurred by any of them, as a
result of claims arising out of the events or facts giving rise to such
repurchase. Notwithstanding the foregoing, BVAC shall not be required to remit
the Purchase Amount in the manner specified in this Section 7.02 with respect to
any Receivable repurchased or subject to repurchase by BVAC pursuant to Section
8.08 for the reasons specified in Section 8.08. This repurchase obligation shall
not apply to the Standby Servicer or the Back-up Servicer acting as successor
Servicer.

         SECTION 7.03 Custody of Receivable Files. To assure uniform quality in
servicing the Receivables and to reduce administrative costs, the Trust, upon
the execution and delivery of this Agreement, hereby revocably appoints the
Servicer, and the Servicer hereby accepts such appointment, for the benefit of
the Trust and the Indenture Trustee, to act as the agent of the Trust as
custodian in accordance with the Custodian Agreement.

         SECTION 7.04 Duties of Servicer as Custodian.

                  (a) Safekeeping. In accordance with the Custodian Agreement,
         the Servicer, in its capacity as custodian, shall segregate and hold
         the Receivable Files on behalf of the Trust for the use and benefit of
         the Trust, and maintain such accurate and complete accounts, records,
         and computer systems pertaining to each Receivable File as shall enable
         the Trust to comply with this Agreement and the other Basic Documents
         to which it is a party. In performing its duties as custodian the
         Servicer shall act with reasonable care, using that degree of skill and
         attention that the Servicer exercises with respect to the receivable
         files relating to all comparable automobile receivables that the
         Servicer services for itself. The Servicer shall conduct, or cause to
         be conducted, periodic audits of the Receivable Files held by it under
         this Agreement, and of the related accounts, records, and computer
         systems, in such a manner as shall enable the Trust to verify the
         accuracy of the Servicer's record keeping. The Servicer shall promptly
         report to the Insurer, Owner Trustee and the Indenture Trustee any
         failure on its part to hold the Receivable Files and maintain its
         accounts, records, and computer systems as herein provided and promptly
         take appropriate action to remedy any such failure.

                  (b) Maintenance of and Access to Records. The Servicer shall
         maintain each Receivable File at its office specified in Schedule B to
         this Agreement, or at such other office as shall be specified to the
         Owner Trustee, the Insurer and the Indenture Trustee by prior written
         notice. The Servicer shall make available to the Insurer, the Owner
         Trustee and the Indenture Trustee and their duly authorized
         representatives, attorneys, or auditors a list of locations of the
         Receivables, the Receivable Files, and the related accounts,

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         records, and computer systems maintained by the Servicer at such times
         as the Insurer, the Owner Trustee or the Indenture Trustee, as
         applicable, shall instruct.

                  (c) Custodian Agreement. To the extent that there is a
         conflict between this Agreement and the Custodian Agreement with
         respect to the duties and obligations of the Custodian, the terms of
         the Custodian Agreement shall control.

                  (d) Standby Servicer as Custodian. The Standby Servicer shall
         only act as Custodian if it is simultaneously acting as successor
         Servicer pursuant to this Agreement. The Standby Servicer shall be
         reimbursed for all reasonable out-of-pocket expenses incurred in
         connection with its duties as Custodian pursuant to this Section 7.04.
         in accordance with the provision of Section 8.05(a) of the Indenture.

         SECTION 7.05 Instructions; Authority to Act. The Servicer shall be
deemed to have received proper instructions with respect to the Receivable Files
upon its receipt of written instructions signed by a Responsible Officer of the
Owner Trustee on behalf of the Trust, the Indenture Trustee or the Insurer as
set forth in the Custodian Agreement.

                                  ARTICLE VIII

                   ADMINISTRATION AND SERVICING OF RECEIVABLES

         SECTION 8.01 Duties of Servicer.

                  (a) The Servicer (and any successor Servicer), for the benefit
         of the Trust and the Secured Parties, shall manage, service,
         administer, and make collections on the Receivables with reasonable
         care, using that degree of skill and attention that servicers in the
         retail automotive financing industry customarily exercise with respect
         to all comparable receivables that they service for themselves or
         others and, to the extent more exacting, that the Servicer (or
         successor Servicer) exercises with respect to all comparable automobile
         receivables that it services for itself or others. The Servicer's
         duties shall include collection and posting of all payments, making
         Advances in accordance with the terms hereof, responding to inquiries
         of Obligors or of federal, state or local governmental authorities with
         respect to the Receivables, investigating delinquencies, sending
         monthly billing statements to Obligors, accounting for collections, and
         furnishing monthly and annual statements to the Owner Trustee, the
         Indenture Trustee and the Insurer with respect to distributions. The
         Servicer shall follow its customary standards, policies, and procedures
         in performing its duties as Servicer; provided, however, that the
         Servicer shall not materially change its servicing standards and
         procedures without the prior written consent of the Controlling Party.
         Without limiting the generality of the foregoing, the Servicer is
         authorized and empowered by the Trust to execute and deliver, on behalf
         of itself, the Trust, the Owner Trustee, the Indenture Trustee or any
         of them, any and all instruments of satisfaction or cancellation, or
         partial or full release or discharge, and all other comparable
         instruments, with respect to such Receivables or to the Financed
         Vehicles securing such Receivables; provided, however, that
         notwithstanding the foregoing, the Servicer shall not release an
         Obligor

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         from payment of any unpaid amount under any Receivable or waive the
         right to collect the unpaid balance of any Receivable from the Obligor,
         except (i) pursuant to an order from a court of competent jurisdiction,
         (ii) in accordance with its customary procedures or (iii) in accordance
         with Section 8.05. If the Servicer shall commence a legal proceeding to
         enforce a Receivable or a Charged-Off Receivable, the Trust and the
         Indenture Trustee shall thereupon be deemed to have automatically
         assigned, solely for the purpose of collection, such Receivable to the
         Servicer. If in any enforcement suit or legal proceeding it shall be
         held that the Servicer may not enforce a Receivable on the ground that
         it shall not be a real party in interest or a holder entitled to
         enforce the Receivable, the Indenture Trustee shall be deemed to have
         automatically assigned, solely for the purpose of collection. The Owner
         Trustee and the Indenture Trustee shall execute any documents prepared
         by the Servicer and delivered to the Trust for execution that are
         necessary or appropriate to enable the Servicer to carry out its
         servicing and administrative duties hereunder.

                  (b) The Servicer, or a third party retained by Servicer (if
         BVAC is acting as the Servicer, at its expense, otherwise at the
         expense of the Trust), shall obtain on behalf of the Trust all
         licenses, if any, required by the laws of any jurisdiction to be held
         by the Trust in connection with ownership of the Receivables, and shall
         make all filings and pay all fees as may be required in connection
         therewith during the term hereof.

                  (c) The Servicer shall furnish to the Owner Trustee, the
         Indenture Trustee, the Collateral Agent and the Insurer from time to
         time such additional information regarding the Trust or the Basic
         Documents as the Owner Trustee, the Indenture Trustee, the Collateral
         Agent or the Insurer shall reasonably request.

         SECTION 8.02 The Back-up Servicer.

                  (a) Prior to assuming any of the Servicer's rights and
         obligations and acting as successor Servicer hereunder, the Back-up
         Servicer shall only be responsible to perform those duties specifically
         imposed upon it by the provisions hereof, and shall have no obligations
         or duties under any agreement to which it is not a party, including but
         not limited to the other Basic Documents.

                  (b) Subject to the Back-up Servicer's obligations pursuant to
         this Section 8.02, prior to assuming any of the Servicer's rights and
         obligations hereunder, the Back-up Servicer shall not be required to
         expend or risk its own funds or otherwise incur financial liability in
         the performance of any of its duties hereunder, or in the exercise of
         any of its rights or powers, if the repayment of such funds or adequate
         written indemnity against such risk or liability is not reasonably
         assured to it in writing prior to the expenditure or risk of such funds
         or incurrence of financial liability. Notwithstanding any provision to
         the contrary, the Back-up Servicer, in its capacity as such, and not in
         its capacity as successor Servicer, shall not be liable for any
         obligation of the Servicer contained in this Agreement so long as the
         Back-up Servicer performs in such capacity, and the parties shall look
         only to the Servicer to perform such obligations. The Back-up Servicer,
         in its capacity as such, and not in its capacity as successor Servicer,
         shall have

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         no responsibility or liability in connection with the perfection or
         maintenance of a security interest in the Receivables.

                  (c) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Back-up Servicer may conclusively rely and
         shall be fully protected in acting or refraining from acting upon any
         resolution, certificate, statement, instrument, opinion, report,
         notice, request, consent, order, approval or other paper or document
         believed by it to be genuine and to have been signed or presented by
         the proper party or parties.

                  (d) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Back-up Servicer may consult with counsel
         and the advice or any opinion of counsel shall be full and complete
         authorization and protection in respect of any action taken or omitted
         by it hereunder in good faith and in accordance with any such written
         counsel, a copy of which has been furnished to the Indenture Trustee
         and the Insurer.

                  (e) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Back-up Servicer shall not be bound to make
         any investigation into the facts or matters stated in any resolution,
         certificate, statement, instrument, opinion, report, notice, request,
         consent, entitlement order, approval or other paper or document.

                  (f) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Back-up Servicer may execute any of the
         trusts or powers hereunder or perform any duties hereunder either
         directly or by or through agents, attorneys, custodians or nominees
         appointed with due care, and shall not be responsible for any willful
         misconduct or negligence on the part of any agent, attorney, custodian
         or nominee so appointed.

                  (g) The Servicer shall have no liability, direct or indirect,
         to any party, for the acts or omissions of the Back-up Servicer,
         whenever such acts or omissions occur or whenever such liability is
         imposed.

                  (h) Notwithstanding anything to the contrary herein, the
         Controlling Party shall have the right in its sole and absolute
         discretion to remove and replace the Back-up Servicer in accordance
         with Section 14.03. In the event that the Controlling Party exercises
         its right to remove and replace Deutsche Bank Trust Company Americas as
         Back-up Servicer, Deutsche Bank Trust Company Americas shall have no
         further obligation to perform the duties of the Back-up Servicer under
         this Agreement except as set forth in Section 13.02.

                  (i) On or before the fifth Business Day of each month, the
         Servicer will deliver to the Back-up Servicer a Computer Tape
         containing such information with respect to the Receivables as of the
         close of business on the last day of the immediately preceding
         Collection Period as is necessary for preparation of the Servicer's
         Certificate. In addition, the Servicer shall, if so requested by the
         Insurer (unless an Insurer Default shall have occurred and be
         continuing) deliver to the Back-up Servicer (i) within five (5)
         Business Days of demand therefore a Computer Tape containing as of the
         close of business on the date of demand all of the data maintained by
         the Servicer in a format

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<PAGE>

         acceptable to the Back-up Servicer in connection with servicing the
         Receivables and (ii) within fifteen (15) Business Days of demand
         therefore a copy of such other information as is reasonably requested
         by the Insurer for the purpose of reconciling such discrepancies.

                  (j) The Back-up Servicer shall load the initial Computer Tape
         received from the Servicer pursuant to Section 8.02(e) hereof and
         confirm that such Computer Tape is in a readable form, and deliver to
         the Servicer and the Insurer a notice in substantially the form set
         forth as Exhibit C attached hereto. All other Computer Tapes will be
         stored by the Back-up Servicer in accordance with its customary
         practices.

                  (k) To the extent the Back-up Servicer and the Indenture
         Trustee are the same party, the Back-up Servicer may resign under this
         Agreement upon 90 days' prior written notice to the Servicer, the
         Insurer and the Standby Servicer, and only to the extent such party is
         also resigning or being removed as Indenture Trustee hereunder or under
         the Indenture.

         SECTION 8.03 The Standby Servicer.

                  (a) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Standby Servicer shall only be responsible
         to perform those duties specifically imposed upon it by the provisions
         hereof, and shall have no obligations or duties under any agreement to
         which it is not a party, including but not limited to any other Basic
         Document to which it is not a party.

                  (b) Subject to the Standby Servicer's obligations pursuant to
         this Section 8.03, prior to assuming any of the Servicer's rights and
         obligations hereunder, the Standby Servicer shall not be required to
         expend or risk its own funds or otherwise incur financial liability in
         the performance of any of its duties hereunder, or in the exercise of
         any of its rights or powers, if the repayment of such funds or adequate
         written indemnity against such risk or liability is not reasonably
         assured to it in writing prior to the expenditure or risk of such funds
         or incurrence of financial liability. Notwithstanding any provision to
         the contrary, the Standby Servicer, in its capacity as such, and not in
         its capacity as successor Servicer, shall not be liable for any
         obligation of the Back-up Servicer or the Servicer contained in this
         Agreement so long as the Standby Servicer performs in such capacity,
         and the parties shall look only to the Servicer and the Back-up
         Servicer to perform such obligations.

                  (c) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Standby Servicer may conclusively rely and
         shall be fully protected in acting or refraining from acting upon any
         resolution, certificate, statement, instrument, opinion, report,
         notice, request, consent, order, approval or other paper or document
         believed by it to be genuine and to have been signed or presented by
         the proper party or parties.

                  (d) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Standby Servicer may consult with counsel
         and the advice or any opinion of counsel shall be full and complete
         authorization and protection in respect of any action taken or

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         omitted by it hereunder in good faith and in accordance with any such
         written counsel, a copy of which has been furnished to the Indenture
         Trustee and the Insurer.

                  (e) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Standby Servicer shall not be bound to make
         any investigation into the facts or matters stated in any resolution,
         certificate, statement, instrument, opinion, report, notice, request,
         consent, entitlement order, approval or other paper or document.

                  (f) Prior to assuming any of the Servicer's rights and
         obligations hereunder, the Standby Servicer may execute any of the
         trusts or powers hereunder or perform any duties hereunder either
         directly or by or through agents, attorneys, custodians or nominees
         appointed with due care, and shall not be responsible for any willful
         misconduct or negligence on the part of any agent, attorney, custodian
         or nominee so appointed.

                  (g) The Servicer shall have no liability, direct or indirect,
         to any party, for the acts or omissions of the Standby Servicer,
         whenever such acts or omissions occur or whenever such liability is
         imposed.

                  (h) Notwithstanding anything to the contrary herein, the
         Controlling Party shall have the right, with or without cause, to
         remove the Standby Servicer in its sole discretion and replace the
         Standby Servicer upon seven (7) days prior written notice. In the event
         that the Controlling Party exercises its right to remove and replace
         the Standby Servicer, such Person shall have no further obligation to
         perform the duties of the Standby Servicer under this Agreement except
         as set forth in Section 13.02.

                  (i) On or before the fifth Business Day of each month, the
         Servicer will deliver to the Standby Servicer a Computer Tape
         containing such information with respect to the Receivables as of the
         close of business on the last day of the immediately preceding
         Collection Period as is necessary for preparation of the Servicer's
         Certificate. The Standby Servicer shall use the Computer Tape to verify
         the information specified in Section 8.03(f)(ii) and (iii) contained in
         the Servicer's Certificate delivered by the Servicer, and the Standby
         Servicer shall certify to the Insurer that it has verified the
         Servicer's Certificate in accordance with this Section 8.03 and shall
         notify the Servicer, the Insurer and the Indenture Trustee of any
         discrepancies, in each case, on or before the related Deficiency Claim
         Date. Such notice shall be substantially in the form of Exhibit D
         attached hereto. In the event that the Standby Servicer reports any
         discrepancies, the Servicer and the Standby Servicer shall attempt to
         reconcile such discrepancies prior to the related Payment Date, but in
         the absence of a reconciliation, the Servicer's Certificate shall
         control for the purpose of calculations and payments with respect to
         the related Payment Date. In the event that the Standby Servicer and
         the Servicer are unable to reconcile discrepancies with respect to a
         Servicer's Certificate by the related Payment Date, (i) the Standby
         Servicer will notify the Insurer and the Indenture Trustee, and (ii)
         the Servicer shall cause a firm of independent certified public
         accountants, at the Servicer's expense, to audit the Servicer's
         Certificate and, prior to the fifth calendar day of the following
         month, reconcile the discrepancies. The effect, if any, of such
         reconciliation shall be reflected in the Servicer's Certificate for
         such next succeeding

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         Determination Date. In addition, the Servicer shall, if so requested by
         the Insurer (unless an Insurer Default shall have occurred and be
         continuing) deliver to the Standby Servicer (i) within five (5)
         Business Days of demand therefore a Computer Tape containing as of the
         close of business on the date of demand all of the data maintained by
         the Servicer in a format acceptable to the Standby Servicer in
         connection with servicing the Receivables and (ii) within fifteen (15)
         Business Days of demand therefore a copy of such other information as
         is reasonably requested by the Insurer for the purpose of reconciling
         such discrepancies.

                  (j) The Standby Servicer shall review each Servicer's
         Certificate delivered pursuant to Section 8.03(e) and shall, based upon
         the information provided from the Servicer under Section 8.03(e):

                           (i) confirm that such Servicer's Certificate is
                  complete on its face;

                           (ii) load the Computer Tape received from the
                  Servicer pursuant to Section 8.03(e) hereof, confirm that such
                  Computer Tape is in a readable form, and calculate the
                  Principal Balance of the Receivables based on the aggregate
                  Principal Balance of the Receivables as of the preceding
                  Payment Date (as set forth in such Servicer's Certificate) and
                  the principal portion of the Scheduled Receivable Payment or
                  Modified Scheduled Receivable Payment for the Receivables (as
                  set forth in such Servicer's Certificate) and compare such
                  calculation to that set forth in the Servicer's Certificate
                  (and give notice of any discrepancy to the Insurer); and

                           (iii) recalculate the Available Funds, the Class A-1
                  Monthly Interest, the Class A-2 Monthly Interest, the Class
                  A-3 Monthly Interest, the Class A-4 Monthly Interest, the
                  Class I Monthly Interest, the Monthly Principal, the Servicing
                  Fee, the Standby Servicer Fee, the Indenture Trustee Fee, the
                  Owner Trustee Fee, the amounts on deposit in the Spread
                  Account, the Collection Account and the Payahead Account, the
                  Premium, the Lock-Box Collection Percentage, the Average
                  Delinquency Ratio, the Cumulative Default Rate and the
                  Cumulative Net Loss Rate (as such percentage, ratio and such
                  rates are defined in the Spread Account Agreement) in the
                  Servicer's Certificate for such Determination Date, based
                  solely on the balances and calculations specifically set forth
                  in the Servicer's Certificate, and compare such recalculations
                  to those set forth in the Servicer's Certificate. To the
                  extent of any discrepancy, the Standby Servicer shall give
                  notice thereof to the Insurer. The Standby Servicer's
                  obligation shall be limited to the mathematical recalculation
                  of the amounts set forth in this Section 8.03(f)(ii) and (iii)
                  based on the Servicer's Certificate and Computer Tape.

         SECTION 8.04 Retention and Termination of Servicer. The Servicer hereby
covenants and agrees to act as such under this Agreement for an initial term,
commencing on the Closing Date and ending on December 31, 2003, which term may
be extended by written notice delivered by the Insurer, so long as the Insurer
is the Controlling Party, for successive three month periods ending on each
successive three month period (or, pursuant to revocable written

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<PAGE>

standing instructions from time to time to the Servicer and the Indenture
Trustee, extended for any specified number of terms greater than one), until the
termination of the Issuer. If an Insurer Default shall have occurred and be
continuing, such term will automatically be renewed unless the Majority
Noteholders vote to remove the Servicer. Any such notice (including each notice
pursuant to standing instructions, which, if delivered, shall be deemed
delivered at the end of successive monthly terms for so long as such
instructions are in effect) (a "Servicer Extension Notice") shall be delivered
by the Insurer to the Indenture Trustee and the Servicer. The Servicer hereby
agrees that, as of the date hereof and upon its receipt of any such Servicer
Extension Notice, the Servicer shall become bound, for the initial term
beginning on the date hereof and for the duration of the term covered by such
Servicer Extension Notice, to continue as the Servicer subject to and in
accordance with the other provisions of this Agreement. The Servicer's terms
shall not be extended unless a Servicer Extension Notice is received on or
before the last day of such term. This Section shall not apply to the Back-up
Servicer or the Standby Servicer.

         SECTION 8.05 Collection of Receivable Payments.

                  (a) Consistent with the standards, policies and procedures
         required by this Agreement, the Servicer shall make reasonable efforts
         to collect all payments called for under the terms and provisions of
         the Receivables as and when the same shall become due and shall follow
         such collection procedures as it follows with respect to all comparable
         automobile receivables that it services for itself or others and, in
         any event, with no less degree of skill and care than would be
         exercised by a prudent servicer of similar motor vehicle retail
         installment sales contracts and installment sale loan and security
         agreements. Promptly after the Closing Date (but in any event within
         twenty (20) days after the Closing Date), the Servicer will provide
         each Obligor with a monthly statement in order to notify such Obligors
         to make payments directly to the Lock-Box. If payments are modified or
         adjusted on a Receivable (provided that no such modification or
         adjustment may be made to the APR or the number or amounts of the
         Scheduled Receivable Payments) or are extended in the ordinary course
         of the Servicer's collection procedures (provided, that no extensions
         may be granted by the Servicer until at least six Scheduled Receivable
         Payments have been received by the Servicer under the related
         Receivable and thereafter only one extension not to exceed one month
         may be granted each twelve months; provided, further, that no more than
         three extensions shall be permitted on any Receivable; and provided,
         further, that not more than 1% (by Principal Balance of the Receivables
         as a percentage of the Pool Balance) may be extended during any
         Collection Period), and, as a result, any Receivable would be
         outstanding after the month immediately preceding the Final Maturity
         Date for the Class A-4 Notes or any such modification, adjustment or
         extension is in violation of the foregoing prohibitions, then the
         Servicer shall be obligated to purchase such Receivable pursuant to
         Section 8.10 (unless such Receivable is otherwise being purchased
         pursuant to Section 16.02). The Servicer may in its discretion waive
         any late payment charge or any other fees that it is entitled to retain
         under Section 8.11, or other fee (to the extent consistent with its
         credit and collection policy) that may be collected in the ordinary
         course of servicing a Receivable.

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                  (b) All allocations of payments with respect to a Simple
         Interest Receivable to principal and interest and determinations of
         periodic charges and the like shall be made using the simple interest
         method, based on either the actual number of days elapsed and the
         actual number of days in the calendar year or on a 365-day calendar
         year, as specified in the related installment sales contract or
         installment loan and security agreement. Each payment on a Simple
         Interest Receivable shall be applied first, in connection with the
         redemption of a Charged-off Receivable, to reimburse the Servicer for
         reasonable and customary out-of-pocket expenses incurred by the
         Servicer in connection with such Receivable, second, to late charges
         and other fees, third, to the extent necessary to bring such Receivable
         current, to interest in accordance with the simple interest method and
         fourth, to principal in accordance with the simple interest method. All
         allocations of payments with respect to a Precomputed Receivable to
         principal or interest shall be made using the actuarial or constant
         yield method. Payments made by or on behalf of an Obligor on a
         Precomputed Receivable including any Payaheads previously made and
         added to the Payahead Balance with respect to such Precomputed
         Receivable shall be applied first, in connection with the redemption of
         a Charged-off Receivable, to reimburse the Servicer for reasonable and
         customary out-of-pocket expenses incurred by the Servicer in connection
         with such Receivable, second, to late charges and other fees, third, to
         overdue Scheduled Receivable Payments. Next, any excess shall be
         applied to the Scheduled Receivable Payment and any remaining excess
         shall be added to the Payahead Balance, and shall be applied to prepay
         the Precomputed Receivable, but only if such Payahead Balance shall be
         sufficient to prepay the Receivable in full. Otherwise, any such
         remaining excess payments shall constitute a Payahead and shall
         increase the Payahead Balance. Notwithstanding the foregoing, no
         allocation pursuant to this Section 8.05(b) shall in any way alter or
         modify the payment priorities and rights and restrictions on Servicer
         reimbursement and compensation set forth in the Indenture.

         SECTION 8.06 Realization Upon Receivables.

                  (a) On behalf of the Trust and the Secured Parties the
         Servicer shall use its best efforts, consistent with its customary
         servicing procedures, to repossess or otherwise convert the ownership
         of the Financed Vehicle securing any Receivable as to which the
         Servicer shall have determined that eventual payment in full is
         unlikely. The Servicer shall follow such customary and usual practices
         and procedures as it shall deem necessary or advisable in its servicing
         of automobile receivables, which may include reasonable efforts to
         realize upon any recourse to Dealers (provided, that if SST or the
         Back-up Servicer is performing the duties of Servicer hereunder, BVAC
         agrees to use commercially reasonable efforts to cooperate with SST in
         realizing upon such Dealer recourse, it being understood and agreed
         that neither the Back-up Servicer nor SST shall have any obligation to
         pursue such remedies absent such BVAC cooperation) and selling the
         Financed Vehicle at public or private sale. The foregoing shall be
         subject to the provision that, in any case in which the Financed
         Vehicle shall have suffered damage, the Servicer shall not expend funds
         in connection with the repair or the repossession of such Financed
         Vehicle unless it shall determine in its discretion that such repair
         and/or repossession will increase the Liquidation Proceeds of the
         related Receivable by an amount equal to or greater than the amount of
         such expenses. After appropriate disposition of the Financed Vehicle,
         the Servicer shall also take such measures as it

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<PAGE>

         deems reasonable and appropriate to realize value in respect of any
         deficiency balance of the Receivable including pursuit of action on
         behalf of the Trust and/or the Secured Parties against the Obligor or
         public or private sale of the remaining interest of the Trust and/or
         the Secured Parties in such Receivable. If the Standby Servicer or the
         Back-up Servicer is the successor Servicer, it shall be reimbursed for
         all reasonable out-of-pocket expenses incurred in connection with this
         Section 8.06(a) and shall not be responsible for expenses incurred in
         connection with such powers of attorney necessary to satisfy its
         administrative and servicing duties hereunder.

                  (b) BVAC, as initial Servicer, agrees that within 45 days from
         the Closing Date, it shall make such filings and effect such notices as
         are necessary under Sections 9-310, 9-324(b) and 9-324(c) of the New
         York UCC (or comparable section of the UCC of any applicable state) to
         preserve the Trust's ownership interest (or security interest, as the
         case may be) and the security interest of the Indenture Trustee in any
         repossessed Financed Vehicles delivered for sale to Dealers.

                  (c) The Servicer agrees that at any time after the Closing
         Date there will be (i) no more than 10 repossessed Financed Vehicles in
         the aggregate delivered for sale to any Dealer and (ii) no more than 35
         repossessed Financed Vehicles in the aggregate delivered for the sale
         to all Dealers with respect to which the actions referred to in
         paragraph (b) above have not been effected. The Servicer agrees that
         prior to delivering additional Financed Vehicles for sale to any such
         Dealer in excess of the limits set forth in (i) and (ii) above, it
         shall make such filings and effect such notices as are necessary under
         Sections 9-310, 9-324(b) and 9-324(c) of the New York UCC (or
         comparable section of the applicable UCC) to preserve its ownership
         interest (or security interest, as the case may be) in any such
         repossessed Financed Vehicle.

                  (d) Unless otherwise stated in this Agreement, the Servicer
         shall either use its best efforts to liquidate or, at its sole option,
         purchase each Financed Vehicle that has not previously been liquidated
         and that secures, or previously secured, a Charged-Off Receivable
         either (i) by the end of the Collection Period preceding the Final
         Maturity Date for the Class A-4 Notes or (ii) if earlier, by the end of
         the Collection Period following the Collection Period during which such
         Receivable became a Charged-Off Receivable. Any purchase of a Financed
         Vehicle by the Servicer shall be made at a price equal to the fair
         market value of the Financed Vehicle as determined by the Servicer in
         accordance with the Servicer's normal servicing standards. This
         purchase obligation shall not apply to any successor Servicer.

         SECTION 8.07 Physical Damage Insurance.

                  (a) The Servicer, in accordance with its customary servicing
         procedures and underwriting standards, shall require that (i) each
         Obligor shall have obtained insurance covering the Financed Vehicle as
         of the date of execution of the Receivable insuring against loss and
         damage due to fire, theft, transportation, collision and other risks
         generally covered by comprehensive and collision coverage, (ii) each
         Receivable that finances the cost of premiums for credit life and
         credit accident and health insurance is covered by an insurance policy
         or certificate naming BVAC or the Bank as policyholder

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         (creditor) or loss payee and (iii) as to each Receivable that finances
         the cost of an extended service contract, the respective Financed
         Vehicle which secures the Receivable is covered by such extended
         service contract. The Servicer shall, in accordance with its customary
         servicing procedures, monitor such insurance coverage.

                  (b) To the extent applicable, the Servicer shall not take any
         action which would result in noncoverage under the insurance policy
         referred to in Section 8.07(a) which, but for the actions of the
         Servicer, would have been covered thereunder. The Servicer, on behalf
         of the Indenture Trustee, shall take such reasonable action as shall be
         necessary to permit recovery under any of the foregoing insurance
         policies. Any amounts collected by the Servicer under any of the
         foregoing insurance policies shall be deposited in the Collection
         Account pursuant to Section 9.03. The Servicer will endeavor to cause
         the related Obligor to obtain and maintain an insurance policy that
         complies with Section 8.07(a)(i). In no event shall the Servicer force
         place insurance on a Financed Vehicle.

         SECTION 8.08 Maintenance of Security Interests in Financed Vehicles.

                  (a) The Servicer shall, in accordance with its customary
         servicing procedures, take such steps as are necessary to ensure that
         perfection of the security interest created by each Receivable in the
         related Financed Vehicle has been obtained, and to maintain such
         security interest. The Trust hereby authorizes the Servicer to take
         such steps as are necessary to re-perfect such security interest on
         behalf of the Trust in the event of the relocation of a Financed
         Vehicle or for any other reason. Any out-of-pocket expenses incurred by
         any successor Servicer in connection with any such re-perfection shall
         be reimbursable in accordance with the priorities set forth in Section
         8.05(a) of the Indenture.

                  (b) (i) In accordance with the Custodian Agreement, by the
         third Business Day following the date (the "180 day notice date") which
         is 180 days following the Closing Date or, if such date is not a
         Business Day, on the next succeeding Business Day, the Indenture
         Trustee shall inform BVAC and the other parties to this Agreement and
         the Insurer of any Receivable listed on the exception list attached as
         Exhibit B to the Custodian Agreement provided to the Indenture Trustee
         on the Closing Date for which the related Receivable File on the 180
         day notice date does not include a Certificate of Title (or such
         evidence of title as may be issued in any applicable jurisdiction as of
         the close of business on the date which is 180 days after closing).
         BVAC shall repurchase any such Receivable as of the last day of the
         Collection Period in which the date, which is 180 days following the
         Closing Date occurs, if the related Receivable File does not include a
         Certificate of Title as of the close of business on such 180th day (or
         such evidence of title as may be issued in any applicable jurisdiction)
         to the extent any such Receivable was not otherwise released or
         repurchased pursuant to Section 8.08(b)(v) below. In consideration of
         the purchase of such Receivable, BVAC shall remit the Purchase Amount
         in the manner specified in Section 8.10.

                  (ii) In accordance with the Custodian Agreement, by the third
         Business Day following the date (the "30 day notice date") which is 30
         days following the Closing Date or, if such date is not a Business Day,
         on the next succeeding Business Day, the

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         Indenture Trustee shall inform BVAC and the other parties to this
         Agreement and the Insurer of any Receivable listed on the exception
         list attached as Exhibit B to the Custodian Agreement provided to the
         Indenture Trustee on the Closing Date due to a Receivable File which is
         missing a fully executed original of the related retail installment
         contract or retail installment loan contract, as applicable, which
         remains uncured by the close of business on the date which is 30 days
         following the Closing Date. BVAC shall repurchase any such Receivable
         within two Business Days after the date on which the Indenture Trustee
         delivers its report pursuant to this Section 8.08(b)(ii) to the extent
         any such Receivable was not otherwise released or repurchased pursuant
         to Section 8.08(b)(v) below. In consideration of the purchase of such
         Receivable, BVAC shall remit the Purchase Amount in the manner
         specified in Section 8.10.

                  (iii) On or before the Closing Date, the Indenture Trustee
         shall establish the Reserve Account at the direction of BVAC as a
         segregated non-interest bearing trust account in the name of the Trust
         for the benefit of the Secured Parties with the Indenture Trustee (at
         the Indenture Trustee Office) or another Eligible Bank. On the Closing
         Date, BVAC shall deposit the Initial Reserve Account Deposit into the
         Reserve Account. The Indenture Trustee shall, at the direction of BVAC,
         invest the amounts in the Reserve Account in Eligible Investments that
         mature not later than the Business Day prior to the next succeeding
         Reserve Release Date (as defined below) and shall hold such Eligible
         Investments to maturity; provided, however, it is understood and agreed
         that the Indenture Trustee shall not be liable for any loss arising
         from such investment in Eligible Investments unless the Eligible
         Investment was a direct obligation of the Indenture Trustee or unless
         such loss was caused by the Indenture Trustee's negligence or willful
         misconduct (it being understood and acknowledged that no loss on any
         such Eligible Investment which was made in conformity with this
         Agreement and the instructions of the Transferor, shall be considered
         "caused by the Indenture Trustee's negligence or willful misconduct").
         No investment may be sold prior to its maturity. All such Eligible
         Investments shall be held by or on behalf of the Indenture Trustee for
         the benefit of the Indenture Trustee on behalf of the Noteholders, the
         Insurer and Certificateholder, as their interests may appear. The
         Indenture Trustee (or its custodian) shall at all times (i) maintain
         possession of any negotiable instruments or securities evidencing
         Eligible Investments until the time of sale or maturity and each
         certificated security or negotiable instrument evidencing an Eligible
         Investment shall be endorsed in blank or to the Indenture Trustee (or
         its custodian) or registered in the name of the Indenture Trustee and
         (ii) cause any Eligible Investment represented by an uncertificated
         security to be registered in the name of the Indenture Trustee (or its
         custodian).

                  (iv) On or before the initial Reserve Release Date, the
         Indenture Trustee shall review the Receivables listed on the exception
         list attached as Exhibit E to this Agreement (the "Exception List") (in
         the manner required under the terms of the Custodian Agreement, as
         applicable) provided to the Indenture Trustee on the Closing Date and
         prepare an updated list, under cover of a certificate in substantially
         the form attached hereto as Exhibit F, as the same may be further
         updated as described below, (the "Updated Exception List") deleting
         those Receivable with respect to which the Indenture Trustee has
         reviewed the fully executed original of the Receivable with the fully
         executed assignment from the related Dealer and (a) a Certificate of
         Title (or such evidence of title

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         as may be issued in any applicable jurisdiction) as required under the
         terms of the Custodian Agreement or (b) a copy of a duly completed
         application of title with which has been filed in the appropriate
         jurisdiction. Thereafter, the Indenture Trustee shall continue to
         review the related Updated Exception List and prepare and certify a new
         Updated Exception List on or prior to the immediately succeeding
         Reserve Release Date. As used herein, the "Reserve Release Date" means,
         initially, the fourth Business Day following the Closing Date, and
         thereafter, each succeeding date occurring one week thereafter
         (provided, if such date is not a Business Day, the related Reserve
         Release Date shall be the Business Day immediately succeeding such
         date), or such earlier date or dates on which the Indenture Trustee may
         be prepared to release additional amounts from the Reserve Account (as
         evidenced by the preparation and certification by the Indenture Trustee
         of a new Updated Exception List with respect to such Reserve Release
         Date(s) and the delivery by BVAC of an instructional letter,
         acknowledged by the Insurer, with respect to such Reserve Release
         Date(s) in substantially the form attached hereto as Exhibit G), ending
         on and including the Final Reserve Date.

                  (v) On each Reserve Release Date, the Indenture Trustee shall
         release to BVAC (by wire transfer in immediate available funds) from
         the Reserve Account, the Reserve Release Amount relating to any
         Receivable which has been deleted from the Updated Exception List (or
         in the case of the first Reserve Release Date, the Exception List) with
         respect to such Reserve Release Date, as specified in an instructional
         letter from BVAC, acknowledged by the Insurer, in substantially the
         form attached hereto as Exhibit G. With respect to any Reserve Release
         Date and any Receivable, the "Reserve Release Amount" will be an amount
         equal to the Principal Balance of such Receivable as of the Cut-off
         Date as set forth on Exhibit E to this Agreement and the pro rata
         portion (based on the Principal Balance of the Receivables included on
         such list) of investment interest earned on the portion of the Reserve
         Account relating to such Receivable. To the extent a Receivable becomes
         a Charged-Off Receivable during a Collection Period while on the
         Exception List or an Updated Exception List or otherwise must be
         repurchased pursuant to Section 8.08(b)(i) or Section 8.08(b)(ii), the
         Indenture Trustee shall withdraw the Purchase Amount related to such
         Receivable from the Reserve Account on behalf of BVAC, in consideration
         of the purchase of such Receivable, and deposit such amount in the
         Collection Account not later than 11:00 a.m. (New York City time) on
         the related Determination Date. With respect to any Receivable
         described in the preceding sentence, neither the Transferor nor BVAC
         shall otherwise be required to remit the Purchase Amount in the manner
         specified in Section 7.02 or Section 8.10 with respect to any such
         Receivable so repurchased or otherwise removed from the Exception List
         or Updated Exception List.

                  (vi) Notwithstanding the foregoing, in the event that the
         conditions for release of funds set forth in Section 8.08(b)(v) have
         not been satisfied with respect to any Receivable on or before the date
         which is 180 days following the Closing Date as determined by the
         Indenture Trustee by the third Business Day following such 180th day
         (the "Final Reserve Date") or, if such date is not a Business Day, on
         the next succeeding Business Day, BVAC shall repurchase such Receivable
         in the manner specified in Section 8.08(b)(v) at the Purchase Amount
         related to such Receivable utilizing funds in the Reserve Account by
         withdrawing the aggregate Purchase Amount then due and

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<PAGE>

         depositing such amount in the Collection Account. BVAC shall promptly
         remit any deficiency in the aggregate Purchase Amount in the manner
         specified in Section 8.10. Any amounts remaining in the Reserve Account
         after the payment of the aggregate Purchase Amount for such Receivables
         pursuant to this Section 8.08(b)(vi) shall be distributed to BVAC (by
         wire transfer in immediate available funds).

                      (vii) Notwithstanding any other provision in the Purchase
         Agreement or Trust Agreement, until the Final Reserve Date, the
         provisions of this Section 8.08(b) shall be the sole remedy with
         respect to Receivables set forth on Exhibit E to this Agreement and
         neither the Transferor nor BVAC shall otherwise be required to remit
         the Purchase Amount in the manner specified in Section 7.02 or Section
         8.10 with respect to such Receivables, solely due to any such
         Receivable having a deficiency in its Receivable File.

                  (c) Upon the occurrence of an Insurance Agreement Event of
         Default, the Servicer, at the written direction of the Insurer (if no
         Insurer Default shall have occurred and be continuing and the Insurance
         Agreement has not terminated), shall take or cause to be taken such
         reasonable action as may, in the opinion of counsel to the Insurer
         (which opinion shall not be an expense of the Insurer), be necessary or
         desirable to perfect or re-perfect the security interests in the
         Financed Vehicles securing the Receivables in the name of the Indenture
         Trustee on behalf of the Issuer, the Noteholders and the Insurer by
         amending the title documents of such Financed Vehicles or by such other
         reasonable means as may, in the opinion of counsel to the Insurer,
         which opinion shall not be an expense of the Insurer, be necessary or
         prudent and shall deliver to the Indenture Trustee any Receivable File
         or portion thereof that has been released by the Indenture Trustee to
         the Servicer and is then in the possession of the Servicer, including
         any original certificates of title. The Servicer (so long as the
         Servicer is BVAC) shall, and if the Servicer has been removed, BVAC
         shall pay all costs and expenses related to such perfection or
         re-perfection (the "Reliening Expenses"). In addition, prior to the
         occurrence of an Insurance Agreement Event of Default, the Insurer may
         (so long as it is the Controlling Party) instruct the Indenture Trustee
         and the Servicer to take or cause to be taken such action as may, in
         the opinion of counsel to the Insurer, be necessary to perfect or
         reperfect the security interest in the Financed Vehicles securing the
         Receivables in the name of the Indenture Trustee on behalf of the
         Issuer, including by amending the title documents of such Financed
         Vehicles to reflect the security interest of the Indenture Trustee in
         the related Financed Vehicle or by such other reasonable means as may,
         in the opinion of counsel to the Insurer, be necessary or prudent;
         provided, however, that if the Insurer requests (so long as it is the
         Controlling Party) that the title documents be amended prior to the
         occurrence of an Insurance Agreement Event of Default, the
         out-of-pocket expenses of the Servicer or the Indenture Trustee in
         connection with such action shall be reimbursed to the Servicer or the
         Indenture Trustee, as applicable, by the Insurer.

                  (d) Notwithstanding anything to the contrary set forth in this
         Agreement or any of the other Basic Documents, if as a result of the
         dissolution of the Bank, the Indenture Trustee does not have a first
         priority perfected security interest in any Financed Vehicle securing a
         Receivable in which the related title documents list the Bank (or any
         variation of the Bank's name) as lienholder, BVAC shall promptly notify
         the Indenture

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<PAGE>

         Trustee and the Insurer and shall be required, at the direction of the
         Insurer (or if the Insurer is no longer the Controlling Party, the
         Indenture Trustee), to take all actions (at BVAC's expense) necessary
         or desirable to perfect or re-perfect the security interest in any such
         Financed Vehicle in the name of the Indenture Trustee on behalf of the
         Issuer, the Noteholders and the Insurer, including, without limitation,
         amending the title documents of such Financed Vehicle; provided, that
         with respect to any certificate of title of a Financed Vehicle that is
         titled in the name of the Bank (or any variation of the Bank's name) in
         North Carolina, BVAC shall cause such certificate of title to be marked
         to reflect the security interest of the Indenture Trustee in such
         Financed Vehicle, at the expense of BVAC, on or prior to February 14,
         2006.

         The Servicer hereby makes, constitutes and appoints the Indenture
Trustee acting through its duly appointed officers or any of them, its true and
lawful attorney, for it and in its name and on its behalf, for the sole and
exclusive purpose of authorizing said attorney to execute and deliver as
attorney-in-fact or otherwise, any and all documents and other instruments and
to do or accomplish all other acts or things necessary or appropriate to show
the Indenture Trustee as lienholder or secured party on the certificate of title
relating to a Financed Vehicle. BVAC, as initial Servicer, shall cause the Bank
to deliver a power of attorney to the Indenture Trustee in accordance with the
foregoing with respect to the Bank.

         SECTION 8.09 Covenants of Servicer. The Servicer hereby makes the
following covenants to the other parties hereto and the Insurer on which the
Indenture Trustee shall rely in accepting the Receivables in trust and on which
the Insurer shall rely in issuing the Policy, except for a release to an insurer
in exchange for insurance proceeds paid by such insurer resulting from a claim
for the total insured value of a vehicle, the Servicer shall not (i) release the
Financed Vehicle securing each such Receivable from the security interest
granted by such Receivable in whole or in part except in the event of payment in
full by or on behalf of the Obligor thereunder or repossession, (ii) impair the
rights of the Noteholders or the Insurer in the Receivables, (iii) change the
Annual Percentage Rate with respect to any Receivable, except as may be required
by applicable law and (iv) otherwise modify any contract except as permitted by
this Agreement. In addition, the Servicer shall service the Receivables as
required by the terms of this Agreement and in material compliance with its
current servicing procedures for servicing all of its comparable motor vehicle
contracts. No successor Servicer shall incur any liability for the
representations, warranties or covenants of any predecessor Servicer hereunder.

         SECTION 8.10 Purchase of Receivables Upon Breach. The Servicer, the
Transferor, the Indenture Trustee or the Owner Trustee shall inform the other
party and the Indenture Trustee and the Insurer promptly, in writing, upon the
discovery of (i) any breach by the Servicer of its obligations under Sections
8.01, 8.05, 8.06, 8.07, 8.08 or 8.09 or (ii) the existence of the Servicer's
obligation to purchase a Receivable pursuant to Section 8.05(a); provided,
however, that the failure to give such notice shall not affect any obligation of
the Servicer hereunder. Unless such breach shall have been cured by the last day
of the first full Collection Period following the discovery or notice of such
breach, the Servicer shall on such day purchase any Receivable materially and
adversely affected by such breach or which materially and adversely affects the
interests of the Insurer or the Noteholders (which shall include any Receivable
as to which a breach of Section 8.06 has occurred); provided, that with respect
to any breach of Section 8.07(b), the Servicer may at its option, instead of
repurchasing

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the related Receivable, deposit in the Collection Account the amount of the loss
resulting from the lapse or lack of insurance. In consideration of the purchase
of such Receivable, the Servicer shall remit the Purchase Amount with respect to
such Receivable in the manner specified in Section 9.04. Notwithstanding the
foregoing, if SST shall have become the Servicer, it will not be so obligated to
purchase such nonconforming Receivables. SST's only obligation to the Trust
shall be to make the indemnity in Section 13.02 hereof. The Indenture Trustee
and Owner Trustee shall have no duty to conduct any affirmative investigation as
to the occurrence of any condition requiring the repurchase of any Receivable
pursuant to this Section. The sole remedy of the Owner Trustee, the Trust, or
the Secured Parties with respect to the aforementioned breaches shall be to
require the Servicer to purchase Receivables pursuant to this Section 8.10;
provided, however, that the Servicer shall indemnify the Insurer, the Issuer and
the Noteholders and each of their respective officers, employees, directors,
agents and representatives against all costs, expenses, losses, damages, claims
and liabilities, including reasonable fees and expenses of counsel, which may be
asserted against or incurred by any of them as a result of third-party claims
arising out of the events or facts giving rise to such breach. No predecessor
nor successor Servicer shall be responsible for the acts or omissions of any
other Servicer. Upon receipt of the Purchase Amount and any related indemnity
payments, the Indenture Trustee shall release to the Servicer or its designee
the related Receivable File and shall execute and deliver all instruments of
transferor assignment, without recourse, as are prepared by the Servicer and
delivered to the Indenture Trustee and are necessary to vest in the Servicer or
such designee the Issuer's right, title and interest in the Receivable.
Notwithstanding the foregoing, BVAC shall not be required to remit the Purchase
Amount in the manner specified in this Section 8.10 with respect to any
Receivable repurchased or subject to repurchase by BVAC pursuant to Section 8.08
for the reasons specified in Section 8.08.

         SECTION 8.11 Servicing Fee

                  (a) The Servicer shall be entitled to a Servicing Fee as
         defined herein. The Servicer shall also be entitled to retain, and need
         not deposit in the Collection Account, all late fees, prepayment
         charges and other administrative fees and expenses or similar charges
         allowed by applicable law with respect to the Receivables, collected
         (from whatever source) on the Receivables during such Collection Period
         (the Supplemental Servicing Fee").

                  (b) So long as it has not become the Servicer, the Back-up
         Servicer shall be entitled to the Back-up Servicing Fee. If it becomes
         the Servicer, the Back-up Servicer will be entitled to the Servicing
         Fee.

                  (c) So long as it has not become the Servicer, the Standby
         Servicer will be entitled to the Standby Servicer Fee. If it becomes
         the Servicer, the Standby Servicer will be entitled to the fee set
         forth in Schedule C in its capacity as successor Servicer.

                  (d) Neither the Indenture Trustee, Back-up Servicer or Standby
         Servicer shall be liable for any differential between the Servicing Fee
         and the amount necessary to induce a successor Servicer to accept its
         appointment as such pursuant to this Agreement.

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                  (e) Each of the Servicer, the Back-up Servicer and the Standby
         Servicer acknowledge and agree that any fees, expenses, costs,
         indemnities and other amounts, including without limitation, Transition
         Costs, payable to the Servicer, the Back-up Servicer and the Standby
         Servicer shall not be payable from amounts owed or paid under the
         Policy.

         SECTION 8.12 Servicer's Certificate. On or before the Determination
Date following each Collection Period, the Servicer shall deliver to the Owner
Trustee, the Indenture Trustee, the Standby Servicer, the Back-up Servicer, the
Collateral Agent and the Insurer (until the Insurance Agreement is terminated) a
Servicer's Certificate in substantially the form of Exhibit 3 attached hereto
containing all information necessary to make the distributions pursuant to
Section 8.05 of the Indenture (so long as the Notes remain outstanding) for the
Collection Period preceding the date of such Servicer's Certificate and all
information necessary for the Indenture Trustee to send statements to the
Noteholders and the Owner Trustee to send statements to the Certificateholder,
including (A) the amount of aggregate collections on the Receivables, (B) the
aggregate Purchase Amount of the Receivables repurchased by BVAC and purchased
by the Servicer, (C) with respect to Precomputed Receivables the net deposit
from the Collection Account to the Payahead Account or the net withdrawal from
the Payahead Account to the Collection Account required for the Collection
Period in accordance with Section 9.10, and in the case of a net withdrawal, the
Monthly Interest and Monthly Principal reported on such Servicer's Certificate
shall reflect the portions of such withdrawal allocable to interest and
principal, respectively, in accordance with this Agreement, (D) the amount, if
any, to be withdrawn from the Spread Account and the amount, if any, to be drawn
on the Policy, (E) information respecting (i) delinquent Receivables that are
30, 60 and 90 days past due, (ii) the number of repossessions of Financed
Vehicles during the preceding Collection Period, number of unliquidated
repossessed Financed Vehicles, gross and net losses on the Receivables, and
Recoveries; and Recoveries on Charged-Off Receivables, and (iii) adjusted,
modified or extended Receivables as necessary or requested by the Indenture
Trustee or the Insurer to confirm compliance with Section 8.05(a); (F) (for so
long as BVAC is the Servicer) calculations of the financial covenants required
to be maintained pursuant to Section 5.1 of the Insurance Agreement and whether
BVAC is in compliance therewith; and (G) each other item listed in Section 8.05
of the Indenture reasonably requested by a Rating Agency, the Indenture Trustee
or the Insurer (so long as the Insurer is the Controlling Party) in order to
monitor the performance of the Receivables. Receivables purchased by BVAC as of
the last day of such Collection Period shall be identified by the BVAC account
number with respect to such Receivable (as specified in Schedule A to this
Agreement). In addition to the information set forth in the preceding sentence,
the Servicer's Certificate shall also contain the following information: (a) the
Average Delinquency Ratio, Cumulative Default Rate, Cumulative Net Loss Rate and
Lock-Box Collection Percentage (as such terms are defined in the Spread Account
Agreement) for such Determination Date; (b) whether any Trigger Event has
occurred as of such Determination Date; (c) whether any Trigger Event that may
have occurred as of a prior Determination Date is Deemed Cured as of such
Determination Date; and (d) whether to the knowledge of the Servicer an
Insurance Agreement Event of Default has occurred.

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         SECTION 8.13 Annual Statement as to Compliance; Notice of Default.

                  (a) The Servicer shall deliver to the Indenture Trustee
         (without duplication), the Owner Trustee, the Standby Servicer, the
         Back-up Servicer, the Rating Agencies, the Insurer and the Noteholders,
         on or before March 15 of each year, beginning on March 15, 2004, an
         Officers' Certificate, dated as of December 31 of the preceding year,
         stating that (i) a review of the activities of the Servicer during the
         preceding 12-month period (or in the case of the initial Officer's
         Certificate, the period from the Closing Date to and including the date
         of such Officer's Certificate) and of its performance under this
         Agreement has been made under such officer's supervision and (ii) to
         the best of such officer's knowledge, based on such review, the
         Servicer has fulfilled all its obligations under this Agreement
         throughout such year, or, if there has been a default in the
         fulfillment of any such obligation, specifying each such default known
         to such officer and the nature and status thereof.

                  (b) The Servicer shall deliver to, without duplication, the
         Owner Trustee, the Indenture Trustee, the Back-up Servicer, the Standby
         Servicer, the Rating Agencies and the Insurer, promptly after having
         obtained actual knowledge thereof, but in no event later than 2
         Business Days thereafter, written notice in an Officer's Certificate of
         any event which with the giving of notice or lapse of time, or both,
         would become an Event of Servicer Default (if BVAC is the Servicer)
         under Section 14.01 or Standby Servicer Default (if the Standby
         Servicer is the Servicer) under Section 14.02. The Transferor shall
         deliver to the Owner Trustee, the Indenture Trustee, the Standby
         Servicer, the Back-up Servicer, the Rating Agencies, and the Insurer,
         promptly after having obtained knowledge thereof, but in no event later
         than 2 Business Days thereafter, written notice in an Officer's
         Certificate of any event which with the giving of notice or lapse of
         time, or both, would become an Event of Servicer Default under clause
         (ii) of Section 14.01. The Indenture Trustee shall forward a copy of
         each Officer's Certificate so received to each Noteholder.

         SECTION 8.14 Annual Independent Certified Public Accountant's Report.

                  (a) The Servicer will deliver to, without duplication, the
         Indenture Trustee, the Owner Trustee, the Insurer, the Standby
         Servicer, the Back-up Servicer and the Rating Agencies, on or before
         March 15 of each year beginning March 15, 2004, a report prepared by
         Independent Accountants, who may also render other services to the
         Servicer or any of its Affiliates or to the Transferor addressed to the
         Board of Directors of the Servicer or any of its Affiliates, the
         Indenture Trustee and the Insurer and dated during the current year, to
         the effect that such firm has audited the financial statements of the
         Servicer and issued its report therefor and that such audit (a) was
         made in accordance with generally accepted auditing standards, and
         accordingly included such tests of the accounting records and such
         other auditing procedures as such firm considered necessary in the
         circumstances; (b) included tests relating to automotive loans serviced
         for others in accordance with the requirements of the Uniform Single
         Attestation Program for Mortgage Bankers (the "Program"), to the extent
         the procedures in the Program are applicable to the servicing
         obligations set forth in this Agreement; (c) included an examination of
         the delinquency and loss statistics relating to the Servicer's
         portfolio of

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         automobile, sport utility vehicle, light duty truck and van sale
         contracts and loan and security agreements; and (d) except as described
         in the report, disclosed no exceptions or errors in the records
         relating to automobile, sport utility vehicle, light duty truck and van
         loans serviced for others that, in the firm's opinion, the Program
         requires such firm to report. The accountant's report shall further
         state that (1) a review in accordance with agreed upon procedures was
         made of three randomly selected Servicer's Certificates; (2) except as
         disclosed in the report, no exceptions or errors in the Servicer's
         Certificates were found; and (3) the delinquency and loss information
         relating to the Receivables contained in the Servicer's Certificates
         were found to be accurate.

                  (b) Such report shall also indicate that the firm is
         independent of the Servicer and its Affiliates within the meaning of
         the Code of Professional Ethics of the American Institute of Certified
         Public Accountants.

                  (c) In the event such firm requires the Indenture Trustee to
         agree to the procedures performed by such firm, the Servicer shall
         direct each such Person in writing to so agree, it being understood and
         agreed that each such Person will deliver such letter of agreement in
         conclusive reliance upon the direction of the of the Servicer, and
         neither such Person shall make any independent inquiry or investigation
         as to, and shall have no obligation or liability in respect of, the
         sufficiency, validity or correctness of such procedures. Delivery of
         such reports, information and documents to the Indenture Trustee is for
         informational purposes only, and the Indenture Trustee's receipt of
         such shall not constitute constructive notice of any information
         contained therein or determinable from information contained therein,
         including the Servicer's compliance with any of its covenants
         hereunder.

                  (d) Notwithstanding this Section 8.14, if the Standby Servicer
         is then acting as the successor Servicer, it shall only be required to
         provide a copy of its annual SAS 70 report and its audited financial
         statements.

         SECTION 8.15 Access to Certain Documentation and Information Regarding
Receivables. The Servicer shall provide to the Owner Trustee, the Indenture
Trustee, the Back-up Servicer, the Standby Servicer, and the Insurer access to
the Receivables Files in such cases where such parties shall be required by
applicable statutes or regulations to review such documentation. Access shall be
afforded without charge, but only upon reasonable request and during the normal
business hours at the respective offices of the Servicer. Nothing in this
Section shall affect the obligation of the Servicer to observe any applicable
law prohibiting disclosure of information regarding the Obligors, and the
failure of the Servicer to provide access to information as a result of such
obligation shall not constitute a breach of this Section 8.15.

         SECTION 8.16 Servicer Expenses. The Servicer shall be required to pay
all expenses incurred by it in connection with its activities hereunder,
including fees and disbursements of independent accountants, taxes imposed on
the Servicer, and expenses incurred in connection with distributions and reports
to Noteholders, the Indenture Trustee and the Insurer; provided, however, that
any successor Servicer shall be entitled to be reimbursed for any Transition
Costs, and with respect to SST, such costs as set forth on Schedule C attached
hereto.

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         SECTION 8.17 Reports to Noteholders. The Indenture Trustee shall
provide to any Noteholder who so requests in writing (addressed to the Corporate
Trust Office of the Indenture Trustee) a copy of any certificate described in
Section 8.12, the annual statement described in Section 8.13, or the annual
report described in Section 8.14. The Indenture Trustee may require the
requesting party to pay a reasonable sum to cover the cost of the Indenture
Trustee's complying with such request.

         SECTION 8.18 Fidelity Bond. Each of the Servicer, the Stand by Servicer
and any successor Servicer (other than Deutsche Bank Trust Company Americas)
hereby represent and covenant that it has obtained, and shall continue to
maintain in full force and effect, a fidelity bond and errors and omissions
policy covering it of a type and in such amount as is customary for prudent
servicers engaged in the business of servicing motor vehicle retail installment
sales contracts similar to the Receivables.

         SECTION 8.19 Delegation of Duties. The Servicer may at any time
delegate duties under this Agreement to sub-contractors who are in the business
of servicing motor vehicle contracts with the prior written consent of the
Controlling Party; provided, however, that no such delegation or sub-contracting
of duties by the Servicer shall relieve the Servicer of its responsibility with
respect to such duties. In the event the Servicer shall for any reason no longer
be the servicer of the Receivables (including by reason of an Event of Servicer
Default), the successor Servicer shall assume all of the rights and obligations
of the predecessor Servicer under one or more subservicing agreements that may
have been entered into by the predecessor Servicer by giving notice of such
assumption to the related Servicer or Servicers within ten (10) Business Days of
the termination of such Servicer as servicer of the Receivables; provided,
however, that a successor Servicer may elect to terminate a subservicing
agreement with the prior written consent of the Insurer, so long as no Insurer
Default is then continuing and the Insurance Agreement has not terminated. If
the successor Servicer does not elect to assume any subservicing agreement, any
and all costs of termination shall be at the predecessor Servicer's expense.
Upon the giving of such notice, the successor Servicer shall be deemed to have
assumed all of the predecessor Servicer's interest therein and to have replaced
the predecessor Servicer as a party to the subservicing agreement to the same
extent as if the subservicing agreement had been assigned to the assuming party
except that the predecessor Servicer and the Servicer, if any, shall not thereby
be relieved of any liability or obligations accrued up to the date of the
replacement of the Servicer under the subservicing agreement and the Servicer,
if any, shall not be relieved of any liability or obligation to the predecessor
Servicer that survives the assignment or termination of the subservicing
agreement. The successor Servicer shall notify each Rating Agency and, the
Insurer (so long as the Insurer is the Controlling Party) if any subservicing
agreement is assumed by such successor Servicer. The predecessor Servicer shall,
upon request of the Indenture Trustee or any successor Servicer, but at the
expense of the predecessor Servicer, deliver to the assuming party all documents
and records relating to the subservicing agreement and the Receivables then
being serviced and an accounting of amounts collected and held by it and
otherwise use its reasonable best efforts to effect the orderly and efficient
transfer of the subservicing agreement to the assuming party.

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                                   ARTICLE IX

        COLLECTIONS; DISTRIBUTIONS TO NOTEHOLDERS AND CERTIFICATEHOLDERS

         SECTION 9.01 Lock-Box Account.

                  (a) On or prior to the Closing Date, BVAC, as initial
         Servicer, shall establish the Lock-Box Account as an Eligible Account
         with the Lock-Box Bank, all in accordance with the terms of the
         Lock-Box Agreement; provided that the Servicer, with the prior written
         consent of the Insurer (so long as it is the Controlling Party), may
         from time to time (a) establish additional or substitute Lock-Box
         Accounts, each of which shall be an Eligible Account, and (b) close or
         terminate the use of such account or any subsequently established
         accounts, each of which accounts, at such time, shall no longer be
         deemed to be a Lock-Box Account; provided, further, that pursuant to
         the Lock-Box Agreement, the Lock-Box Processor and no other person,
         other than the Indenture Trustee or the Servicer, shall have authority
         to direct disposition of funds related to the Receivables on deposit in
         the Lock-Box Account consistent with the provisions of this Agreement
         and the Lock-Box Agreement. The Indenture Trustee shall have no
         liability or responsibility with respect to the Lock-Box Processors or
         the Servicer's directions or activities as set forth in the preceding
         sentence. The Lock-Box Account shall be established pursuant to and
         maintained in accordance with the Lock-Box Agreement and shall at all
         times be an Eligible Account. In conjunction with the establishment of
         the Lock-Box Account, BVAC, as initial Servicer, shall establish and
         maintain the Lock-Box at a United States Post Office Branch.
         Notwithstanding the Lock-Box Agreement or any of the provisions of this
         Agreement relating to the Lock-Box and the Lock-Box Agreement, the
         Servicer shall remain obligated and liable to the Indenture Trustee and
         the Noteholders for servicing and administering the Receivables and the
         other Trust Property in accordance with provisions of this Agreement
         without diminution of such obligation or liability by virtue thereof.

                  (b) In the event the Servicer shall for any reason no longer
         be acting as such, the Lock-Box Agreement shall terminate in accordance
         with its terms and funds on deposit in the Lock-Box Account shall be
         distributed by the Lock-Box Bank, as agent for the beneficial owners of
         funds in the Lock-Box Account at such time (including the Issuer), and
         the Lock-Box Bank shall deposit any such funds relating to the
         Receivables to such other account as shall be identified by the
         successor Servicer for deposit therein; provided, however, that the
         outgoing Servicer shall not thereby be relieved of any liability or
         obligations on the part of the outgoing Servicer to the Lock-Box Bank
         under such Lock-Box Agreement. The outgoing Servicer shall, upon
         request of the Indenture Trustee, but at the expense of the outgoing
         Servicer, deliver to the successor Servicer all documents and records
         relating to the Lock-Box Agreement and an accounting of amounts
         collected and held in the Lock-Box Account or held by the Lock-Box
         Processor in respect of the Receivables and otherwise use its best
         efforts to effect the orderly and efficient transfer of any Lock-Box
         Agreement to the successor Servicer. In the event that the Lock-Box
         Account fails at any time to qualify as an Eligible Account, the
         Servicer, at its expense, shall cause the Lock-Box Bank to deliver, at
         the direction of the Controlling Party to the Indenture Trustee or a
         successor Lock-Box Bank, all documents and records

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         relating to the Receivables and all amounts held (or thereafter
         received) on deposit in the Lock-Box Account or held by the Lock-Box
         Processor in respect of the Receivables (together with an accounting of
         such amounts) and shall otherwise use its best efforts to effect the
         orderly and efficient transfer of the Lock-Box arrangements, and the
         Servicer shall promptly notify the Obligors to make payments to any new
         Lock-Box.

                  (c) Upon establishment of the Lock-Box Account in accordance
         with Section 9.01(a) hereof, the Servicer shall use reasonable efforts
         to cause the Lock-Box Processor to transfer any payments in respect of
         the Receivables from or on behalf of Obligors received in the Lock-Box
         to the Lock-Box Account on the Business Day on which such payments are
         received, pursuant to the Lock-Box Agreement. Within two Business Days
         of receipt of such funds into the Lock-Box Account, the Servicer shall
         cause the Lock-Box Bank to transfer available funds related to the
         Receivables from the Lock-Box Account to the Collection Account, and if
         such funds are not available funds, as soon thereafter as they clear
         (i.e., become available for withdrawal from the Lock-Box Account). In
         addition, the Servicer shall remit all payments by or on behalf of the
         Obligors received by the Servicer with respect to the Receivables
         (other than Purchased Receivables), and all Liquidation Proceeds,
         insurance proceeds and other collections from whatever source, no later
         than the second Business Day following receipt into the Lock-Box
         Account or the Collection Account, as applicable.

                  (d) Until such time as the Lock-Box Collection Percentage with
         respect to any Determination Date equals or exceeds 85%, the Servicer
         (i) shall on or prior to the Closing Date, obtain and maintain an
         employee dishonesty bond in the amount of $3,000,000 covering each
         employee of the Servicer responsible for opening, processing and
         depositing Scheduled Receivable Payments received directly by the
         Servicer, and (ii) shall cause Deloitte & Touche LLP or another firm of
         accountants acceptable to the Insurer, in its sole and absolute
         discretion, to prepare a weekly reconciliation of Scheduled Receivable
         Payments which have been received by the Servicer during the prior
         calendar week and confirming that such payments have been deposited to
         the Look-Box Account or the Collection Account (the "Reconciliation
         Report"), which Reconciliation Report shall be delivered to the Insurer
         (so long as the Insurance Agreement has not terminated) and the
         Indenture Trustee on Tuesday of each week (or if such day is not a
         Business Day, the next succeeding Business Day), with respect to
         collections received during the immediately preceding calendar week. In
         addition, following satisfaction of such Lock-Box Collection
         Percentage, upon the request of the Insurer (so long as it is the
         Controlling Party), the Servicer shall provide the Insurer and the
         Indenture Trustee with the Reconciliation Report on a monthly or less
         frequent basis, as so requested. The provisions of this Section 9.01(d)
         shall not apply to the Back-up Servicer or the Standby Servicer.

         SECTION 9.02 Collection Account.

                  (a) BVAC, as initial Servicer, shall establish the Collection
         Account as a segregated non-interest bearing trust account in the name
         of the Trust for the benefit of the Secured Parties with the Indenture
         Trustee (at the Indenture Trustee Office) or another Eligible Bank. The
         Servicer shall direct the Indenture Trustee to invest the

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         amounts in the Collection Account in Eligible Investments that mature
         not later than the Business Day prior to the next succeeding Payment
         Date and to hold such Eligible Investments to maturity (provided that,
         if the Standby Servicer or the Back-up Servicer is then acting as
         Servicer, such direction shall be made by the Transferor). The
         Indenture Trustee (or its custodian) shall at all times (i) maintain
         possession of any negotiable instruments or securities evidencing
         Eligible Investments until the time of sale or maturity and each
         certificated security or negotiable instrument evidencing an Eligible
         Investment shall be endorsed in blank or to the Indenture Trustee (or
         its custodian) or registered in the name of the Indenture Trustee and
         (ii) cause any Eligible Investment represented by an uncertificated
         security to be registered in the name of the Indenture Trustee (or its
         custodian).

                  (b) Funds on deposit in the Collection Account and the
         Payahead Account shall each be invested by the Indenture Trustee (or
         any custodian with respect to funds on deposit in any such account) in
         Eligible Investments selected in writing by the Servicer (pursuant to
         standing instructions or otherwise) (provided that, if the Standby
         Servicer or the Back-up Servicer is then acting as Servicer, such
         selection shall be made by the Transferor), bearing interest or sold at
         a discount, and maturing, unless payable on demand, (i) no later than
         the Business Day immediately preceding the next Payment Date if a
         Person other than the Indenture Trustee is the Obligor thereon, and
         (ii) no later than the next Payment Date, if the Indenture Trustee is
         the Obligor thereon; provided, however, it is understood and agreed
         that the Indenture Trustee shall not be liable for any loss arising
         from such investment in Eligible Investments unless the Eligible
         Investment was a direct obligation of the Indenture Trustee or unless
         such loss was caused by the Indenture Trustee's negligence or willful
         misconduct (it being understood and acknowledged that no loss on any
         such Eligible Investment which was made in conformity with this
         Agreement and the instructions of the Servicer, or Transferor, shall be
         considered "caused by the Indenture Trustee's negligence or willful
         misconduct"). No investment may be sold prior to its maturity. All such
         Eligible Investments shall be held by or on behalf of the Indenture
         Trustee for the benefit of the Indenture Trustee on behalf of the
         Noteholders, the Insurer and Certificateholders as their interests may
         appear. Funds deposited in the Collection Account or the Payahead
         Account on the day immediately preceding a Payment Date upon the
         maturity of any Eligible Investments are not required to be invested
         overnight. On each Payment Date, all interest income (net of investment
         losses and expenses) on funds on deposit in the Collection Account and
         the Payahead Account, as of the end of the Collection Period shall be
         included in Available Funds. For purposes of this paragraph, the
         Indenture Trustee will take delivery of the Eligible Investments in
         accordance with Schedule D.

                  (c) If (i) the Servicer shall have failed to give investment
         directions for any funds on deposit in the Collection Account or the
         Payahead Account to the Indenture Trustee by 2:00 p.m. Eastern Time (or
         such other time as may be agreed by the Issuer and Indenture Trustee)
         on any Business Day; or (ii) an Event of Default shall have occurred
         and be continuing with respect to the Notes but the Notes shall not
         have been declared due and payable, or, if such Notes shall have been
         declared due and payable following an Event of Default under the
         Indenture, amounts collected or receivable from the Trust Property are
         being applied as if there had not been such a declaration; then the

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         Indenture Trustee shall, to the fullest extent practicable, invest and
         reinvest funds in the Collection Account and the Payahead Account in
         one or more investments within the categories of Eligible Investments
         as specified in an investment instruction letter delivered by the
         Servicer (provided that, if the Standby Servicer or the Back-up
         Servicer is then acting as Servicer, such direction shall be made by
         the Transferor).

                  (d) (1) The Trust shall possess all right, title and interest
         in all funds from time to time on deposit in, and assets credited to,
         the Trust Accounts and in all proceeds thereof and all such funds,
         assets, investments, proceeds and income shall be part of the Trust
         Property. Except as otherwise provided herein, the Trust Accounts shall
         be under the sole dominion and control of the Indenture Trustee for the
         benefit of the Noteholders, to the extent expressly set forth herein or
         in the other Basic Documents, the Insurer and the Certificateholders as
         their interests may appear.

                      (2) With respect to any Eligible Investments held from
         time to time in any Trust Account, the Indenture Trustee agrees that:

                          (A) any Eligible Investment that is held in deposit
                  accounts shall be, except as otherwise provided herein,
                  subject to the exclusive custody and control of the Indenture
                  Trustee, and the Indenture Trustee shall have sole signature
                  authority with respect thereto; and

                          (B) any other Eligible Investment shall be held,
                  pending maturity or disposition by the Indenture Trustee in
                  accordance with the terms of the definition of "Delivery."

                  (e) No Trust Account shall be maintained with an institution
         other than the Indenture Trustee unless such institution agrees in
         writing to the provisions of Section 9.02(d)(2) and Section 9.12 hereof
         as if such institution were the Indenture Trustee, except that pursuant
         to the first sentence of Section 8.11 of the Indenture, the Indenture
         Trustee shall continue to be the "entitlement holder" of the related
         Trust Account.

         In no event shall the Indenture Trustee be liable for the selection of
investments or for investment losses incurred thereon. The Indenture Trustee
shall have no liability in respect of losses incurred as a result of the
liquidation of any investment prior to its stated maturity or the failure of the
Servicer to provide timely written investment direction. Subject to the
provisions of 9.01 and the Indenture Trustee's standard of care set forth in
Section 6.01 of the Indenture, in no event shall the Indenture Trustee be liable
for special, indirect, or consequential loss or damage of any kind whatsoever
(including but not limited to lost profits), even if the Indenture Trustee has
been advised of the likelihood of such loss or damage and regardless of the form
of action.

         SECTION 9.03 Collections.

                  (a) Upon establishment of the Lock-Box Account in accordance
         with Section 9.01(a), the Servicer shall use reasonable efforts to
         cause the Lock-Box Processor to transfer any payments in respect of the
         Receivables from or on behalf of Obligors received in the Lock-Box to
         the Lock-Box Account on the Business Day on which such

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         payments are received, pursuant to the Lock-Box Agreement. Within two
         Business Days of receipt of such funds into the Lock-Box Account, the
         Servicer shall cause the Lock-Box Bank to transfer available funds
         related to the Receivables from the Lock-Box Account to the Collection
         Account, and if such funds are not available funds, as soon thereafter
         as they clear (i.e., become available for withdrawal from the Lock-Box
         Account). In addition, the Servicer shall remit all payments by or on
         behalf of the Obligors received by the Servicer with respect to the
         Receivables (other than Purchased Receivables), and all Liquidation
         Proceeds, insurance proceeds and other collections from whatever
         source, no later than the second Business Day following receipt into
         the Lock-Box Account or the Collection Account, as applicable. On the
         Closing Date, the Servicer shall deposit in the Collection Account the
         foregoing amounts received with respect to the Receivables during the
         first Collection Period.

                  (b) The Indenture Trustee shall deposit in the Collection
         Account any funds received from the Collateral Agent, from the Spread
         Account or in respect of funds drawn under the Policy from the Insurer,
         provided that such funds may only be applied to cover Deficiency Claim
         Amounts and Scheduled Payments (as defined in the Policy) on the
         related Payment Date.

                  (c) At any time, SST as successor Servicer may direct the
         Indenture Trustee to withdraw from the Collection Account and pay to
         SST amounts necessary to reimburse it for any unreimbursed
         out-of-pocket expenses incurred in connection with a liquidation of
         Receivables (provided that SST shall be entitled to recoup such
         expenses only upon liquidation of the related Receivable); such
         payments to be made prior to any distributions under Section 8.05 of
         the Indenture; provided that no amounts may be withdrawn from the
         Collection Account pursuant to this Section 9.03(c) to the extent such
         withdrawal, when added to all previous withdrawals pursuant to this
         Section 9.03(c), would exceed the aggregate amount of Liquidation
         Proceeds related to all Receivables that have been deposited into the
         Collection Account.

         SECTION 9.04 Additional Deposits

                  (a) (i) Not later than the Determination Date, the Servicer or
         BVAC shall remit to the Collection Account the aggregate Purchase
         Amount for such Collection Period pursuant to Sections 7.02, 8.08 and
         8.10; and (ii) not later than 11:00 a.m. (New York City time) on the
         related Payment Date, the Servicer shall remit to the Collection
         Account the Redemption Price for Receivables on such Payment Date
         pursuant to Section 16.02.

                  (b) Following the acceleration of the Notes pursuant to
         Section 5.02 of the Indenture, any proceeds of the Trust Property shall
         be deposited in the Collection Account to be distributed by the
         Indenture Trustee in accordance with Section 8.05(g) of the Indenture.

                  (c) On or before each Payment Date, the Indenture Trustee
         shall transfer to the Collection Account any amounts transferred to the
         Indenture Trustee by the Collateral Agent from the Spread Account in
         accordance with the Spread Account Agreement.

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                  (d) On or before the Redemption Date, the Indenture Trustee
         shall deposit in the Collection Account the Redemption Price paid by or
         on behalf of the Issuer pursuant to Article XI of the Indenture.

         SECTION 9.05 Application of Funds.

                  (a) On each Determination Date, the Servicer shall determine
         the amount of Available Funds and the amount of funds necessary to make
         the distributions required pursuant to Section 8.05(a) of the Indenture
         on the next Payment Date. The Servicer shall by a Servicer's
         Certificate on or before the Determination Date notify the Owner
         Trustee, the Indenture Trustee and the Insurer of such amounts by
         telecopy to the Corporate Trust Office, the Indenture Trustee Office
         and the address of the Insurer set forth in Section 17.05 or to such
         numbers as the Owner Trustee, Indenture Trustee or the Insurer may from
         time to time provide, followed promptly by mailing such notice to the
         Owner Trustee, the Indenture Trustee and the Insurer.

                  (b) For any Payment Date on which there will not be sufficient
         Available Funds to make the distributions required pursuant to Section
         8.05(a)(i) through (vi) of the Indenture, the Indenture Trustee shall
         deliver to the Collateral Agent, the Insurer, the Fiscal Agent (as such
         term is defined in the Insurance Agreement) and the Servicer, by hand
         delivery or facsimile transmission, a written notice (a "Deficiency
         Notice") specifying the Deficiency Claim Amount for such Payment Date.
         Any Deficiency Notice shall be delivered on the Determination Date and
         in no event later than 10:00 a.m., Eastern time, on the fourth Business
         Day preceding such Payment Date. Such Deficiency Notice shall direct
         the Collateral Agent to remit such Deficiency Notice shall direct the
         Collateral Agent to remit such Deficiency Claim Amount (to the extent
         of the funds available to be distributed pursuant to the Spread Account
         Agreement) to the Indenture Trustee for deposit of such amount in the
         Collection Account. If such deficiency exceeds the Available Spread
         Amount, the Indenture Trustee on the Determination Date shall submit a
         claim under the Policy to the Insurer pursuant to Section 9.03 of the
         Indenture. All amounts paid under the Policy shall be applied by the
         Indenture Trustee pursuant to Section 8.05 of the Indenture.

                  (c) On each Payment Date, the Owner Trustee shall send to the
         Certificateholder the Servicer's Certificate provided to the Owner
         Trustee by the Servicer for such Payment Date.

         SECTION 9.06 Spread Account. The Transferor agrees, simultaneously with
the execution and delivery of this Agreement, to cause the Spread Account
Depositor to execute and deliver the Series 2003-LJ-1 Supplement to Spread
Account Agreement, dated as of August 1, 2003, among Financial Security
Assurance Inc., Bay View 2002-LJ-1 Funding Trust and the Indenture Trustee, and,
pursuant to the terms thereof, to deposit the Spread Account Initial Deposit in
the Spread Account on the Closing Date. Although the Spread Account Depositor,
as Certificateholder, has pledged the Spread Account to the Collateral Agent and
the Insurer pursuant to the Spread Account Agreement, the Spread Account shall
not under any circumstances be deemed to be a part of or otherwise includible in
the Issuer or the Trust Property.

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         SECTION 9.07 Advances

                  (a) (i) As of the last day of the initial Collection Period,
         the Servicer shall advance funds equal to the excess, if any, of
         Monthly Interest due in respect of the initial Collection Period, over
         the Collected Interest for such Collection Period; and (ii) as of the
         last day of each subsequent Collection Period, the Servicer shall
         advance funds in the amount of the Interest Advance Amount (or such
         other amount as the Servicer shall reasonably determine to cover an
         Interest Shortfall) with respect to each Receivable that is delinquent
         for more than 30 days, in each such case, to the extent that the
         Servicer, in its sole discretion, determines that the Advance will be
         recoverable from payments by or on behalf of the Obligor, the Purchase
         Amount, or Liquidation Proceeds. With respect to each Receivable, the
         Advance paid pursuant to this Section 9.07 shall increase Outstanding
         Advances. Outstanding Advances shall be reduced by subsequent payments
         by or on behalf of the Obligor, collections of Liquidation Proceeds, or
         payments of the Purchase Amount in accordance with the priorities set
         forth in Section 8.05 of the Indenture. The Servicer shall remit any
         Advances with respect to a Collection Period to the Collection Account
         by the related Determination Date.

                  (b) If the Servicer shall determine that an Outstanding
         Advance with respect to any Receivable shall not be recoverable, the
         Servicer shall be reimbursed from any collections made on other
         Receivables in the Trust in accordance with the priorities set forth in
         Section 8.05 of the Indenture, and Outstanding Advances with respect to
         such Receivable shall be reduced accordingly.

                  (c) No successor Servicer shall be obligated to make Advances
         under this Agreement and shall not be liable for Advances incurred by
         the Servicer before the commencement of performance by such successor
         Servicer.

         SECTION 9.08 No Segregation of Moneys; No Interest. Subject to Section
9.05, moneys received by the Owner Trustee hereunder need not be segregated in
any manner except to the extent required by law or this Agreement and may be
deposited under such general conditions as may be prescribed by law, and the
Owner Trustee shall not be liable for any interest thereon.

         SECTION 9.09 Accounting and Reports to the Certificateholder, the
Internal Revenue Service and Others. The Owner Trustee shall deliver to the
Certificateholder, as may be required by the Code and applicable Treasury
Regulations, or as may be requested by such Certificateholder, such information,
reports or statements as may be reasonably necessary to enable the
Certificateholder to prepare its federal and state income tax returns.
Consistent with the Trust's characterization for tax purposes as a disregarded
entity so long as the Transferor or any other Person is the sole beneficial
owner of the Trust, no federal income tax return shall be filed on behalf of the
Trust unless either (i) the Owner Trustee shall receive an Opinion of Counsel
that, based on a change in applicable law occurring after the date hereof, or as
a result of a transfer by a selling Certificateholder permitted by Section
11.04, the Code requires such a filing or (ii) the Internal Revenue Service
shall determine that the Trust is required to file such a return. In the event
that there shall be two or more beneficial owners of the Trust (including the
treatment of any class of Notes as a beneficial ownership in the Trust pursuant
to a final

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determination of the Internal Revenue Service or a court), the Owner Trustee
shall inform the Indenture Trustee in writing of such event, (x) the
Administrator, on behalf of the Trust, shall prepare or shall cause to be
prepared federal and, if applicable, state or local partnership tax returns
required to be filed by the Trust (using the calendar year or its fiscal year,
or such other taxable year as may be required by the Code) and shall remit such
returns to the Transferor for signature (or if the Transferor no longer owns the
Certificate, to the Transferor to the extent its tax liability is affected
thereby and otherwise to the successor Certificateholder owning the largest
percentage interest in the Certificates) at least (5) days before such returns
are due to be filed, and (y) capital accounts shall be maintained for each
beneficial owner in accordance with the Treasury Regulations under Section
704(b) of the Code reflecting each such beneficial owner's share of the income,
gains, deductions, and losses of the Trust and/or guaranteed payments made by
the Trust and contributions to, and distributions from, the Trust. The
Transferor (or such successor Certificateholder, as applicable) shall promptly
sign such returns and deliver such returns after signature to the Administrator,
on behalf of the Trust and such returns shall be filed by the Administrator, on
behalf of the Trust, with the appropriate tax authorities. In the event that a
"tax matters partner" (within the meaning of Code Section 6231(a)(7)) is
required to be appointed with respect to the Trust, the Transferor is hereby
designated as tax matters partner or, if the Transferor is not the
Certificateholder, the Transferor to the extent its tax liability is affected
thereby and otherwise the successor Certificateholder owning the largest
percentage interest in the Certificates, shall be designated as tax matters
partner. In no event shall the Owner Trustee, the Administrator or the
Transferor (or such designee Certificateholder, as applicable) be liable for any
liabilities, costs or expenses of the Trust or the Noteholders 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
any act or omission by the Owner Trustee, the Administrator or the Transferor
(or such designee Certificateholder as applicable), as the case may be, in
breach of its obligations under this Agreement. Unless otherwise instructed by a
majority in interest of the Certificateholders, none of the Owner Trustee, the
Administrator, or the Transferor shall elect, or shall cause an election to be
made on behalf of the Trust, under (i) Section 1278 of the Code to accrue its
market discount income currently or (ii) Section 754 of the Code.

         SECTION 9.10 Payahead Account. The Servicer shall establish the
Payahead Account in the name of the Trust on behalf of the Obligors, the
Noteholders and the Insurer as their interests may appear. The Servicer shall
maintain the Payahead Account pursuant to Section 8.07 of the Indenture.

         SECTION 9.11 Certain Reimbursements to the Servicer. The Servicer will
be entitled to be reimbursed from amounts on deposit in the Collection Account
with respect to a Collection Period for amounts previously deposited in the
Collection Account but later determined by the Servicer to have resulted from
mistaken deposits or postings or checks returned for insufficient funds;
provided, however, that such reimbursement must be requested by the Servicer
within six months of the related mistaken deposit into the Collection Account,
otherwise such right to reimbursement shall be forfeited. The amount to be
reimbursed hereunder shall be paid to the Servicer on the related Payment Date
pursuant to Section 8.05(a) of the Indenture upon certification by the Servicer
of such amounts and the provision of such

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information to the Indenture Trustee and the Insurer as may be reasonably
necessary in the opinion of the Insurer to verify the accuracy of such
certification. In the event that the Insurer has not received evidence
reasonably satisfactory to it of the Servicer's entitlement to reimbursement
pursuant to this Section, the Insurer shall (unless an Insurer Default shall
have occurred and be continuing) give the Indenture Trustee notice to such
effect, following receipt of which the Indenture Trustee shall not make a
distribution to the Servicer in respect of such amount pursuant to Section
8.05(a) of the Indenture, or if the Servicer prior thereto has been reimbursed
pursuant to Section 8.05(a) of the Indenture, the Indenture Trustee shall
withhold such amounts from amounts otherwise distributable to the Servicer
pursuant to Section 8.05(a) of the Indenture on the next succeeding Payment
Date.

         SECTION 9.12 Securities Accounts. The Indenture Trustee agrees that any
Trust Account held by it hereunder shall be maintained a "securities account" as
defined in the Uniform Commercial Code as in effect in New York (the "New York
UCC"), and that it shall be acting as a "securities intermediary" for the
Indenture Trustee itself as the "entitlement holder" (as defined in Section
8-102(a)(7) of the New York UCC) with respect to each such Trust Account. The
parties hereto agree that each Trust Account shall be governed by the laws of
the State of New York, and regardless of any provision in any other agreement,
the "securities intermediary's jurisdiction" (within the meaning of Section
8-110 of the New York UCC) shall be the State of New York. The Indenture Trustee
acknowledges and agrees that (a) each item of property (whether investment
property, financial asset, security, instrument or cash) credited to the
Accounts shall be treated as a "financial asset" within the meaning of Section
8-102(a)(9) of the New York UCC and (b) notwithstanding anything to the
contrary, if at any time the Indenture Trustee shall receive any order from the
Indenture Trustee directing transfer or redemption of any financial asset
relating to the Trust Accounts, the Indenture Trustee shall comply with such
entitlement order without further consent by the Transferor or any other person.
In the event of any conflict of any provision of this Section 9.12 with any
other provision of this Agreement or any other agreement or document, the
provisions of this Section 9.12 shall prevail.

                                    ARTICLE X

                         VOTING RIGHTS AND OTHER ACTIONS

         SECTION 10.01 Prior Notice with Respect to Certain Matters. The Owner
Trustee shall not take any of the actions set forth below unless the Owner
Trustee shall have notified the Certificateholder and the Insurer (so long as
the Insurance Agreement has not terminated) of the proposed action and the
Certificateholder, with the prior written consent of the Insurer (so long as it
is the Controlling Party), has approved such action in writing, which approval
has been received by the Owner Trustee by, the 30th day after such notice has
been given:

                  (i) the election by the Trust to file an amendment to the
         Certificate of Trust (unless such amendment is required to be filed
         under the Delaware Statutory Trust Statute);

                  (ii) the amendment of the Indenture by a supplemental
         indenture in circumstances where the consent of any Noteholder or the
         Insurer is required;

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                  (iii) the amendment of the Indenture by a supplemental
         indenture in circumstances where the consent of any Noteholder is not
         required and such amendment materially adversely affects the interest
         of the Certificateholders;

                  (iv) except pursuant to Section 17.01 of this Agreement, the
         amendment, change or modification of this Agreement;

                  (v) except as provided in Article XVI hereof, dissolve,
         terminate or liquidate the Trust in whole or in part;

                  (vi) do any act which would make it impossible to carry on the
         ordinary business of the Trust;

                  (vii) confess a judgment against the Trust;

                  (viii) possess Trust assets, or assign the Trust's right to
         property, for other than a Trust purpose;

                  (ix) cause the Trust to lend any funds to any entity;

                  (x) change the Trust's purpose and powers from those set forth
         in this Agreement; or

                  (xi) cause the Trust to incur, assume or guaranty any
         indebtedness except as set forth in this Agreement.

         SECTION 10.02 Action with Respect to Certain Matters. The Owner Trustee
shall not have the power, except upon the written direction of the Controlling
Party, or after the Notes have been paid in full and the expiration of the
Policy in accordance with its terms and written notice thereof has been
delivered by the Indenture Trustee to the Owner Trustee, the Certificateholder
(such directing party, the "Instructing Party"), and in accordance with the
Basic Documents, to (a) remove the Standby Servicer, the Servicer, or the
Back-up Servicer hereunder or (b) except as expressly provided in the Basic
Documents, sell the Receivables after the termination of the Indenture. The
Owner Trustee shall take the actions referred to in the preceding sentence only
upon written instructions signed by the Instructing Party and the furnishing of
indemnification satisfactory to the Owner Trustee by the Certificateholder.
Notwithstanding anything to the contrary set forth in this Agreement, any
instruction, direction or consent to be given by the Controlling Party or
Instructing Party under this Agreement or any other Basic Document to the Owner
Trustee shall include a certification by such Controlling Party or Instructing
Party that such Person is the Controlling Party or Instructing Party in
accordance with the provisions of the Basic Documents, and the Owner Trustee
shall have no liability to the extent it relies in good faith thereon.

         SECTION 10.03 Restrictions on Certificateholder's Power.

                  (a) The Certificateholder 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 Trust or the Owner Trustee
         under this Agreement or any of the Basic Documents or

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         would be contrary to Section 1.03 nor shall the Owner Trustee follow
         any direction to the extent the Owner Trustee has actual knowledge that
         such direction is in violation hereof.

                  (b) No Certificateholder shall have any right by virtue or by
         availing itself of any provisions of this Agreement to institute any
         suit, action, or proceeding in equity or at law upon or under or with
         respect to this Agreement or any Basic Document, unless the
         Certificateholder is the Instructing Party pursuant to Section 10.02
         and unless the Certificateholder previously shall have given to the
         Owner Trustee a written notice of default and of the continuance
         thereof, as provided in this Agreement, and also unless the
         Certificateholder shall have made written request upon the Owner
         Trustee to institute such action, suit or proceeding in its own name as
         Owner Trustee under this Agreement and shall have offered to the Owner
         Trustee such reasonable indemnity as it may require against the costs,
         expenses and liabilities to be incurred therein or thereby, and the
         Owner Trustee, for 30 days after its receipt of such notice, request,
         and offer of indemnity, shall have neglected or refused to institute
         any such action, suit, or proceeding, and during such 30-day period no
         request or waiver inconsistent with such written request has been given
         to the Owner Trustee pursuant to and in compliance with this Section or
         Section 10.02. For the protection and enforcement of the provisions of
         this Section, the Owner Trustee shall be entitled to such relief as can
         be given either at law or in equity.

         SECTION 10.04 Control. No Certificateholder shall have any right to
vote or in any manner otherwise control the operation and management of the
Trust except as expressly provided in this Agreement.

         SECTION 10.05 Rights of Insurer. Notwithstanding anything to the
contrary in the Basic Documents, without the prior written consent of the
Insurer (so long as the Insurer is the Controlling Party), the Owner Trustee
shall not (i) remove the Servicer, the Standby Servicer or the Back-up Servicer,
(ii) initiate any claim, suit or proceeding by the Trust or compromise any
claim, suit or proceeding brought by or against the Trust, other than with
respect to the enforcement of any Receivable or any rights of the Trust
thereunder, (iii) authorize the merger or consolidation of the Trust with or
into any other statutory trust or other entity (other than in accordance with
Section 3.10 of the Indenture) or (iv) amend the Certificate of Trust (except as
may be required by the Delaware Statutory Trust Statute).

         SECTION 10.06 Registration of Transfer and Exchange of the Certificate.
Upon the formation of the Trust by the contribution by the Transferor pursuant
to Article III and until the issuance of the Certificate to the initial
Certificateholder, the Transferor shall be the sole beneficiary of the Trust.

                                   ARTICLE XI

                                 The Certificate

         SECTION 11.01 Initial Ownership. Upon the formation of the Trust by the
contribution by the Transferor pursuant to Article III and until the issuance of
the Certificate to the initial Certificateholder, the Transferor shall be the
sole beneficiary of the Trust.

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         SECTION 11.02 The Certificates. The Certificate shall be issued in the
form of one or more certificates and shall initially be issued to the
Transferor. The Certificate shall be executed on behalf of the Trust by manual
or facsimile signature of a Responsible Officer of the Owner Trustee. A
Certificate 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 Trust, shall be valid and binding obligations of the Trust,
notwithstanding that such individuals or any of them shall have ceased to be so
authorized prior to the authentication and delivery of such Certificate or did
not hold such offices at the date of such Certificate.

         SECTION 11.03 Authentication of Certificate. The Owner Trustee shall
cause one Certificate to be executed on behalf of the Trust, authenticated, and
delivered to or upon the written order of the Transferor, signed by its chairman
of the board, its president, or any vice president, without further corporate
action by the Transferor, in authorized denominations, pursuant to this
Agreement. 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 as set forth in the
form of Certificate attached as Exhibit B to this Agreement, executed by a
Responsible Officer of the Indenture Trustee by manual signature; such
authentication shall constitute conclusive evidence that such Certificate shall
have been duly authenticated and delivered hereunder. Each Certificate shall be
dated the date of their authentication.

         SECTION 11.04 Registration of Transfer and Exchange of Certificate.

                  (a) Upon formation of the Trust by the contribution by the
         Transferor pursuant to Section 1.05, the Transferor shall be issued a
         Certificate, duly executed and delivered in exchange therefor,
         evidencing ownership of 100% of the beneficial ownership of the assets
         of the Trust.

                  (b) Neither the registered nor the beneficial interest in any
         Certificate may be transferred, assigned, hypothecated or pledged
         (other than in accordance with the Spread Account Depositor Trust
         Agreement) in any manner by any direct or indirect owner thereof
         (including any transferee thereof subsequent to the date hereof)
         without the prior written notice by such owner to each of the Insurer
         and the Owner Trustee. Any purported transfer, assignment,
         hypothecation or pledge in any manner of any such registered or
         beneficial interest in any Certificate in the Trust in violation of
         this Section 11.04(b) shall be null and void and shall not cause any
         rights to inure to the benefit of the purported transferee.

                  (c) (i) The Owner Trustee shall keep or cause to be kept, at
         the Corporate Trust Office, a Certificate Register in which, subject to
         such reasonable regulations as it may prescribe, the Owner Trustee
         shall provide for the registration of Certificates and of transfers and
         exchanges of Certificates subject to the restrictions provided herein.

                  (ii) The Certificate Registrar shall provide the Indenture
         Trustee and the Insurer with the name and address of the
         Certificateholder on the Closing Date, to the extent such information
         has been provided to the Certificate Registrar and in the form provided
         to the Certificate Registrar on such date. Upon any transfers of the
         Certificate,

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         the Certificate Registrar shall notify the Indenture Trustee and the
         Insurer of the name and address of the transferee in writing, by
         facsimile, on the day of such transfer, or promptly thereafter.

                  (d) Upon surrender for registration of transfer of any
         Certificate at the Corporate Trust Office, the Owner Trustee shall
         execute, authenticate, and deliver, in the name of the designated
         transferee or transferees, one or more new Certificates in authorized
         denominations of a like aggregate amount dated the date of
         authentication by the Owner Trustee, provided, however, that
         registration of transfer of the Certificate may not be effected unless
         (A) the Owner Trustee receives an Opinion of Counsel, satisfactory to
         it, to the effect that (i) such transfer may be made in reliance upon
         an exemption from the registration requirements of the Securities Act
         of 1933, as amended, and (ii) such transfer will not adversely affect
         the tax treatment of the Trust or the Notes; (B) the Insurer has
         consented to such transfer and (C) the Rating Agency Condition shall
         have been satisfied with respect to such transfer.

                  (e) Every Certificate presented or surrendered for
         registration of transfer or exchange shall be accompanied by a written
         instrument of transfer in form satisfactory to the Owner Trustee duly
         executed by the Holder or his attorney duly authorized in writing. Each
         Certificate surrendered for registration of transfer and exchange shall
         be canceled and subsequently destroyed by the Owner Trustee.

                  (f) No service charge shall be made for any registration of
         transfer or exchange of a Certificate, but the Owner Trustee 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 a Certificate.

         SECTION 11.05 Mutilated, Destroyed, Lost, or Stolen Certificates. If
(a) any mutilated Certificate shall be surrendered to the Owner Trustee, or if
the Owner Trustee shall receive evidence to its satisfaction of the destruction,
loss, or theft of any Certificate and (b) there shall be delivered to the Owner
Trustee such security or indemnity as may be required by it to save it harmless,
then in the absence of notice that such Certificate shall have been acquired by
a bona fide purchaser, the Owner Trustee on behalf of the Trust shall execute
and the Owner Trustee shall authenticate and deliver, in exchange for or in lieu
of any such mutilated, destroyed, lost, or stolen Certificate, a new Certificate
of like tenor and denomination. In connection with the issuance of any new
Certificate under this Section 11.05, the Owner Trustee 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 11.05 shall constitute conclusive evidence of ownership in the
Trust, as if originally issued, whether or not the lost, stolen, or destroyed
Certificate shall be found at any time.

         SECTION 11.06 Persons Deemed Certificateholder. Every 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, the Certificate
Registrar, the Insurer and any agent of the Owner Trustee, the Insurer and 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

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distributions pursuant to this Agreement and the Spread Account Agreement and
for all other purposes whatsoever, and none of the Owner Trustee, the Insurer or
the Certificate Registrar nor any agent of the Owner Trustee, the Insurer or the
Certificate Registrar shall be bound by any notice to the contrary.

         SECTION 11.07 Covenants of the Certificateholder. The Certificateholder
by becoming a beneficial owner of a 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 Trust, the Owner Trustee, the Insurer, the
         Indenture Trustee, the Collateral Agent, the Transferor, the
         Noteholders and any other Certificateholder, 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 Trust and, if
         requested by the Trust, to sign such federal income tax information
         return in its capacity as holder of an interest in the Trust;

                  (c) not to take any position in such Certificateholder's tax
         returns inconsistent with those taken in any tax returns filed by the
         Trust;

                  (d) if such Certificateholder is other than an individual or
         other entity holding its Certificate through a broker who reports
         securities sales on Form 1099-B, to notify the Owner Trustee in writing
         of any transfer by it of a Certificate in a taxable sale or exchange,
         within 30 days of the date of the transfer; and

                  (e) until one year and one day after the completion of the
         events specified in Section 16.0l(a), not, for any reason, to institute
         proceedings for the Trust or the Transferor to be adjudicated bankrupt
         or insolvent, or consent to the institution of bankruptcy or insolvency
         proceedings against the Trust or the Transferor, or file a petition
         seeking or consenting to reorganization or relief under any applicable
         federal or state law relating to bankruptcy, or consent to the
         appointment of a receiver, liquidator, assignee, trustee, sequestrator
         (or other similar official) of the Trust or the Transferor or a
         substantial part of its property, or cause or permit the Trust or the
         Transferor to make any assignment for the benefit of its creditors or
         to admit in writing its inability to pay its debts generally as they
         become due, or declare or effect a moratorium on its debt or take any
         action in furtherance of any such action.

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                                   ARTICLE XII

                                 THE TRANSFEROR

         SECTION 12.01 Representations and Undertakings of Transferor.

                  (a) The Transferor makes the following representations on
         which the Trust relies in accepting the Receivables in trust and
         executing and authenticating the Certificate and undertaking its
         obligations under the Indenture and on which the Insurer will rely in
         issuing the Policy. The Transferor agrees that the representations
         shall also be for the benefit of the Secured Parties. The
         representations speak as of the execution and delivery of this
         Agreement and shall survive the sale of the Receivables to the Trust
         and the subsequent pledge of the Receivables to the Indenture Trustee.

                  (i)      Organization and Good Standing. The Transferor is
                           duly organized and validly existing as a corporation
                           in good standing under the laws of the State of
                           Delaware, with the corporate power and authority to
                           own its properties and to conduct its business as
                           such properties are currently owned and such business
                           is presently conducted, and had at all relevant
                           times, and has, the corporate power, authority, and
                           legal right to acquire and own the Receivables and
                           the other Transferred Property transferred to it
                           under the Purchase Agreement and to convey the
                           Receivables and the other Trust Property to the Trust
                           pursuant to this Agreement, and to perform its other
                           obligations under this Agreement and any other Basic
                           Documents to which it is a party. The Transferor is,
                           and for the preceding one year has been, organized
                           exclusively under the laws of the State of Delaware.

                  (ii)     Due Qualification. The Transferor is duly qualified
                           to do business as a foreign corporation in good
                           standing, and has obtained all necessary licenses and
                           approvals in all jurisdictions in which the ownership
                           or lease of property or the conduct of its business
                           (including, without limitation, the purchase of the
                           Receivables from BVAC under the Purchase Agreement,
                           the conveyance of the Receivables by the Transferor
                           pursuant to this Agreement, and the performance of
                           its other obligations under this Agreement and the
                           other Basic Documents to which it is a party) shall
                           require such qualifications, licenses and/or
                           approvals, other than where the failure to obtain
                           such qualification, license or approval would not
                           have a material adverse effect on the ability of the
                           Transferor to perform its obligations under this
                           Agreement or any other Basic Document to which it is
                           a party, on any Receivable or on the interest therein
                           of the Issuer, the Noteholders or the Insurer.

                  (iii)    Power and Authority. The Transferor has the power and
                           authority to execute and deliver this Agreement and
                           the other Basic Documents to which it is a party and
                           to carry out their respective terms and the
                           execution, delivery and performance of this Agreement
                           and the other

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                           Basic Documents to which it is a party have been duly
                           authorized by the Transferor by all necessary
                           corporate action.

                  (iv)     Binding Obligation. Each of this Agreement and each
                           other Basic Document to which the Transferor is a
                           party shall constitute a legal, valid, and binding
                           obligation of the Transferor enforceable in
                           accordance with its terms except only as such
                           enforcement may be limited by bankruptcy, insolvency
                           or similar laws affecting the enforcement of
                           creditors' rights generally.

                  (v)      No Violation. The execution, delivery and performance
                           by the Transferor of this Agreement and the other
                           Basic Documents to which it is a party and the
                           consummation of the transactions contemplated hereby
                           and thereby and the fulfillment of the terms hereof
                           and thereof do not conflict with, result in a breach
                           of any of the terms and provisions of, nor constitute
                           (with or without notice or lapse of time) a default
                           under, the certificate of incorporation or by-laws of
                           the Transferor, or any indenture, agreement,
                           mortgage, deed of trust, or other instrument to which
                           the Transferor is a party or by which it is bound or
                           to which any of its properties are subject; nor
                           result in the creation or imposition of any Lien upon
                           any of its properties pursuant to the terms of any
                           indenture, agreement, mortgage, deed of trust, or
                           other instrument (other than the Basic Documents);
                           nor violate any law, order, rule or regulation
                           applicable to the Transferor of any court or of any
                           federal or state regulatory body, administrative
                           agency or other governmental instrumentality having
                           jurisdiction over the Transferor or its properties.

                  (vi)     No Proceedings. There are no proceedings or
                           investigations pending, or to the Transferor's best
                           knowledge, threatened, before any court, regulatory
                           body, administrative agency or other governmental
                           instrumentality having jurisdiction over the
                           Transferor or its properties: (A) asserting the
                           invalidity of this Agreement, the Notes, the
                           Certificate, or any other Basic Document; (B) seeking
                           to prevent the issuance of the Notes or the
                           consummation of any of the transactions contemplated
                           by this Agreement or any other Basic Document to
                           which it is a party; (C) seeking any determination or
                           ruling that might materially and adversely affect the
                           performance by the Transferor of its obligations
                           under, or the validity or enforceability of, the
                           Notes or any other Basic Document to which it is a
                           party; or (D) relating to the Transferor and which
                           might adversely affect the federal or state income,
                           excise, franchise or similar tax attributes of the
                           Notes.

                  (vii)    No Consents. No consent, approval, authorization or
                           order of or declaration or filing with any
                           governmental authority is required to be obtained by
                           the Transferor for the issuance or sale of the Notes
                           or the consummation of the other transactions
                           contemplated by this Agreement or any other Basic
                           Document to which it is a party, except such as have

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                           been duly made or obtained or where the failure to
                           obtain such consent, approval, authorization, order
                           or declaration, or to make such filing, would not
                           have a material adverse effect on the ability of the
                           Transferor to perform its obligations under this
                           Agreement or any other Basic Document to which it is
                           a party or on any Receivable or the interest therein
                           of the Issuer, the Noteholders or the Insurer.

                  (viii)   Valid Assignment. Each Receivable has been validly
                           assigned by the Transferor to the Issuer on the
                           Closing Date pursuant to this Agreement and no
                           Receivable has been sold, transferred, assigned or
                           pledged by the Transferor to any Person other than
                           the Issuer.

                  (ix)     Legal Name. The Transferor's exact legal name is, and
                           has always been, Bay View Transaction Corporation.

                  (x)      Executive Office. The Transferor's chief executive
                           office is located in San Mateo, California.

                  (b)      The Transferor further covenants that, prior to
                           termination of the Trust:

                  (i)      It will not engage at any time in any business or
                           business activity other than such activities
                           expressly set forth in its Certificate of
                           Incorporation delivered to the Insurer on or prior to
                           the Closing Date, and will not amend its Certificate
                           of Incorporation without the prior written consent of
                           the Insurer (so long as the Insurance Agreement has
                           not been terminated).

                  (ii)     It will not, without the consent of the Insurer (so
                           long as the Insurance Agreement has not been
                           terminated), sell, assign, pledge or otherwise
                           transfer, in whole, or in part or in any series of
                           related or unrelated transactions any of its right,
                           title or interest in or to the Spread Account
                           Depositor Certificate except as permitted by the
                           Insurance Agreement.

                  (iii)    It will not:

                           (A)      Fail to do all things necessary to maintain
                                    its corporate existence separate and apart
                                    from the Bank, BVAC, BVCC, the Trust and any
                                    other Person, including, without limitation,
                                    holding regular meetings of its stockholders
                                    and board of directors and maintaining
                                    appropriate corporate books and records
                                    (including a current minute book);

                           (B)      Suffer any limitation on the authority of
                                    its own directors and officers to conduct
                                    its business and affairs in accordance with
                                    their independent business judgment or
                                    authorize or suffer any Person (other than
                                    its own officers and directors or others
                                    customarily delegated under powers of
                                    attorney) to take any action for which a
                                    corporation's own Officers and directors
                                    would customarily be responsible;

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                           (C)      Fail to (i) maintain or cause to be
                                    maintained by an agent of the Transferor
                                    under the Transferor's control physical
                                    possession of all its books and records,
                                    (ii) maintain capitalization adequate for
                                    the conduct of its business, (iii) account
                                    for and manage all its liabilities
                                    separately from those of any other Person,
                                    including payment by it of all payroll,
                                    administrative expenses and taxes, if any,
                                    from its own assets, (iv) segregate and
                                    identify separately all of its assets from
                                    those of any other Person, (v) to the extent
                                    any such payments are made, pay its
                                    employees, officers and agents for services
                                    performed for the Transferor or (vi)
                                    maintain a separate office address with a
                                    separate telephone number from those of the
                                    Bank, BVAC, BVCC, the Trust or any other
                                    affiliate thereof; or

                           (D)      Except as may be provided in this Agreement,
                                    or a similar agreement relating to other
                                    securitizations in which the Transferor has
                                    similar rights and/or obligations, commingle
                                    its funds with those of BVAC or any
                                    affiliate thereof or use its funds for other
                                    than the Transferor's uses.

                  (c) It shall not create, incur or suffer to exist any
         indebtedness or engage in any business, except, in each case, as
         permitted by its certificate of incorporation, bylaws and the Basic
         Documents;

                  (d) It shall not, for any reason, substitute proceedings for
         the Trust to be adjudicated bankrupt or insolvent, or consent to or
         join in the institution of bankruptcy or insolvency proceedings against
         the Trust, or file a petition seeking or consenting to reorganization
         or relief under any applicable federal or state law relating to the
         bankruptcy of the Trust, or consent to the appointment of a receiver,
         liquidator, assignee, trustee, sequestrator (or other similar official)
         of the Trust or a substantial part of the property of the Trust or
         cause or permit the Trust to make any assignment for the benefit of
         creditors, or admit in writing the inability of the Trust to pay its
         debts generally as they become due, or declare or effect a moratorium
         on the debt of the Trust or take any action in furtherance of any such
         action;

                  (e) It shall obtain from each counterparty to each Basic
         Document to which it or the Trust is a party and each other agreement
         entered into on or after the date hereof to which it or the Trust is a
         party, an agreement by each such counterparty that prior to one year
         and one day after the completion of the event specified in Section
         16.01(a) such counterparty shall not institute against, or join any
         other Person in instituting against, it or the Trust, 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

                  (f) 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, dissolve, institute proceedings for it to be adjudicated
         bankrupt or insolvent, or consent to the institution of bankruptcy or
         insolvency proceedings against it, or file a petition seeking or
         consenting

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         to reorganization or relief under any applicable federal or state law
         relating to bankruptcy, or consent to the appointment of a receiver,
         liquidator, assignee, trustee, sequestrator (or other similar official)
         of it or a substantial part of its property, or make any assignment for
         the benefit of creditors, or admit in writing its inability to pay its
         debts generally as they become due, or declare or effect a moratorium
         on its debt or take any action in furtherance of any such action.

         SECTION 12.02 Liability of Transferor; Indemnities. The Transferor
shall be liable in accordance herewith only to the extent of the obligations
specifically undertaken by the Transferor under this Agreement.

                  (i)      The Transferor shall indemnify, defend, and hold
                           harmless the Owner Trustee, the Indenture Trustee,
                           the Insurer, the Standby Servicer, the Back-up
                           Servicer, their respective officers, directors,
                           employees and agents, the Trust and the Noteholders
                           from and against any taxes that may at any time be
                           asserted against such parties with respect to, and as
                           of the date of, the sale of the Receivables to the
                           Trust or the issuance and original sale of the
                           Certificate and the Notes, including any sales, gross
                           receipts, general corporation, tangible or intangible
                           personal property, privilege, or license taxes (but,
                           in the case of the Trust, not including any taxes
                           asserted with respect to ownership of the Receivables
                           or federal or other income taxes arising out of
                           distributions on the Certificate or the Notes) and
                           costs and expenses in defending against the same.

                  (ii)     The Transferor shall indemnify, defend, and hold
                           harmless the Owner Trustee, the Indenture Trustee,
                           the Insurer, the Servicer, the Back-up Servicer, the
                           Standby Servicer, their officers, directors,
                           employees and agents and the Trust from and against
                           any loss, liability, or expense incurred by reason of
                           (a) the Transferor's willful misfeasance, bad faith,
                           or negligence in the performance of its duties under
                           this Agreement, or by reason of reckless disregard of
                           its obligations and duties under this Agreement and
                           (b) the Transferor's violation of federal or State
                           securities laws in connection with the registration
                           of the sale of the Certificates.

                  (iii)    The Transferor shall indemnify, defend, and hold
                           harmless the Standby Servicer, the Back-up Servicer,
                           the Indenture Trustee and their respective officers,
                           directors, employees and agents, from and against any
                           loss, liability, or expense incurred as a result of
                           third party claims arising out of the events or facts
                           giving rise to a breach of the covenants or
                           representations and warranties of the Transferor set
                           forth in Section 7.01 and Section 12.01.

         Indemnification under this Section 12.02 shall include, without
limitation, reasonable fees and expenses of counsel and expenses of litigation.
If the Transferor shall have made any indemnity payments to the Owner Trustee or
the Trust pursuant to this Section and the Owner Trustee or the Trust thereafter
shall collect any of such amounts from others, the Owner Trustee or the Trust,
as the case may be, shall repay such amounts to the Transferor, without
interest.

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This indemnification shall survive the termination of this Agreement and the
resignation or removal of the Owner Trustee or the Indenture Trustee.
Notwithstanding the foregoing, any amounts Transferor shall pay pursuant to this
Section 12.02 shall be paid solely from funds available for distribution to the
Certificateholder in accordance with the terms of the Basic Documents and shall
in any case be nonrecourse to the Transferor and to the Transferor's assets and,
to the extent funds are not so available to pay any amounts when due and owing,
the claims relating thereto shall not constitute a claim (as defined in Section
101 of Title 11 of the United States Bankruptcy Code) against the Transferor but
shall continue to accrue. Each party hereto agrees that the payment of any claim
of any such party pursuant to this Section 12.02 shall be subordinated to the
payment in full of all outstanding interest and principal due to the
Noteholders. The payment of any claim pursuant to this Section 12.02 shall in no
event be construed as a "fee" of the Indenture Trustee or the Owner Trustee as
such term is used in Section 8.05(a)(i) or Section 8.05(a)(iii) of the
Indenture. The Transferor's obligation to provide indemnity under this Section
12.02 shall survive the termination of this Agreement or the earlier resignation
or removal of either of the indemnified parties.

         SECTION 12.03 Merger or Consolidation of, or Assumption of the
Obligations of Transferor. Any Person (a) into which the Transferor may be
merged or consolidated, (b) which may result from any merger or consolidation to
which the Transferor shall be a party, or (c) which may succeed to all or
substantially all of the properties and assets of the Transferor's business,
which Person in any of the foregoing cases executes an agreement of assumption
to perform every obligation of the Transferor under this Agreement, shall be the
successor to the Transferor hereunder without the execution or filing of any
document or any further act by any of the parties to this Agreement; provided,
however, that (i) immediately after giving effect to such transaction, no
representation or warranty made pursuant to Section 7.01 shall have been
breached and no Event of Servicer Default, and no event that, after notice or
lapse of time, or both, would become an Event of Servicer Default shall have
happened and be continuing, (ii) the Transferor shall have delivered to the
Owner Trustee and the Indenture Trustee an Officers' Certificate and an Opinion
of Counsel each stating that such consolidation, merger, or succession and such
agreement of assumption comply with this Section 12.03 and that all conditions
precedent, if any, provided for in this Agreement relating to such transaction
have been complied with and (iii) the Transferor shall have delivered an Opinion
of Counsel to the Insurer, the Owner Trustee and the Indenture Trustee either
(A) stating that, in the opinion of such counsel, all financing statements and
continuation statements and amendments thereto have been executed or duly
authorized and filed that are necessary fully to preserve and protect the
interest of the Trust and the Indenture Trustee in the Receivables, and reciting
the details of such filings, or (B) stating that, in the opinion of such
counsel, no such action shall be necessary to preserve and protect such
interest. Notwithstanding the foregoing, the Transferor shall not engage in any
merger or consolidation with any Person, or a disposition of all or
substantially all of its assets without providing advance written notice thereof
to the Owner Trustee, the Indenture Trustee and the Rating Agencies and without
obtaining the prior written consent of the Insurer, so long as the Insurer is
the Controlling Party.

         SECTION 12.04 Limitation on Liability of Transferor and Others. The
Transferor and any director or officer or employee or agent of the Transferor
may rely in good faith on the advice of counsel or on any document of any kind,
prima facie properly executed and submitted by any Person respecting any matters
arising hereunder. The Transferor shall not be under any

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obligation to appear in, prosecute, or defend any legal action that shall not be
incidental to its obligations under this Agreement, and that in its opinion may
involve it in any expense or liability.

         SECTION 12.05 Transferor May Own Notes. The Transferor and any Person
controlling, controlled by, or under common control with the Transferor may in
its individual or any other capacity become the owner or pledgee of Notes with
the same rights as it would have if it were not the Transferor or an affiliate
thereof, except as otherwise provided in the definition of "Noteholder," "Class
A Noteholder" and "Class I Noteholder." Certificates so owned by or pledged to
the Transferor or such controlling or commonly controlled Person shall have an
equal and proportionate benefit under the provisions of this Agreement, without
preference, priority, or distinction as among all of the Notes.

                                  ARTICLE XIII

              THE SERVICER; BACK-UP SERVICER; AND STANDBY SERVICER

         SECTION 13.01 Representations and Warranties

                  (a) The Servicer. BVAC makes the following representations and
         warranties on which the Trust, the Owner Trustee, the Indenture Trustee
         and the Back-up Servicer rely in accepting the Receivables in trust and
         in connection with the performance by each of the Indenture Trustee,
         the Back-up Servicer and the Standby Servicer of its obligations
         hereunder and the Insurer relies in issuing the Policy. The
         representations and warranties speak as of the execution and delivery
         of this Agreement, on the Closing Date, but shall survive each sale of
         the Receivables to the Trust and the subsequent pledge thereof to the
         Indenture Trustee pursuant to the Indenture:

                  (i)      Organization, Good Standing and Due Qualification.
                           The Servicer is duly organized and validly existing
                           in good standing as a corporation under the laws of
                           the State of Nevada, with power and authority to own
                           its properties and to conduct its business as such
                           properties shall be currently owned and such business
                           is presently conducted, and had at all relevant
                           times, and has, the corporate power, authority, and
                           legal right to acquire, own, sell, and service the
                           Receivables, and is duly qualified and has all
                           necessary licenses in all such jurisdictions as are
                           required by it to conduct its business (including the
                           servicing of the Receivables as required by this
                           Agreement and the performance of its other
                           obligations under this Agreement) except when the
                           failure to so qualify would not materially and
                           adequately affect the performance by the Servicer of
                           its obligations under, or the validity or
                           enforceability of this Agreement or the Notes.

                  (ii)     Power and Authority; Binding Obligations. The
                           Servicer has the power and authority to execute and
                           deliver this Agreement and to carry out the terms
                           hereof. This Agreement and all other instruments or
                           documents to be delivered hereunder or pursuant
                           hereto, and the transactions

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                           contemplated hereby, have been duly authorized by all
                           necessary corporate proceedings of the Servicer. This
                           Agreement has been duly and validly executed and
                           delivered by the Servicer and, assuming due
                           authorization, execution and delivery by each other
                           party hereto, this Agreement is a valid and legally
                           binding agreement of the Servicer enforceable in
                           accordance with its terms, subject to the effects of
                           bankruptcy, insolvency, reorganization, or other
                           similar laws affecting the enforcement of creditors'
                           rights generally and to general principles of equity.

                  (iii)    No Violation. The execution and delivery of this
                           Agreement and performance under this Agreement by the
                           Servicer and the compliance by the Servicer with all
                           provisions of this Agreement do not conflict with or
                           violate any applicable law, regulation or order of
                           any court or of any federal or state regulatory body,
                           administrative agency or other governmental
                           instrumentality and do not conflict with or result in
                           a breach of or (with or without notice or lapse of
                           time) default under any of the terms or provisions of
                           any contract or agreement to which the Servicer is
                           subject or by which it or its property is bound, or
                           result in the creation or imposition of a Lien upon
                           any of its properties pursuant to the terms of any
                           such contract or agreement, nor does such execution,
                           delivery or compliance violate the Certificate of
                           Incorporation or By-Laws of the Servicer except when
                           the failure to so qualify would not materially and
                           adequately affect the performance by the Servicer of
                           its obligations under, or the validity or
                           enforceability of, this Agreement or the Notes.

                  (iv)     No Proceedings. There are no proceedings or
                           investigations pending, or, to the Servicer's
                           knowledge, threatened against the Servicer, before
                           any court, regulatory body, administrative agency, or
                           other tribunal governmental instrumentality having
                           jurisdiction over the Servicer or its properties: (A)
                           asserting the invalidity of this Agreement, the other
                           Basic Documents to which the Servicer is a party, the
                           Notes or the Certificate, (B) seeking to prevent the
                           issuance of the Notes or the Certificate or the
                           consummation of any of the transactions contemplated
                           by this Agreement the Notes or the Certificate, (C)
                           seeking any determination or ruling that might
                           materially and adversely affect the performance by
                           the Servicer of its obligations under, or the
                           validity or enforceability of, this Agreement, the
                           Notes or the Certificate, (D) relating to the
                           Servicer and which might adversely affect the federal
                           or state income, excise, franchise or similar tax
                           attributes of the Securities, or (E) that could have
                           a material adverse effect on the Receivables.

                  (v)      No consent, approval, authorization or order of or
                           declaration or filing with any governmental authority
                           is required for the issuance or sale of the Notes or
                           the consummation of the transactions contemplated by
                           this Agreement except such as have been duly made or
                           obtained.

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                  (vi)     The Servicer has filed on a timely basis all tax
                           returns required to be filed by it and paid all taxes
                           to the extent that such taxes have become due.

                  (vii)    The Servicer hereby represents and warrants that the
                           Servicer's principal place of business and chief
                           executive office is, and for the four months
                           preceding the date of this Agreement has been,
                           located at: 1840 Gateway Drive, San Mateo, California
                           94404.

                  (viii)   The practices used or to be used by the Servicer to
                           monitor collections with respect to the Receivables
                           and repossess and dispose of the Financed Vehicles
                           related to the Receivables will be, in all material
                           respects, legal, proper and in conformity with the
                           requirements of all applicable federal and state
                           laws, rules and regulations, and this Agreement. The
                           Servicer is in possession of all state and local
                           licenses (including all debt collection licenses)
                           required for it to perform its services hereunder,
                           and none of such licenses has been suspended, revoked
                           or terminated.

                  (ix)     There are no existing injunctions, writs, restraining
                           orders or other similar orders which might adversely
                           affect the performance by the Servicer or its
                           obligations under, or the validity and enforceability
                           of, this Agreement.

                  (x)      The Servicer is in compliance with all requirements
                           of federal and state laws, rules, regulations and
                           orders, except where the failure so to comply would
                           not have a material adverse effect on the Servicer,
                           its business or its properties, or the ability of the
                           Servicer to perform its obligations under this
                           Agreement.

         The representations and warranties contained in this Section 13.01(a)
shall survive the execution and delivery of this Agreement, the transfer of the
Receivables on the Closing Date and the pledge of the Receivables to the
Indenture Trustee pursuant to the Indenture.

                  (b) The Back-up Servicer makes the following representations
         and warranties on which the Trust, the Owner Trustee and the Indenture
         Trustee rely in accepting the Receivables in trust and in connection
         with the performance by the Standby Servicer of its obligations
         hereunder and the Insurer relies in issuing the Policy. The
         representations and warranties speak as of the execution and delivery
         of this Agreement, on the Closing Date, and the subsequent pledge
         thereof to the Indenture Trustee pursuant to the Indenture:

                  (i)      Organization and Good Standing. The Back-up Servicer
                           is duly organized and is validly existing as a
                           banking corporation under the laws of the State of
                           New York, with power and authority and legal right to
                           own its properties and to conduct its business as
                           such properties are currently owned and such business
                           is presently conducted, and has and had at all
                           relevant times, full power, authority, and legal
                           right to service the Receivables;

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                  (ii)     Due Qualification. The Back-up Servicer is duly
                           qualified to do business as a foreign corporation in
                           good standing, and has obtained all necessary
                           licenses and approvals in all jurisdictions in which
                           the ownership or lease of property or the conduct of
                           its business (including the servicing of the
                           Receivables as required by this Agreement and the
                           performance of its other obligations under this
                           Agreement and the other Basic Documents to which it
                           is a party) requires such qualifications except where
                           such failure will not have a material adverse effect
                           on the Back-up Servicer, its business or its
                           properties, or the ability of the Back-up Servicer to
                           perform its obligations under this Agreement or any
                           other Basic Document to which it is a party;

                  (iii)    Power and Authority. The Back-up Servicer has the
                           power and authority to execute and deliver this
                           Agreement and the other Basic Documents to which it
                           is a party and to carry out their respective terms;
                           and the execution, delivery, and performance of this
                           Agreement and the other Basic Documents to which it
                           is a party have been duly authorized by the Back-up
                           Servicer by all necessary corporate action;

                  (iv)     Binding Obligations. This Agreement and the other
                           Basic Documents to which it is a party constitute
                           legal, valid, and binding obligations of the Back-up
                           Servicer enforceable in accordance with their
                           respective terms, subject to the effects of
                           bankruptcy, insolvency, reorganization, or other
                           similar laws affecting the enforcement of creditors'
                           rights generally and to general principles of equity;

                  (v)      No Violation. The execution, delivery and performance
                           by the Back-up Servicer of this Agreement and the
                           other Basic Documents to which the Back-up Servicer
                           is a party, and to the best of its knowledge the
                           consummation of the transactions contemplated by this
                           Agreement and the other Basic Documents to which it
                           is a party and the fulfillment of the terms hereof
                           and thereof do not conflict with, result in any
                           breach of any of the terms and provisions of, nor
                           constitute (with or without notice or lapse of time)
                           a default under, the charter documents of the Back-up
                           Servicer.

         The representations and warranties contained in this Section 13.01(b)
shall survive the execution and delivery of this Agreement, the transfer of the
Receivables on the Closing Date and the pledge of the Receivables to the
Indenture Trustee pursuant to the Indenture.

                  (c) The Standby Servicer makes the following representations
         and warranties on which the Trust, the Owner Trustee and the Indenture
         Trustee rely in accepting the Receivables in trust and the Insurer
         relies in issuing the Policy. The representations and warranties speak
         as of the execution and delivery of this Agreement, on the Closing
         Date, and the subsequent pledge thereof to the Indenture Trustee
         pursuant to the Indenture:

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                  (i)      Organization and Good Standing. The Standby Servicer
                           is duly organized and is validly existing as a
                           corporation in good standing under the laws of the
                           State of Delaware, with power and authority and legal
                           right to own its properties and to conduct its
                           business as such properties are currently owned and
                           such business is presently conducted, and has and had
                           at all relevant times, full power, authority, and
                           legal right to acquire, own, sell, and service the
                           Receivables;

                  (ii)     Due Qualification. The Standby Servicer is duly
                           qualified to do business as a foreign corporation in
                           good standing, and has obtained all necessary
                           licenses and approvals in all jurisdictions in which
                           the ownership or lease of property or the conduct of
                           its business (including the servicing of the
                           Receivables as required by this Agreement and the
                           performance of its other obligations under this
                           Agreement and the other Basic Documents to which it
                           is a party) requires such qualifications except where
                           such failure will not have a material adverse effect
                           on the Standby Servicer, its business or its
                           properties, or the ability of the Standby Servicer to
                           perform its obligations under this Agreement or any
                           other Basic Document to which it is a party;

                  (iii)    Power and Authority. The Standby Servicer has the
                           power and authority to execute and deliver this
                           Agreement and the other Basic Documents to which it
                           is a party and to carry out their respective terms;
                           and the execution, delivery, and performance of this
                           Agreement and the other Basic Documents to which it
                           is a party have been duly authorized by the Standby
                           Servicer by all necessary corporate action;

                  (iv)     Binding Obligations. This Agreement and the other
                           Basic Documents to which it is a party constitute
                           legal, valid, and binding obligations of the Standby
                           Servicer enforceable in accordance with their
                           respective terms, subject to the effects of
                           bankruptcy, insolvency, reorganization, or other
                           similar laws affecting the enforcement of creditors'
                           rights generally and to general principles of equity;

                  (v)      No Violation. The execution, delivery and performance
                           by the Standby Servicer of this Agreement and the
                           other Basic Documents to which the Standby Servicer
                           is a party, and the consummation of the transactions
                           contemplated by this Agreement and the other Basic
                           Documents to which it is a party and the fulfillment
                           of the terms hereof and thereof do not conflict with,
                           result in any breach of any of the terms and
                           provisions of, nor constitute (with or without notice
                           or lapse of time) a default under, the charter
                           documents of the Standby Servicer, or any indenture,
                           agreement, or other instrument to which the Standby
                           Servicer is a party or by which it may be 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 this Agreement); nor, to the best of the Standby
                           Servicer's knowledge, violate any law applicable to

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                           the Standby Servicer or any order, rule, or
                           regulation applicable to the Standby Servicer of any
                           court or of any federal or state regulatory body,
                           administrative agency, or other governmental
                           instrumentality having jurisdiction over the Standby
                           Servicer or its properties;

                  (vi)     No Proceedings. There are no proceedings or
                           investigations pending, or, to the Standby Servicer's
                           best knowledge, threatened, before any court,
                           regulatory body, administrative agency, or other
                           governmental instrumentality having jurisdiction over
                           the Standby Servicer or its properties: A) asserting
                           the invalidity of this Agreement, any of the Basic
                           Documents, the Notes or the Certificate, B) seeking
                           to prevent the issuance of the Notes or the
                           Certificate or the consummation of any of the
                           transactions contemplated by this Agreement or any of
                           the Basic Documents, C) seeking any determination or
                           ruling that might materially and adversely affect the
                           performance by the Standby Servicer of its
                           obligations under, or the validity or enforceability
                           of, this Agreement, any of the Basic Documents to
                           which it is a party, the Notes or the Certificate,
                           (D) relating to the Standby Servicer and which might
                           adversely affect the federal income tax attributes of
                           the Notes or the Certificate or (E) that could have a
                           material adverse effect on the Receivables;

                  (vii)    No Consents. No consent, license, approval,
                           authorization or order of, or registration
                           declaration or filing with, any governmental
                           authority or other Person is required to be made in
                           connection with the issuance or sale of the Notes and
                           the Certificate or the execution, delivery or
                           performance of the Basic Documents to which Standby
                           Servicer is a party or the consummation of the
                           transactions contemplated thereby, except such as
                           have been duly made, effected or obtained;

                  (viii)   Taxes. The Standby Servicer has filed on a timely
                           basis all tax returns required to be filed by it and
                           paid all taxes, to the extent that such taxes have
                           become due;

                  (ix)     Chief Executive Office. The principal place of
                           business and chief executive office of the Standby
                           Servicer is, and for the four months preceding the
                           date of this Agreement has been, located at 4315
                           Picket Road, St. Joseph, Missouri 64503;

                  (x)      No Injunctions. There are no existing injunctions,
                           writs, restraining orders or other similar orders
                           which might adversely affect the performance by the
                           Standby Servicer or its obligations under, or the
                           validity and enforceability of, this Agreement;

                  (xi)     Compliance with Law. The Standby Servicer is in
                           compliance with all requirements of federal and state
                           laws, rules, regulations and orders, except where the
                           failure so to comply would not have a material
                           adverse effect on the Standby Servicer, its business
                           or its properties, or the ability

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                           of the Standby Servicer to perform its obligations
                           under this Agreement; and

                  (xii)    Practices. The practices used or to be used by the
                           Standby Servicer, to monitor collections with respect
                           to the Receivables and repossess and dispose of the
                           Financed Vehicles related to the Receivables will be,
                           in all material respects, legal, proper and in
                           conformity with the requirements of all applicable
                           federal and state laws, rules and regulations, and
                           this Agreement. The Standby Servicer is in possession
                           of all state and local licenses (including all debt
                           collection licenses) required for it to perform its
                           services hereunder (including as successor Servicer),
                           and none of such licenses has been suspended, revoked
                           or terminated.

         The representations and warranties contained in this Section 13.0l(c)
shall survive the execution and delivery of this Agreement, the transfer of the
Receivables on the Closing Date and the pledge of the Receivables to the
Indenture Trustee pursuant to the Indenture.

         SECTION 13.02 Indemnities of Servicer, Back-up Servicer and Standby
Servicer.

                  (a) The Servicer shall be liable in accordance herewith only
         to the extent of the obligations specifically undertaken by the
         Servicer under this Agreement and no implied duties or obligations
         shall be read into this Agreement against the Servicer.

                  (i)      The Servicer shall defend, indemnify, and hold
                           harmless the Owner Trustee, the Indenture Trustee,
                           the Collateral Agent, the Insurer, the Standby
                           Servicer, the Back-up Servicer, and their officers,
                           directors, employees and agents, the Trust, the
                           Certificateholders and the Noteholders from and
                           against any and all costs, expenses, losses, damages,
                           claims, and liabilities, arising out of or resulting
                           from the use, ownership, or operation by the Servicer
                           or any affiliate thereof of a Financed Vehicle.

                  (ii)     The Servicer shall indemnify, defend and hold
                           harmless the Owner Trustee, the Indenture Trustee,
                           the Collateral Agent, the Insurer, the Standby
                           Servicer, the Back-up Servicer, and the Trust from
                           and against any taxes that may at any time be
                           asserted against such parties with respect to the
                           transactions contemplated herein, including, without
                           limitation, any sales, gross receipts, general
                           corporation, tangible or intangible personal
                           property, privilege, or license taxes (but, in the
                           case of the Trust, not including any taxes asserted
                           with respect to, and as of the date of, the sale of
                           the Receivables to the Trust or the issuance and
                           original sale of the Certificates, the Notes, or
                           asserted with respect to ownership of the
                           Receivables, or federal or other income taxes arising
                           out of distributions on the Certificates or the
                           Notes) and costs and expenses in defending against
                           the same.

                  (iii)    The Servicer shall indemnify, defend, and hold
                           harmless the Owner Trustee, the Indenture Trustee,
                           the Collateral Agent, the Insurer, the

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                           Standby Servicer, the Back-up Servicer, the Trust,
                           the Certificateholder and the Noteholders from and
                           against any and all costs, expenses, losses, claims,
                           damages, and liabilities to the extent that such
                           cost, expense, loss, claim, damage, or liability
                           arose out of, or was imposed upon such parties
                           through, the negligence, willful misfeasance, or bad
                           faith of the Servicer in the performance of its
                           duties under this Agreement, or by reason of reckless
                           disregard of its obligations and duties under this
                           Agreement; provided, however, that the Servicer shall
                           not be liable to the Owner Trustee or Indenture
                           Trustee for any portion of any such amount resulting
                           from the willful misconduct, bad faith, or negligence
                           of the Owner Trustee or the Indenture Trustee, as
                           applicable. This indemnity shall survive the
                           termination of this Agreement or the Trust and the
                           resignation or removal of the Owner Trustee, the
                           Indenture Trustee and the Back-up Servicer.

                  (iv)     The Servicer shall indemnify, defend, and hold
                           harmless the Owner Trustee, the Indenture Trustee,
                           the Collateral Agent, the Insurer, the Standby
                           Servicer, the Back-up Servicer, their respective
                           officers, directors, employees and agents and the
                           Trust from and against all costs, expenses, losses,
                           claims, damages, and liabilities arising out of or
                           incurred in connection with the acceptance or
                           performance of the trusts and duties herein contained
                           or any of the provisions contained in any of the
                           Basic Documents, or any of the transactions
                           contemplated thereby, except to the extent that such
                           cost, expense, loss, claim, damage or liability: (a)
                           shall be due to the willful misfeasance, bad faith,
                           or negligence of such indemnified party; (b) relates
                           to any tax other than the taxes with respect to which
                           either the Transferor or Servicer shall be required
                           to indemnify the Owner Trustee or the Indenture
                           Trustee; (c) shall arise from the breach of any of
                           representations or warranties of such indemnified
                           party; (d) shall be one as to which the Transferor is
                           required to indemnify the Owner Trustee or the
                           Indenture Trustee under this Agreement and the
                           Transferor has paid such indemnity claim; (e) shall
                           arise out of or be incurred in connection with the
                           acceptance or performance by the Indenture Trustee of
                           the duties of successor Servicer or (f) with respect
                           to the Insurer, shall arise out of its obligations to
                           perform under the Policy and is not an otherwise
                           indemnifiable obligation pursuant to the Insurance
                           Agreement.

                  Notwithstanding the foregoing, clauses (ii) and (iv) above
         shall not apply to the Standby Servicer or the Back-up Servicer in the
         event the Standby Servicer or the Back-up Servicer becomes the
         successor Servicer.

                  Indemnification by each of the Servicer, the Standby Servicer
         or the Back-up Servicer (or any other successor Servicer), as Servicer,
         shall be made only with respect to the period that it acts as Servicer
         and its acts and omissions while acting as such. Indemnification under
         this Section by the Servicer, with respect to the period such Person
         was (or was deemed to be) the Servicer, shall survive the termination
         of such Person as Servicer or a resignation by such Person as Servicer
         as well as the termination of this Agreement and shall include
         reasonable fees and expenses of counsel and expenses of

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         litigation. If the Servicer shall have made any indemnity payments
         pursuant to this Section and the recipient thereafter collects any of
         such amounts from others, the recipient shall promptly repay such
         amounts to the Servicer, without interest.

                  (b) The Back-up Servicer and the Standby Servicer shall each
         be liable in accordance herewith only to the extent of the obligations
         specifically undertaken by the Back-up Servicer in its capacity as
         Back-up Servicer under this Agreement and the Standby Servicer in its
         capacity as Standby Servicer under this Agreement, and no implied
         duties or obligations shall be read into this Agreement against the
         Back-up Servicer or the Standby Servicer. The Back-up Servicer may
         fulfill its obligations hereunder as Back-up Servicer through its
         agents, nominees and custodians and shall not be liable for the acts or
         omissions of such agents, nominees and custodians to the extent they
         are appointed with due care by the Back-up Servicer. Neither the
         Back-up Servicer nor its employees, directors, agents or officers shall
         be liable for any action taken in good faith pursuant to this Agreement
         or for errors of judgment not involving willful misconduct or
         negligence. The Standby Servicer shall indemnify, defend, and hold
         harmless the Trust, the Indenture Trustee, the Insurer, the Servicer
         and the Noteholders from and against any and all costs, expenses,
         losses, claims, damages, and liabilities to the extent that such cost,
         expense, loss, claim, damage, or liability arose out of, or was imposed
         upon the Trust, the Indenture Trustee, the Servicer, the Insurer or the
         Noteholders through the negligence, willful misconduct or bad faith of
         the Standby Servicer, in the performance of its duties as Standby
         Servicer under this Agreement. In the event that the Standby Servicer
         becomes the successor Servicer, the Standby Servicer in its capacity as
         successor Servicer, shall be liable in accordance with, and to the
         extent set forth in, Section 13.02(a).

                  (c) Indemnification under this Section 13.02 shall include
         reasonable fees and expenses of counsel and expenses of litigation. If
         the Servicer shall have made any indemnity payments pursuant to this
         Section and the recipient thereafter collects any of such amounts from
         others, the recipient shall promptly repay such amounts to the
         Servicer, without interest. This indemnification under Section 13.02
         shall survive the termination of this Agreement and/or the Spread
         Account Depositor Trust Agreement and the removal of the Servicer, the
         Standby Servicer, the Back-up Servicer and/or the Indenture Trustee.

         SECTION 13.03 Merger or Consolidation of, or Assumption of the
Obligations of the Servicer, Back-up Servicer and Standby Servicer.

                  (a) The Servicer shall not merge or consolidate with any other
         Person, convey, transfer or lease substantially all its assets as an
         entirety to another Person, or permit any other Person to become the
         successor to the Servicer's business unless, after the merger,
         consolidation, conveyance, transfer, lease or succession, the successor
         or surviving entity shall be an Eligible Servicer and shall be capable
         of fulfilling the duties of the Servicer contained in this Agreement
         and the other Basic Documents to which the Servicer is a party. Any
         Person (i) into which the Servicer may be merged or consolidated, (ii)
         resulting from any merger, conversion, or consolidation to which the
         Servicer shall be a party which may succeed to the properties and
         assets of the Servicer

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         substantially as a whole or (iii) succeeding to the business of the
         Servicer (or to substantially all of the Servicer's business insofar as
         it relates to the servicing of the Receivables), which Person in any of
         the foregoing cases executes an agreement of assumption reasonably
         acceptable to the Insurer in its sole and absolute discretion to
         perform every obligation of the Servicer under this Agreement and the
         other Basic Documents to which it is a party, will be the successor to
         the Servicer under this Agreement and the other Basic Documents to
         which it is a party without the execution or filing of any paper or any
         further act on the part of any of the parties to this Agreement;
         provided, however, that (w) immediately after giving effect to such
         transaction, no representation or warranty made pursuant to Section
         13.01 hereof or made by BVAC in the Purchase Agreement shall have been
         breached (for purposes hereof, such representations and warranties
         shall speak as of the date of the consummation of such transaction), no
         Event of Servicer Default or Insurance Agreement Event of Default, and
         no event which, after notice or lapse of time, or both, would become an
         Event of Servicer Default or Insurance Agreement Event of Default shall
         have occurred and be continuing, (x) the Servicer shall have delivered
         to the Insurer (so long as the Insurance Agreement has not terminated)
         and the Indenture Trustee an Officer's Certificate and an Opinion of
         Counsel each stating that such consolidation, conversion, merger or
         succession and such agreement of assumption comply with this Section
         and that all conditions precedent provided for in this Agreement and
         the other Basic Documents to which it is a party relating to such
         transaction have been complied with, and (y) the Servicer shall have
         delivered to the Insurer (so long as the Insurance Agreement has not
         terminated) and the Indenture Trustee, an Opinion of Counsel either (A)
         stating that, in the opinion of such counsel, all financing statements
         and continuation statements and amendments thereto have been executed
         and filed that are necessary fully to preserve and protect the interest
         of the Trust and the Indenture Trustee in the Receivables, and reciting
         the details of such filings, or (B) stating that, in the opinion of
         such counsel, no such action shall be necessary to preserve and protect
         such interest and (z) the Rating Agencies shall have confirmed the
         "shadow ratings" of the Notes without regard to the Policy. The
         Servicer shall provide notice of any merger, conversion, consolidation
         or succession pursuant to this Section to the Insurer and the Rating
         Agencies then providing a rating for the Securities. The Indenture
         Trustee shall forward a copy of each such notice to each Noteholder.
         Notwithstanding anything herein to the contrary, the execution of the
         foregoing agreement of assumption and compliance with clauses (w), (x),
         (y) and (z) above shall be conditions to the consummation of the
         transactions referred to in clauses (i), (ii) or (iii) above. The
         Opinion of Counsel required by this Section shall not be an expense of
         the Indenture Trustee or the Insurer.

                  (b) Any Person (i) into which the Back-up Servicer may be
         merged or consolidated, (ii) which may result from any merger or
         consolidation to which the Back-up Servicer shall be a party, (iii)
         which may succeed to the properties and assets of the Back-up Servicer
         substantially as a whole or (iv) succeeding to the business of the
         Back-up Servicer, shall execute an agreement of assumption to perform
         every obligation of the Back-up Servicer hereunder, and whether or not
         such assumption agreement is executed, shall be the successor to the
         Back-up Servicer under this Agreement without further act on the part
         of any of the parties to this Agreement; provided, however, that
         nothing herein shall be deemed to release the Back-up Servicer from any
         obligation. In

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         connection with any transaction described above, the Back-up Servicer
         must comply with the provisions of this Section 13.03 as if it were
         then acting as Servicer.

                  (c) Any Person (i) into which the Standby Servicer may be
         merged or consolidated, (ii) which may result from any merger or
         consolidation to which the Standby Servicer shall be a party, (ii)
         which may succeed to the properties and assets of the Standby Servicer
         substantially as a whole or (iv) succeeding to the business of the
         Standby Servicer, shall execute an agreement of assumption to perform
         every obligation of the Standby Servicer hereunder, and whether or not
         such assumption agreement is executed, shall be the successor to the
         Standby Servicer under this Agreement without further act on the part
         of any of the parties to this Agreement; provided, however, that
         nothing herein shall be deemed to release the Standby Servicer from any
         obligation. In connection with any transaction described above, the
         Standby Servicer must comply with the provisions of this Section 13.03
         as if it were then acting as Servicer.

         SECTION 13.04 Limitation on Liability of Servicer and Others. Neither
the Servicer nor any of the directors or officers or employees or agents of the
Servicer shall be under any liability to the Trust, the Indenture Trustee, the
Certificateholder or the Noteholders, except as provided under this Agreement,
for any action taken or for refraining from the taking of any action pursuant to
this Agreement; provided, however, that this provision shall not protect the
Servicer or any such person against any liability that would otherwise be
imposed by reason of willful misconduct, bad faith or negligence in the
performance of duties or by reason of reckless disregard of obligations and
duties under this Agreement. The Servicer and any director or officer or
employee or agent of the Servicer may rely in good faith on any document of any
kind prima facie properly executed and submitted by any Person respecting any
matters arising under this Agreement.

         Except as provided in this Agreement, the Servicer shall not be under
any obligation to appear in, prosecute, or defend any legal action that shall
not be incidental to its duties to service the Receivables in accordance with
this Agreement (collection actions with respect to Charged-Off Receivables are
understood to be incidental to the Servicer's duties to service the
Receivables), and that in its opinion may involve it in any expense or
liability.

         SECTION 13.05 Servicer, Back-up Servicer and Standby Servicer Not to
Resign. Subject to the provisions of Sections 8.02(g), 14.01 and 14.02, as
applicable, none of the Servicer, Back-up Servicer, or the Standby Servicer
shall resign from the obligations and duties imposed on it by this Agreement as
Servicer, Back-up Servicer, or Standby Servicer, respectively, except upon a
determination that by reason of a change in legal requirements the performance
of its duties under this Agreement would cause it to be in violation of such
legal requirements in a manner which would result in a material adverse effect
on the Servicer, Back-up Servicer, or the Standby Servicer, as the case may be,
and the Insurer (so long as an Insurer Default shall not have occurred and be
continuing) does not or the Majority Noteholders (if an Insurer Default shall
have occurred and be continuing) do not (i) elect in its or their absolute
discretion to waive the obligations of the Servicer, Back-up Servicer, or the
Standby Servicer, as the case may be, to perform the duties that render it
legally unable to act or (ii) allow in its or their absolute discretion the
Servicer, Back-up Servicer, or the Standby Servicer, as the case may be, to
delegate those duties to another Person; provided, however, that notwithstanding
the

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foregoing, the Back-up Servicer may resign upon 90 days prior written notice
to the Servicer and the Insurer if it resigns as Indenture Trustee. Any such
determination permitting the resignation of the Servicer, Back-up Servicer, or
the Standby Servicer shall be evidenced by an Opinion of Counsel as to the legal
requirements that would be violated, delivered to the Owner Trustee, the
Indenture Trustee and the Insurer. No resignation of the Servicer shall become
effective, so long as the Insurer is the Controlling Party, until the Back-up
Servicer or an entity acceptable to the Insurer shall have assumed the
responsibilities and obligations of the Servicer or, if an Insurer Default shall
have occurred and be continuing, until the Back-up Servicer, the Standby
Servicer or a successor Servicer that is an Eligible Servicer shall have assumed
the responsibilities and obligations of the Servicer. No resignation of the
Servicer shall become effective, so long as no Insurer Default shall have
occurred and be continuing, until the Back-up Servicer, the Standby Servicer or
an entity acceptable to the Insurer shall have assumed the responsibilities and
obligations of the Servicer. No resignation of the Servicer, Back-up Servicer,
or the Standby Servicer shall relieve the Servicer, Back-up Servicer, or the
Standby Servicer, as the case may be, of any liability to which it has
previously become subject under this Agreement or any Basic Document.

         SECTION 13.06 Delegation of Duties. Except as provided in Section 13.03
hereof, it is understood and agreed by the parties hereto that the Servicer or
the Transferor may at any time delegate any duties including duties as custodian
to any Person willing to accept such delegation and acceptable to the
Controlling Party and to perform such duties (including any affiliate of the
Servicer) in accordance with the customary procedures of the Servicer. In
connection with such delegation, the Servicer or the Transferor may assign
rights to the delegee or direct the payment to the delegee of benefits or
amounts otherwise inuring to the benefit of, or payable to, the Transferor or
the Servicer hereunder. Any such delegation shall not relieve the Servicer or
the Transferor of their respective liability and responsibility with respect to
such duties, and shall not constitute a resignation within Section 13.05 hereof.
The Servicer shall give written notice to the Rating Agencies, the Owner
Trustee, the Indenture Trustee and the Insurer of any such delegation.

                                  ARTICLE XIV

                     SERVICER AND STANDBY SERVICER DEFAULTS

         SECTION 14.01 Events of Servicer Default. While the Servicer, the
Back-up Servicer or any successor Servicer (other than the Standby Servicer) is
acting as the Servicer hereunder, any one of the following events shall
constitute an "Event of Servicer Default":

                  (i)      Any failure by the Servicer (x) to deposit, or to
                           deliver to the Indenture Trustee for deposit, to any
                           Trust Account any amount required to be so delivered
                           or deposited therein by the Servicer that shall
                           continue unremedied for a period of one (1) Business
                           Day or (y) to deliver to the Indenture Trustee, the
                           Back-up Servicer, the Standby Servicer or the Insurer
                           the Servicer's Certificate on the related
                           Determination Date that shall continue unremedied for
                           a period of two (2) Business Days or the statement
                           required by Section 8.13 or the report required by
                           Section 8.14

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                           shall not have been delivered within five (5) days
                           after the date such statement or report, as the case
                           may be, is required to be delivered after, in either
                           case, (A) after written notice from either the Owner
                           Trustee, the Indenture Trustee or the Insurer (so
                           long as the Insurer is not in default of its
                           obligations under the Policy) or by the holders of
                           Notes evidencing not less than 25% of the aggregate
                           outstanding balance of the Notes is received by the
                           Servicer as specified in this Agreement or (B) after
                           discovery by an officer of the Servicer;

                  (ii)     Failure on the part of the Servicer, and for so long
                           as the Servicer is obligated to perform as the
                           Servicer, failure on the part of the Transferor or
                           BVAC, as the case may be, to repurchase a Receivable
                           in accordance with Section 7.02, Section 8.08 or
                           Section 8.10 hereof and, in the case of BVAC pursuant
                           to Section 7.02 and Section 3.03 of the Purchase
                           Agreement, as the case may be, which failure shall
                           continue unremedied for a period of two (2) Business
                           Days after the same is required to be delivered in
                           accordance with such Sections after, in either case,
                           (A) after written notice from either the Owner
                           Trustee, the Indenture Trustee or the Insurer (so
                           long as the Insurer is not in default of its
                           obligations under the Policy) or by the holders of
                           Notes evidencing not less than 25% of the aggregate
                           outstanding balance of the Notes is received by the
                           Servicer or BVAC as specified in this Agreement or
                           (B) after discovery by an officer of the Servicer;

                  (iii)    Failure on the part of the Servicer to observe its
                           covenants and agreements set forth in Section 8.09
                           or, for so long as the Servicer is obligated to
                           perform as the Servicer, failure on the part of the
                           Transferor to observe its covenants and agreements in
                           Article V of the Purchase Agreement;

                  (iv)     Failure on the part of the Servicer, and for so long
                           as the Servicer is obligated to perform as the
                           Servicer, failure on the part of the Transferor or
                           BVAC duly to observe or to perform any other
                           covenants or agreements of the Servicer, the
                           Transferor or BVAC (as the case may be) set forth in
                           this Agreement or any other Basic Document, which
                           failure shall (a) materially and adversely affect the
                           rights of Noteholders or the Insurer and (b) continue
                           unremedied for a period of 30 days after the date on
                           which written notice of such failure requiring the
                           same to be remedied, shall have been given (1) to the
                           Servicer, the Transferor or BVAC (as the case may be)
                           by the Insurer or the Indenture Trustee, or (2) to
                           the Servicer, the Transferor or BVAC (as the case may
                           be), and to the Indenture Trustee and the Insurer by
                           the Noteholders evidencing not less than 25% of the
                           Class A Note Balance;

                  (v)      The entry of a decree or order for relief by a court
                           or regulatory authority having jurisdiction in
                           respect of the Servicer (or, so long as the Servicer
                           is obligated to perform as the Servicer, the
                           Transferor or any of the Servicer's other Affiliates,
                           if the Servicer's ability to service the

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                           Receivables is adversely affected in a material
                           respect thereby) in an involuntary case under the
                           federal bankruptcy laws, as now or hereafter in
                           effect, or another present or future, federal or
                           state, bankruptcy, insolvency or similar law, or
                           appointing a receiver, liquidator, assignee, trustee,
                           custodian, sequestrator or other similar official of
                           BVAC, the Servicer (or the Transferor or any other
                           Affiliate of BVAC, if applicable) or of any
                           substantial part of their respective properties or
                           ordering the winding up or liquidation of the affairs
                           of BVAC or the Servicer (or the Transferor or any
                           other Affiliate of BVAC, if applicable) or the
                           commencement of an involuntary case under the federal
                           or state bankruptcy, insolvency or similar laws, as
                           now or hereafter in effect, or another present or
                           future, federal or state bankruptcy, insolvency or
                           similar law with respect to BVAC or the Servicer (or
                           the Transferor or any other Affiliate of BVAC, if
                           applicable) and such case is not dismissed within 60
                           days;

                  (vi)     The commencement by BVAC or the Servicer (or, so long
                           as the Servicer is obligated to perform as the
                           Servicer, the Transferor or any of the Servicer's
                           other Affiliates, if the Servicer's ability to
                           service the Receivables is adversely affected
                           thereby) of a voluntary case under the federal
                           bankruptcy laws, as now or hereafter in effect, or
                           any other present or future, federal or state,
                           bankruptcy, insolvency or similar law, or the consent
                           by BVAC or the Servicer (or the Transferor or any
                           other Affiliate of BVAC, if applicable) to the
                           appointment of or taking possession by a receiver,
                           liquidator, assignee, trustee, custodian,
                           sequestrator or other similar official of BVAC or the
                           Servicer (or the Transferor or any other Affiliate of
                           BVAC, if applicable) or of any substantial part of
                           its property or the making by BVAC or the Servicer
                           (or the Transferor or any other Affiliate of BVAC, if
                           applicable) of an assignment for the benefit of
                           creditors or the failure by BVAC or the Servicer (or
                           the Transferor or any other Affiliate of BVAC, if
                           applicable) generally to pay its debts as such debts
                           become due or the taking of corporate action by BVAC
                           or the Servicer (or the Transferor or any other
                           Affiliate of BVAC, if applicable) in furtherance of
                           any of the foregoing;

                  (vii)    Any representation, warranty or statement of the
                           Servicer or, for so long as the Servicer is obligated
                           to perform as the Servicer, BVAC or the Transferor
                           made in this Agreement and, with respect to BVAC and
                           the Transferor, the Purchase Agreement, or in each
                           case any certificate, report or other writing
                           delivered pursuant hereto or thereto shall prove to
                           be incorrect as of the time when the same shall have
                           been made (excluding, however, any representation or
                           warranty set forth in Section 3.02 of the Purchase
                           Agreement), and the incorrectness of such
                           representation, warranty or statement has a material
                           adverse effect on the Issuer, the Insurer or the
                           Noteholders and, within 60 days after written notice
                           thereof, shall have been given (1) to BVAC, the
                           Servicer or the Transferor (as the case may be) by
                           the Indenture Trustee or the Insurer or (2) to BVAC,
                           the Servicer or the Transferor (as the case may be),
                           and to the Indenture

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                           Trustee and the Insurer by the Noteholders evidencing
                           not less than 25% of the Class A Note Balance, the
                           circumstances or condition in respect of which such
                           representation, warranty or statement was incorrect
                           shall not have been eliminated or otherwise cured;

                  (viii)   An Insurance Agreement Event of Default has occurred;

                  (ix)     A claim is made under the Policy;

                  (x)      So long as an Insurer Default shall not have occurred
                           and be continuing, the Insurer shall not have
                           delivered a Servicer Extension Notice pursuant to
                           Section 8.04 hereof; or

                  (xi)     The occurrence of a "Servicer Default" under and as
                           defined in any sale and servicing agreement, pooling
                           and servicing agreement or any similar agreement with
                           respect to which (x) BVAC or any of its Affiliates is
                           designated as servicer, sub-servicer, back up
                           servicer or any similar capacity (irrespective of
                           whether it is then acting in such capacity) and (y)
                           the Insurer has issued a financial guaranty insurance
                           policy relating to one or more classes of securities
                           issued under or otherwise relating to such agreement.

         If a Servicer Default shall occur and be continuing then, and in each
and every case, the Indenture Trustee shall, (x) at the direction of the Insurer
in its sole and absolute discretion, so long as the Insurer is the Controlling
Party, or (y) at the direction of the Majority Noteholders, if an Insurer
Default has occurred and is continuing or the Insurance Agreement has
terminated, by notice then given in writing to the Servicer (and to the
Indenture Trustee if given by the Noteholders or the Insurer) or (z) upon the
Insurer's failure to deliver a Servicer Extension Notice pursuant to Section
8.04 hereof (so long as the Insurance Agreement has not terminated), terminate
all of the rights and obligations of the Servicer under this Agreement. Upon
sending or receiving any such notice, the Indenture Trustee shall promptly send
a copy thereof to the Owner Trustee, the Rating Agencies, the Insurer (so long
as the Insurer is the Controlling Party), the Back-up Servicer, the Standby
Servicer and to each Noteholder. On or after the receipt by the Servicer of such
written notice (unless otherwise directed by the Insurer and subject to Section
14.03(a)), all authority and power of the Servicer as the Servicer under this
Agreement, whether with respect to the Securities or the Receivables or
otherwise, shall, without further action, pass to and be vested in the Standby
Servicer or any such successor Servicer as may be appointed under Section 14.03;
and, without limitation, the Standby Servicer, any such successor Servicer and
the Indenture Trustee are hereby authorized and empowered to execute and
deliver, on behalf of the predecessor Servicer, as attorney-in-fact or
otherwise, any and all documents and other instruments, and to do or accomplish
all other acts or things necessary or appropriate to effect the purposes of such
notice of termination, whether to complete the transfer and endorsement of the
Receivables and related documents, or otherwise provided, however, that the
Standby Servicer or the Back-up Servicer shall have no obligation to assume the
responsibilities of the Servicer with fewer than thirty (30) days prior written
notice other than, during an Insurer Default, to use its reasonable best efforts
to process payments received in respect of the Receivables in accordance with
the terms of this Agreement. The predecessor Servicer shall

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cooperate with the successor Servicer and the Indenture Trustee in effecting the
termination of the responsibilities and rights of the predecessor Servicer under
this Agreement, including the transfer to the successor Servicer for
administration by it of all cash amounts that shall at the time be held or
should have been held by the predecessor Servicer for deposit, or shall
thereafter be received with respect to a Receivable and the delivery to the
successor Servicer of all files and records concerning the Receivables and a
Computer Tape in readable form containing all information necessary to enable
the successor Servicer to service the Receivables and the other property of the
Issuer. All Transition Costs shall be paid by the predecessor Servicer upon
presentation of reasonable documentation of such costs and expenses and, if not
so paid, shall be reimbursable to the successor Servicer, to the extent of
Available Funds on each Payment Date, pursuant to the priorities set forth in
Section 8.05(a) of the Indenture; provided, that such payment shall not relieve
the predecessor Servicer from the responsibility for making such payment and the
Issuer shall be subrogated to the rights of the successor Servicer with respect
to such Transition Costs and shall have a direct right to institute proceedings
against the predecessor Servicer for such payment. The predecessor Servicer
shall grant the Transferor, the Indenture Trustee, the Standby Servicer, the
Back-up Servicer and the Insurer reasonable access to the predecessor Servicer's
premises, computer files, personnel, records and equipment at the predecessor
Servicer's expense. If requested by the Insurer (so long as it is the
Controlling Party), the Standby Servicer or any other successor Servicer shall
terminate any arrangements relating to (i) the Lock-Box Account with the
Lock-Box Bank, (ii) the Lock-Box or (iii) the Lock-Box Agreement, and direct the
Obligors to make all payments under the Receivables directly to the Servicer at
the predecessor Servicer's expense (in which event the successor Servicer shall
process such payments directly, or, through a Lock-Box Account with a Lock-Box
Bank at the direction of the Insurer). The Indenture Trustee shall send copies
of all notices given pursuant to this Section 14.01 to the Insurer so long as no
Insurer Default shall have occurred and be continuing, and to the Noteholders if
an Insurer Default shall have occurred and be continuing.

         When the Standby Servicer or the Back-up Servicer incurs expenses after
the occurrence of an Event of Servicer Default specified in this Section 14.01,
the expenses are intended to constitute expenses of administration under Title
11 of the United States Code or any other applicable federal or State
bankruptcy, insolvency or similar law.

         SECTION 14.02 Standby Servicer Default.

                  (a) Any one of the following events shall constitute a
         "Standby Servicer Default" with respect to the Standby Servicer acting
         in its capacity as Standby Servicer hereunder and in its capacity as
         successor Servicer hereunder (unless specifically stated otherwise):

                  (i)      Any failure by the Standby Servicer (so long as the
                           Standby Servicer is obligated to perform as the
                           Servicer) (x) to deposit, or to deliver to the
                           Indenture Trustee for deposit, to any Trust Account
                           or the Spread Account any amount required to be so
                           delivered or deposited therein by the Servicer that
                           shall continue unremedied for a period of one (1)
                           Business Day or (y) to deliver to the Indenture
                           Trustee, the Back-up Servicer or the Insurer the
                           Servicer's Certificate on the related Determination
                           Date that

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                           shall continue unremedied for a period of two (2)
                           Business Days or the statement required by Section
                           8.13 or the report required by Section 8.14 shall not
                           have been delivered within five (5) days after the
                           date such statement or report, as the case may be, is
                           required to be delivered;

                  (ii)     Failure on the part of the Standby Servicer to
                           observe its covenants and agreements set forth in
                           Section 8.09;

                  (iii)    Failure on the part of the Standby Servicer duly to
                           observe or to perform any other covenants or
                           agreements of the Standby Servicer set forth in the
                           Securities or in this Agreement (except as otherwise
                           specifically referred to in this Section 14.02(a)),
                           which failure shall (a) materially and adversely
                           affect the rights of Noteholders or the Insurer and
                           (b) continue unremedied for a period of 30 days after
                           the date on which written notice of such failure
                           requiring the same to be remedied, shall have been
                           given (1) to the Standby Servicer by the Insurer or
                           the Indenture Trustee, or (2) to the Standby Servicer
                           and to the Indenture Trustee and the Insurer by the
                           Noteholders evidencing not less than 25% of the Class
                           A Note Balance;

                  (iv)     The entry of a decree or order for relief by a court
                           or regulatory authority having jurisdiction in
                           respect of the Standby Servicer or any of the Standby
                           Servicer's Affiliates, if the Standby Servicer's
                           ability to service the Receivables is adversely
                           affected thereby, in an involuntary case under the
                           federal bankruptcy laws, as now or hereafter in
                           effect, or another present or future, federal or
                           state, bankruptcy, insolvency or similar law, or
                           appointing a receiver, liquidator, assignee, trustee,
                           custodian, sequestrator or other similar official of
                           the Standby Servicer or any such Affiliate or of any
                           substantial part of their respective properties or
                           ordering the winding up or liquidation of the affairs
                           of Standby Servicer or any such Affiliate or the
                           commencement of an involuntary case under the federal
                           or state bankruptcy, insolvency or similar laws, as
                           now or hereafter in effect, or another present or
                           future, federal or state bankruptcy, insolvency or
                           similar law with respect to the Standby Servicer or
                           any such Affiliate and such case is not dismissed
                           within 60 days;

                  (v)      The commencement by the Standby Servicer or any of
                           the Standby Servicer's Affiliates, if the Standby
                           Servicer's ability to service the Receivables is
                           adversely affected thereby, of a voluntary case under
                           the federal bankruptcy laws, as now or hereafter in
                           effect, or any other present or future, federal or
                           state, bankruptcy, insolvency or similar law, or the
                           consent by Standby Servicer or any such Affiliate to
                           the appointment of or taking possession by a
                           receiver, liquidator, assignee, trustee, custodian,
                           sequestrator or other similar official of the Standby
                           Servicer or any such Affiliate or of any substantial
                           part of its property or the making by the Standby
                           Servicer or any such Affiliate of an assignment for
                           the benefit of creditors or the failure by the
                           Standby Servicer or any such Affiliate generally to
                           pay its debts as such debts become due or the taking
                           of

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                           corporate action by the Standby Servicer or any such
                           Affiliate in furtherance of any of the foregoing;

                  (vi)     Any representation, warranty or statement of the
                           Standby Servicer made in this Agreement or in any
                           certificate, report or other writing delivered
                           pursuant hereto shall prove to be incorrect as of the
                           time when the same shall have been made, and the
                           incorrectness of such representation, warranty or
                           statement has a material adverse effect on the
                           Issuer, the Insurer or the Noteholders and, within 30
                           days after written notice thereof shall have been
                           given (1) to the Standby Servicer by the Indenture
                           Trustee or the Insurer or (2) to the Standby
                           Servicer, and to the Indenture Trustee and the
                           Insurer by the Noteholders evidencing not less than
                           25% of the Class A Note Balance, the circumstances or
                           condition in respect of which such representation,
                           warranty or statement was incorrect shall not have
                           been eliminated or otherwise cured;

                  (vii)    For so long as the Standby Servicer is acting as
                           Standby Servicer hereunder, the failure of the
                           Standby Servicer to comply with the duties and
                           services set forth in Schedule C attached hereto,
                           which failure continues unremedied for a period of
                           five (5) Business Days; or

                  (viii)   For so long as the Standby Servicer is obligated to
                           perform as the Servicer, the occurrence and
                           continuance of a Trigger Event (as such Trigger
                           Events shall have been modified by the Standby
                           Servicer and the Insurer prior to the Standby
                           Servicer assuming the duties of Servicer hereunder);

                  then, and in each and every case, subject to the notice and
         cure provisions of paragraph (b) below, the Indenture Trustee shall, at
         the direction of the Controlling Party, by notice then given in writing
         to the Standby Servicer as the Servicer or as the Standby Servicer (and
         to the Indenture Trustee if given by the Noteholders) shall terminate
         all of the rights and obligations of the Standby Servicer as the
         Servicer or as the Standby Servicer under this Agreement. Upon sending
         or receiving any such notice, the Indenture Trustee shall promptly send
         a copy thereof to the Indenture Trustee, the Owner Trustee, the Rating
         Agencies, the Insurer, the Servicer, the Standby Servicer and to each
         Noteholder. On or after the receipt by the Standby Servicer of such
         written notice (unless otherwise directed by the Insurer and subject to
         Section 14.03(a)), all authority and power of the Standby Servicer as
         the Servicer and as the Standby Servicer under this Agreement, whether
         with respect to the Securities or the Receivables or otherwise, shall,
         without further action, pass to and be vested in any such successor
         Standby Servicer or successor Servicer, as applicable, as may be
         appointed under Section 14.03; and, without limitation, any such
         successor Standby Servicer or successor Servicer, is hereby authorized
         and empowered to execute and deliver, on behalf of the predecessor
         Servicer, as attorney-in-fact or otherwise, any and all documents and
         other instruments, and to do or accomplish all other acts or things
         necessary or appropriate to effect the purposes of such notice of
         termination, whether to complete the transfer and endorsement of the
         Receivables and related documents, or otherwise.

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         The Standby Servicer shall cooperate with the successor Standby
Servicer or successor Servicer, as applicable, in effecting the termination of
its responsibilities and rights under this Agreement, including the transfer to
the successor Standby Servicer or successor Servicer, as applicable, for
administration by it of all cash amounts that shall at the time be held by it
for deposit, or shall thereafter be received by it with respect to any
Receivable, and the related accounts and records maintained by the Standby
Servicer.

                  (b) The Insurer (so long as it is the Controlling Party), the
         Majority Noteholders or the Indenture Trustee shall provide the Standby
         Servicer with written notice of any Standby Servicer Default, which
         notice must grant the Standby Servicer an opportunity to cure any such
         event of termination as follows: (i) in the case of any failure of the
         Standby Servicer to properly administer or deliver any monies as
         required pursuant to this Agreement, for a period of three (3) Business
         Days after receipt of the notice by the Standby Servicer; or (ii) in
         the case of any failure pursuant to this Agreement that is non-monetary
         in nature, for a period of thirty (30) days after receipt of the notice
         by the Standby Servicer. Such notice must explicitly provide that if
         any such failure by the Standby Servicer giving rise to the event of
         termination is not cured within the applicable cure period, then the
         Controlling Party shall have the right to terminate the appointment of
         the Standby Servicer effective as of a date no sooner than the end of
         the applicable cure period.

                  (c) The Standby Servicer may be released from its obligations
         under this Agreement if it does not receive payment of its Standby
         Servicer Fee or Successor Servicer Fee required to be made under the
         terms of this Agreement, which failure continues unremedied for a
         period of thirty (30) days after receipt by the Insurer of written
         notice of such failure and that the Standby Servicer intends to
         terminate its appointment as Standby Servicer if such failure to pay is
         not remedied within such thirty (30) day period, which written notice
         shall explicitly state that failure to pay any Standby Servicer Fee or
         successor Servicer Fee owing to the Standby Servicer, if not cured
         within thirty (30) days of the date of receipt of notice thereof, will
         give the Standby Servicer the right to terminate its appointment as
         Standby Servicer.

         SECTION 14.03 Appointment of Successors.

                  (a) Upon the Servicer's receipt of notice of termination
         pursuant to Section 14.01 or the Servicer's resignation in accordance
         with the terms of this Agreement, the Servicer shall continue to
         perform its functions as Servicer under this Agreement, in the case of
         termination, only until the date specified in such termination notice
         (which date shall be at least 30 days after the date of such notice),
         or, if no such date is specified in a notice of termination, until
         receipt of such notice and, in the case of resignation, until the later
         of (x) the date thirty (30) days from the delivery to the Back-up
         Servicer, the Standby Servicer, the Indenture Trustee and the Insurer
         of written notice of such resignation (or the date of written
         confirmation of such notice prior to the expiration of the thirty (30)
         days) in accordance with the terms of this Agreement and (y) the date
         upon which the predecessor Servicer shall become unable to act as
         Servicer, as specified in the notice of resignation and accompanying
         Opinion of Counsel. In the event of the Servicer's resignation or
         termination hereunder, and unless the Controlling Party directs

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         otherwise, the Standby Servicer shall automatically be the successor
         Servicer under this Agreement and the transactions set forth or
         provided for herein and shall be subject to all the responsibilities,
         duties and liabilities relating thereto placed on the Standby Servicer
         as Servicer by the terms and provisions hereof; provided, however, that
         neither the Standby Servicer, the Back-up Servicer nor any other
         successor Servicer shall be liable for any actions of the Servicer or
         any other predecessor Servicer prior to such succession or for any
         breach by the Servicer or any other predecessor Servicer of any of its
         representations, warranties or covenants contained in this Agreement or
         in any related document or agreement.

                  (b) Upon appointment, the successor Servicer shall be the
         successor in all respects to the predecessor Servicer and shall be
         subject to all the responsibilities, duties, and liabilities arising
         thereafter relating thereto placed on the predecessor Servicer (subject
         to the modified duties of SST set forth in Schedule C attached hereto),
         and shall be entitled to the Servicing Fee (or with respect to SST, the
         successor Servicer Fee set forth in Schedule C attached hereto) and all
         of the rights granted to the predecessor Servicer, by the terms and
         provisions of this Agreement. The predecessor Servicer shall be
         entitled to be reimbursed for Outstanding Advances.

                  (c) In connection with such appointment, the Indenture Trustee
         may make such arrangements for the successor Servicer out of payments
         on Receivables it and such successor Servicer shall agree; provided,
         however, that no such compensation shall be in excess of that permitted
         the original Servicer under this Agreement. The Owner Trustee and such
         successor Servicer shall take such action, consistent with this
         Agreement, as shall be necessary to effectuate any such succession.

                  (d) To the extent that the Standby Servicer or the Back-up
         Servicer shall be entitled to any indemnity payment from the Servicer
         pursuant to Sections 13.02 or 14.03(i) and such indemnity payment has
         not been made within 30 calendar days of demand thereof, the Standby
         Servicer or the Back-up Servicer, as applicable, shall be entitled to
         reimbursement for such unpaid amounts, to the extent of available
         funds, under priority (iii) or (i), respectively, of Section 8.05(a) of
         the Indenture.

                  (e) If the Standby Servicer becomes aware of any error or
         continuing error, which in the opinion of the Standby Servicer impairs
         its ability to perform its services hereunder, the Standby Servicer may
         undertake such data or records reconstruction as it deems appropriate
         to correct any such error or continued error and to prevent future
         continuing error. To the extent it is not otherwise reimbursed under
         this Agreement, the Standby Servicer shall be entitled to recover its
         costs incurred in correcting any such error or continuing error.

                  (f) Upon the Standby Servicer's receipt of notice of
         termination following a Standby Servicer Default or the Standby
         Servicer's resignation in accordance with the terms of this Agreement,
         the Back-up Servicer shall continue to perform its functions as Standby
         Servicer or Servicer, as applicable, under this Agreement, in the case
         of termination, only until the date specified in such termination
         notice or, if no such date is specified in a notice of termination,
         until receipt of such notice and, in the case of

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         resignation, until the later of (x) the date 30 days from the delivery
         to the Standby Servicer, the Indenture Trustee, and the Insurer of
         written notice of such resignation (or the date of written confirmation
         of such notice prior to the expiration of the 30 days) in accordance
         with the terms of this Agreement and (y) the date upon which the
         Standby Servicer shall become unable to act as Servicer, as specified
         in the notice of resignation and accompanying Opinion of Counsel. In
         the event of the Standby Servicer's resignation or termination
         hereunder, and if the Controlling Party so directs, the Back-up
         Servicer shall be the successor in all respects to the Standby Servicer
         in its capacity as Standby Servicer and, if applicable, Servicer under
         this Agreement and the transactions set forth or provided for herein
         and shall be subject to all the responsibilities, duties and
         liabilities relating thereto placed on the Standby Servicer and, if
         applicable, the Servicer by the terms and provisions hereof; provided,
         however, that the Back-up Servicer shall not be liable for any actions
         of the Standby Servicer prior to such succession or for any breach by
         the predecessor Standby Servicer of any of its representations,
         warranties and covenants contained in this Agreement or in any related
         document or agreement.

                  (g) Upon receipt by any successor Servicer (other than the
         Standby Servicer in accordance with Section 14.03(f) above) of notice
         of termination or such successor Servicer's resignation in accordance
         with the terms of this Agreement, such successor Servicer shall
         continue to perform its functions as Servicer under this Agreement, in
         the case of termination, only until the date specified in such
         termination notice or, if no such date is specified in a notice of
         termination, until receipt of such notice and, in the case of
         resignation, until the later of (x) the date 30 days from the delivery
         to the Back-up Servicer, if any, the Indenture Trustee and the Insurer
         of written notice of such resignation (or the date of written
         confirmation of such notice prior to the expiration of the 30 days) in
         accordance with the terms of this Agreement and (y) the date upon which
         such successor Servicer shall become unable to act as Servicer, as
         specified in the notice of resignation and accompanying Opinion of
         Counsel. In the event of such successor Servicer's resignation or
         termination hereunder, and if the Controlling Party so directs, the
         Back-up Servicer, if any, shall be the successor in all respects to the
         Servicer under this Agreement and the transactions set forth or
         provided for herein and shall be subject to all the responsibilities,
         duties and liabilities relating thereto placed on the Servicer by the
         terms and provisions hereof; provided, however, that the Back-up
         Servicer shall not be liable for any actions of the predecessor
         Servicer prior to such succession or for any breach by the predecessor
         Servicer of any of its representations, warranties and covenants
         contained in this Agreement or in any related document or agreement.

                  (h) Notwithstanding the above, if the Back-up Servicer is
         legally unable to so act or the Controlling Party otherwise directs in
         accordance with Section 8.02(d), the Controlling Party shall appoint a
         successor Servicer, successor Back-up Servicer or successor Standby
         Servicer. Otherwise, the Indenture Trustee shall appoint (after
         soliciting bids from potential servicers), or petition a court of
         competent jurisdiction to appoint, a Servicer (as successor Servicer),
         Back-up Servicer (as successor Back-up Servicer) or Standby Servicer
         (as successor Standby Servicer) hereunder, in each case acceptable to
         the Controlling Party, in the assumption of all or any part of the
         responsibilities, duties or liabilities of the outgoing Servicer,
         Back-up Servicer or

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         Standby Servicer, as applicable, hereunder. The outgoing Servicer,
         Back-up Servicer or Standby Servicer shall continue to act as such
         hereunder until a successor acceptable to the Controlling Party is
         appointed and assumes the obligations as successor Servicer, Back-up
         Servicer or Standby Servicer, as applicable.

                  (i) Any successor Servicer may accept and reasonably rely on
         all accounting and servicing records and other documentation provided
         to such successor Servicer in connection with succession to Servicer
         duties, including documents prepared or maintained by BVAC, the
         Transferor, or the Servicer, or any party providing services related to
         the Receivables (each, a "Third Party"). The Servicer shall indemnify
         and hold harmless the successor Servicer and its officers, employees
         and agents, the Issuer, the Noteholders and the Insurer against any and
         all claims, losses, penalties, fines, forfeitures, legal fees and
         related costs, judgments, and any other costs, fees and expenses that
         the successor Servicer, the Issuer, the Noteholders and the Insurer may
         sustain in any way (i) solely related to the negligence or misconduct
         of the Servicer or any such Third Party based upon any matter related
         to or arising out of this Agreement except for any claims, losses,
         penalties, fines, forfeitures, legal fees, and related costs and
         judgments arising from such successor Servicer's own negligence or
         willful misconduct; or (ii) solely related to the conduct of such
         successor Servicer undertaken at the direction of any party hereto or
         which relate to the transfer of servicing to the successor Servicer.
         The successor Servicer shall have no duty, responsibility, obligation
         or liability (collectively "liability") for the acts or omissions of
         any Third Party. In the event that the Servicer fails to make any such
         indemnity payment, the successor Servicer shall be entitled to receive
         such payment from the Issuer, to the extent of Available Funds on each
         Payment Date, in the priorities set forth in Section 8.05(a) of the
         Indenture; provided, that such Issuer payment shall not relieve the
         Servicer from the responsibility for making such payment and the Issuer
         shall be subrogated to the rights of the successor Servicer with
         respect to such indemnity claim and shall have a direct right to
         institute proceedings against the Servicer for such payment. If any
         error, inaccuracy or omission (collectively "error") exists in any
         information provided to a successor Servicer and such error causes or
         materially contributes to such successor Servicer making or continuing
         any error (a "continuing error"), such successor Servicer shall have no
         liability for such continuing error; provided, however, that this
         provision shall not protect such successor Servicer against any
         liability arising from its willful misconduct, bad faith or gross
         negligence in discovering or correcting or failing to discover or
         correct any error or in the performance of its other duties
         contemplated herein.

         SECTION 14.04 Notice of Events of Servicer Default. Upon any notice of
an Event of Servicer Default or upon any termination of, or appointment of a
successor to, the Servicer pursuant to this Article XIV, the Owner Trustee shall
give prompt written notice thereof to Certificateholder at the address appearing
in the Certificate Register, to each of the Rating Agencies then rating the
Notes, to the Insurer and to the Indenture Trustee for further notice thereof to
the Noteholders.

         SECTION 14.05 Waiver of Past Defaults. The Insurer (so long as the
Insurer is the Controlling Party) or the Indenture Trustee (if an Insurer
Default has occurred and is continuing or the Insurance Agreement has
terminated) upon direction from holders of Notes evidencing not less than 51% of
the outstanding principal balance of the Notes may waive any default by the

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Servicer in the performance of its obligations hereunder and/or its
consequences, except a default in making any required deposits to or payments
from the Collection Account in accordance with this Agreement; provided, that no
waiver of any default or provision of this Agreement shall become effective
without the consent of the Insurer (so long as the Insurer is the Controlling
Party). Upon any such waiver of a past default, such default shall cease to
exist, and any Event of Servicer Default arising therefrom shall be deemed to
have been remedied for every purpose of this Agreement. No such waiver shall
extend to any subsequent or other default or impair any right consequent
thereon.

                                   ARTICLE XV

                                The Owner Trustee

         SECTION 15.01 Duties of Owner Trustee. The Owner Trustee, both prior to
and after the occurrence of an Event of Servicer Default, shall undertake to
perform such duties as are specifically set forth in this Agreement. If an Event
of Servicer Default shall have occurred and shall not have been cured and the
Owner Trustee has received notice of such Event of Servicer Default, the Owner
Trustee shall exercise such of the rights and powers vested in it by this
Agreement, and shall 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 own affairs.

         The Owner Trustee shall execute and deliver, on behalf of the Trust,
each Basic Document to which the Trust is a party and all certificates,
instruments and agreements contemplated thereby. The Owner Trustee shall execute
and authenticate the Certificate in accordance with this Agreement and shall
execute the Notes in accordance with the Indenture.

         It shall be the duty of the Owner Trustee to discharge (or cause to be
discharged) all its responsibilities pursuant to the terms of this Agreement and
the other documents to which the Trust is a party and to administer the Trust in
the interest of the Certificateholder, subject to and in accordance with the
provisions of this Agreement and the other documents to which the Trust is a
party. Without limiting the foregoing, the Owner Trustee shall, upon written
direction of the Certificateholder and on behalf of the Trust, file and prove
any claim or claims that may exist on behalf of the Trust against the Transferor
in connection with any claims paying procedure as part of an insolvency or a
receivership proceeding involving the Transferor. Notwithstanding the foregoing,
the Owner Trustee shall be deemed to have discharged its duties and
responsibilities hereunder and under the other documents to which the Trust is a
party to the extent the Administrator has agreed in the Administration Agreement
to perform any act or to discharge any duty of the Owner Trustee hereunder or
under any other document to which the Trust is a party, and the Owner Trustee
shall not be held liable for the default or failure of the Administrator to
carry out its obligations under the Administration Agreement. Except as
expressly provided in the documents to which the Trust is a party, the Owner
Trustee shall have no obligation to administer, service or collect the
Receivables or to maintain, monitor or otherwise supervise the administration,
servicing or collection of the Receivables.

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         SECTION 15.02 Action upon Instruction.

                  (a) Subject to Article X and the terms of the Spread Account
         Agreement, the Instructing Party shall have the exclusive right to
         direct the actions of the Owner Trustee in the management of the Trust,
         so long as such instructions are not in violation of the express terms
         set forth herein or in any Basic Document. The Instructing Party shall
         not instruct the Owner Trustee in a manner inconsistent with this
         Agreement or the Basic Documents.

                  (b) The Owner Trustee shall not be required to take any action
         hereunder or under any 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 or unreimbursed expenses on the
         part of the Owner Trustee or is contrary to the terms hereof or of any
         Basic Document or is otherwise contrary to law.

                  (c) Whenever the Owner Trustee is unable to decide between
         alternative courses of action permitted or required by the terms of
         this Agreement or any Basic Document, the Owner Trustee shall promptly
         give notice (in such form as shall be appropriate under the
         circumstances) to the Instructing Party requesting instruction from it
         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 Instructing Party 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 Certificateholder and
         shall have no liability to any Person for such action or inaction
         except as otherwise expressly provided in this Agreement.

                  (d) In the event that the Owner Trustee is unsure as to the
         application of any provision of this Agreement or any 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 Instructing Party
         requesting instruction from it and, to the extent that the Owner
         Trustee acts or refrains from acting in good faith in accordance 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 Basic Documents, as it shall deem to be in the best interests of
         the Certificateholder and shall have no liability to any Person for
         such action or inaction except as otherwise expressly provided in this
         Agreement.

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                  (e) The Owner Trustee shall not take any action (a) that
         violates the purposes of the Trust set forth in Section 1.03 or (b)
         that, to the actual knowledge of the Owner Trustee, would result in the
         Trust becoming taxable as a corporation for federal income tax
         purposes. The Instructing Party shall not direct the Owner Trustee to
         take action that would violate the provisions of this Section.

                  (f) The Owner Trustee, upon receipt of all resolutions,
         certificates, statements, opinions, reports, documents, orders or other
         instruments furnished to the Owner Trustee that shall be specifically
         required to be furnished pursuant to any provision of this Agreement,
         shall examine them to determine whether they conform to the
         requirements of this Agreement. The Owner Trustee shall furnish to the
         Certificateholder, the Insurer and the Rating Agencies 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.

                  (g) The Owner Trustee shall furnish to the Certificateholder,
         the Insurer and the Rating Agencies 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.

                  (h) No provision of this Agreement shall be construed to
         relieve the Owner Trustee from liability for its own negligent action,
         its own negligent failure to act, or its own bad faith; provided,
         however, that:

                  (i)      Prior to the occurrence of an Event of Servicer
                           Default, and after the curing of all such Events of
                           Servicer Default that may have occurred, the duties
                           and obligations of the Owner Trustee shall be
                           determined solely by the express provisions of this
                           Agreement, the Owner Trustee shall not be liable
                           except for the performance of such duties and
                           obligations as shall be specifically set forth in
                           this Agreement, no implied covenants or obligations
                           shall be read into this Agreement against the Owner
                           Trustee and, in the absence of bad faith on the part
                           of the Owner Trustee, or manifest error, the Owner
                           Trustee may conclusively rely on the truth of the
                           statements and the correctness of the opinions
                           expressed in any certificates or opinions furnished
                           to the Owner Trustee and conforming to the
                           requirements of this Agreement;

                  (ii)     The Owner Trustee shall not be liable for an error of
                           judgment made in good faith by a Responsible Officer,
                           unless it shall be proved that the Owner Trustee
                           shall have been grossly negligent in ascertaining the
                           pertinent facts;

                  (iii)    The Owner Trustee shall not be liable with respect to
                           any action taken, suffered, or omitted to be taken in
                           good faith in accordance with this Agreement or at
                           the direction of the Certificate relating to the
                           time, method, and place of conducting any proceeding
                           for any remedy available

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                           to the Owner Trustee, or exercising any trust or
                           power conferred upon the Owner Trustee, under this
                           Agreement;

                  (iv)     The Owner Trustee shall not be charged with knowledge
                           of any failure by the Servicer to comply with the
                           obligations of the Servicer referred to in clauses
                           (i) or (ii) of Section 14.01, or of any failure by
                           the Transferor to comply with the obligations of the
                           Transferor referred to in clause (ii) of Section
                           14.01, unless a Responsible Officer of the Owner
                           Trustee receives written notice of such failure (it
                           being understood that knowledge of the Servicer or
                           the Servicer as custodian, in its capacity as agent
                           for the Owner Trustee, is not attributable to the
                           Owner Trustee) from the Servicer or the Transferor,
                           as the case may be; and

                  (v)      Without limiting the generality of this Section or
                           Section 15.07, the Owner Trustee shall have no duty
                           (A) to see to any recording, filing, or depositing of
                           this Agreement or any agreement referred to therein
                           or any financing statement (or continuation
                           statement) evidencing a security interest in the
                           Receivables or the Financed Vehicles, or to see to
                           the maintenance of any such recording or filing or
                           depositing or to any rerecording, refiling or
                           redepositing of any thereof, (B) to see to any
                           insurance of the Financed Vehicles or Obligors or to
                           effect or maintain any such 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, (D) to confirm
                           or verify the contents of any reports or certificates
                           of the Servicer delivered to the Trust pursuant to
                           this Agreement believed by the Owner Trustee to be
                           genuine and to have been signed or presented by the
                           proper party or parties, or (E) to inspect the
                           Financed Vehicles at any time or ascertain or inquire
                           as to the performance or observance of any of the
                           Transferor's or the Servicer's representations,
                           warranties or covenants or the Servicer's duties and
                           obligations as Servicer and as custodian of the
                           Receivable Files under this Agreement.

         The Owner Trustee shall not be required to expend or risk its own funds
or otherwise incur financial liability in the performance of any of its duties
hereunder, or in the exercise of any of its rights or powers, if there shall be
reasonable ground for believing that the repayment of such funds or adequate
indemnity against such risk or liability shall not be reasonably assured to it,
and none of the provisions contained in this Agreement shall in any event
require the Owner Trustee to perform, or be responsible for the manner of
performance of, any of the obligations of the Servicer under this Agreement
except during such time, if any, as the Owner Trustee shall be the successor to,
and be vested with the rights, duties, powers, and privileges of, the Servicer
in accordance with the terms of this Agreement. Except for actions expressly
authorized by this Agreement, the Owner Trustee shall take no action reasonably
likely to impair the security interests created or existing under any Receivable
or to impair the value of any Receivable.

         SECTION 15.03 Accounting and Records to the Certificateholder, the
Internal Revenue Service and Others. The Owner Trustee shall (a) maintain (or
cause to be maintained)

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the books of the Trust on a calendar year basis with respect to amounts actually
received or disbursed by the Owner Trustee, (b) deliver (or cause to be
delivered) to each Certificateholder, as may be required by the Code and
applicable Treasury Regulations, such information as may be requested to enable
each Certificateholder to prepare its federal and state income tax returns, and
(c) file or cause to be filed such tax returns relating to the Trust provided to
it in execution form, and pursuant to direction of BVAC make such elections,
except Form 8832, as may from time to time be requested in connection with any
applicable state or federal statute or rule or regulation thereunder. The Owner
Trustee shall make all elections pursuant to this Section as directed in writing
by BVAC. The Owner Trustee shall sign all tax information returns provided to it
in execution form pursuant to this Section and any other returns as may be
requested by BVAC, and in doing so shall rely entirely upon, and shall have no
liability for information provided by, or calculations provided by, BVAC. The
Trust shall comply with the provisions to Section 9.09 related to elections
under Section 1278 of the Code.

         SECTION 15.04 Signature on Returns; Tax Matters Partner.

                  (a) The Owner Trustee shall sign on behalf of the Trust the
         tax returns of the Trust, if any, unless applicable law requires a
         Certificateholder to sign such documents, in which case, as provided in
         Section 9.09 such documents shall be signed by BVAC as "tax matter
         partner."

                  (b) The Certificateholder hereby elects BVAC as the "tax
         matters partner" of the Trust pursuant to Section 6231 of the Code and
         the Treasury Regulations promulgated thereunder.

         SECTION 15.05 Owner Trustee's Certificate. On or as soon as practicable
after each Payment Date on which Receivables shall be (i) assigned to BVAC
pursuant to Section 7.02 or deemed to be assigned to the Transferor as a result
of the application of Available Funds in respect of Charged-Off Receivables
pursuant to Sections 9.05 or (ii) assigned to the Servicer pursuant to Section
8.10 or to the Servicer or any other Person designated by the Servicer pursuant
to Section 16.02, the Owner Trustee shall, at the written request of the
Servicer, execute an Owner Trustee's Certificate, substantially in the form of,
in the case of an assignment to BVAC, Exhibit 1, or, in the case of an
assignment to the Servicer, Exhibit 2, based on the information contained in the
Servicer's Certificate for the related Collection Period, amounts deposited to
the Collection Account, and notices received pursuant to this Agreement,
identifying the Receivables repurchased or deemed to be repurchased by BVAC
pursuant to Sections 7.02 or 8.08 or purchased by the Servicer pursuant to
Section 8.10 or the Servicer or any other Person designated by the Servicer
pursuant to Section 16.02 during such Collection Period, and shall deliver such
Owner Trustee's Certificate, accompanied by a copy of the Servicer's Certificate
for such Collection Period to BVAC or the Servicer, as the case may be, with a
copy to the Indenture Trustee. The Owner Trustee's Certificate shall be an
assignment pursuant to Section 15.06.

         SECTION 15.06 Trust's Assignment of Purchased Receivables. With respect
to each Receivable repurchased by BVAC pursuant to Section 7.02, or deemed to be
so repurchased pursuant to Section 8.08, purchased by the Servicer pursuant to
Section 8.10 or the Servicer or any other Person designated by the Servicer
pursuant to Section 16.02, the Trust shall assign, as

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of the last day of the Collection Period during which such Receivable became a
Charged-Off Receivable or became subject to repurchase by BVAC or purchase by
the Servicer or such other Person, without recourse, representation, or
warranty, to BVAC, the Servicer or such other Person (as the case may be) all
the Trust's right, title, and interest in and to such Receivables, and all
security and documents relating thereto, such assignment being an assignment
outright and not for security. If in any enforcement suit or legal proceeding it
shall be held that the Servicer may not enforce a Receivable on the ground that
it shall not be a real party in interest or a holder entitled to enforce the
Receivable, the Owner Trustee shall, at BVAC's expense, take such steps as the
Owner Trustee deems necessary to enforce the Receivable, including bringing suit
in its name and/or the name of the Indenture Trustee.

         SECTION 15.07 Certain Matters Affecting the Owner Trustee. Except as
otherwise provided in Section 15.01:

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

                  (ii)     The Owner Trustee may consult with counsel and any
                           written advice or Opinion of Counsel shall be full
                           and complete authorization and protection in respect
                           of any action taken or suffered or omitted by it
                           under this Agreement in good faith and in accordance
                           with such written advice or Opinion of Counsel.

                  (iii)    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 in relation to
                           this Agreement, at the request, order, or direction
                           of any of the Certificateholders pursuant to the
                           provisions of this Agreement, unless such
                           Certificateholder shall have offered to the Owner
                           Trustee reasonable security or indemnity reasonably
                           satisfactory to the Owner Trustee against the costs,
                           expenses, and liabilities that may be incurred
                           therein or thereby. Nothing contained in this
                           Agreement, however, shall relieve the Owner Trustee
                           of the obligations, upon the occurrence of an Event
                           of Servicer Default (that shall not have been cured),
                           to exercise such of the rights and powers vested in
                           it by this Agreement, and to use the same degree of
                           care and skill in their exercise as a prudent man
                           would exercise or use under the circumstances in the
                           conduct of his own affairs.

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

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                  (v)      Prior to the occurrence of an Event of Servicer
                           Default and after the curing of all Events of
                           Servicer Default that may have occurred, the Owner
                           Trustee shall not be bound to make any investigation
                           into the facts of 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 Insurer or the Indenture Trustee or
                           holders of Notes evidencing not less than 25% of the
                           outstanding principal balance of the Notes; provided,
                           however, that if the payment within a reasonable time
                           to the Owner Trustee of the costs, expenses, or
                           liabilities likely to be incurred by it in the making
                           of such investigation shall be, in the opinion of the
                           Owner Trustee, not reasonably assured to the Owner
                           Trustee by the security afforded to it by the terms
                           of this Agreement, the Owner Trustee may require
                           reasonable indemnity against such cost, expense, or
                           liability as a condition to so proceeding. The
                           reasonable expense of every such examination shall be
                           paid by BVAC, as initial Servicer, or, if paid by the
                           Owner Trustee, shall be reimbursed by BVAC, as
                           initial Servicer, upon demand. Nothing in this clause
                           (v) shall affect the obligation of the Servicer to
                           observe any applicable law prohibiting disclosure of
                           information regarding the Obligors.

                  (vi)     The Owner Trustee may execute any of the trusts or
                           powers hereunder or perform any duties under this
                           Agreement either directly or by or through agents or
                           attorneys or a custodian. The Owner Trustee shall not
                           be responsible for any misconduct or negligence
                           solely attributable to the acts or omissions of the
                           Servicer in its capacity as Servicer or custodian or
                           the Administrator.

                  (vii)    The Owner Trustee shall have no duty of independent
                           inquiry, except as may be required by Section 15.01,
                           and the Owner Trustee may rely upon the
                           representations and warranties and covenants of the
                           Transferor and the Servicer contained in this
                           Agreement with respect to the Receivables and the
                           Receivable Files.

         SECTION 15.08 Owner Trustee Not Liable for Certificate or Receivables.
The recitals contained herein and in the Certificate (other than the certificate
of authentication on the Certificate) shall be taken as the statements of the
Transferor or the Servicer, as the case may be, and the Owner Trustee assumes no
responsibility for the correctness thereof. The Owner Trustee shall make no
representations as to the validity or sufficiency of this Agreement or of the
Certificate (other than the certificate of authentication on the Certificate),
or of any Receivable or related document. The Owner Trustee shall at no time
have any responsibility or liability for or with respect to the legality,
validity, and enforceability of any security interest in any Financed Vehicle or
any Receivable, or the perfection and priority of such a security interest or
the maintenance of any such perfection and priority, or for or with respect to
the efficacy of the Trust or its ability to generate the payments to be
distributed to the Certificateholder or the Noteholders under this Agreement or
the Indenture, including, without limitation: the existence, condition,
location, and ownership of any Financed Vehicle; the existence and
enforceability of

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any physical damage insurance, lender's single interest insurance, or credit
life or disability and hospitalization insurance with respect to any Receivable;
the existence and contents of any Receivable or any computer or other record
thereof; the validity of the assignment of any Receivable to the Trust or of any
intervening assignment; the completeness of any Receivable; the performance or
enforcement of any Receivable; the compliance by the Transferor or the Servicer
with any warranty or representation made under this Agreement or in any related
document and the accuracy of any such warranty or representation prior to the
Owner Trustee's receipt of notice or other discovery of any noncompliance
therewith or any breach thereof; any investment of monies by the Servicer or any
loss resulting therefrom (it being understood that the Owner Trustee shall
remain responsible for any Trust Property that it may hold); the acts or
omissions of the Transferor, the Servicer, or any Obligor; an action of the
Servicer taken in the name of the Owner Trustee; or any action by the Owner
Trustee taken at the instruction of the Servicer; provided, however, that the
foregoing shall not relieve the Owner Trustee of its obligation to perform its
duties under this Agreement. Except with respect to a claim based on the failure
of the Owner Trustee to perform its duties under this Agreement or based on the
Owner Trustee's negligence or willful misconduct, no recourse shall be had for
any claim based on any provision of this Agreement, the Certificateholder or the
Noteholders, or any Receivable or assignment thereof against the Owner Trustee
in its individual capacity, the Owner Trustee shall not have any personal
obligation, liability, or duty whatsoever to any Certificateholder or the
Noteholders or any other Person with respect to any such claim, and any such
claim shall be asserted solely against the Trust or any indemnitor who shall
furnish indemnity as provided in this Agreement. The Owner Trustee shall not be
accountable for the use or application by the Transferor of any Certificate or
Notes or of the proceeds thereof, or for the use or application of any funds
paid to the Transferor or the Servicer in respect of the Receivables.

         SECTION 15.09 Owner Trustee May Own Notes. The Owner Trustee in its
individual or any other capacity may become the owner or pledgee of Notes with
the same rights as it would have if it were not Owner Trustee.

         SECTION 15.10 Owner Trustee's and Indenture Trustee's Fees and
Expenses; Indemnification.

                  (a) In accordance with the priorities set forth in Section
         8.05(a) of the Indenture, the Owner Trustee shall receive as
         compensation for its services hereunder the Owner Trustee Fee, and the
         Owner Trustee shall be entitled to be reimbursed in accordance with
         such priorities for its other reasonable expenses incurred hereunder,
         including the reasonable compensation, expenses and disbursements of
         such agents, representatives, experts and counsel as the Owner Trustee
         may employ in connection with the exercise and performance of its
         rights and its duties hereunder and under the Basic Documents, and the
         Servicer shall pay or reimburse the Owner Trustee upon its request for
         all reasonable expenses, disbursements, and advances (including the
         reasonable compensation and the expenses and disbursements of its
         counsel and of all persons not regularly in its employ) incurred or
         made by the Owner Trustee in accordance with any provisions of this
         Agreement and the Indenture, except any such expense, disbursement, or
         advance as may be attributable to its willful misfeasance, negligence,
         or bad faith. Any amounts paid to the Owner Trustee pursuant to this
         Section 15.10 shall be deemed not to be a part of the Trust Property
         immediately after such

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         payment. The Servicer shall indemnify the Owner Trustee (which, for
         purposes of this section, shall include its directors, officers,
         employees, and agents) for and hold it harmless against any loss,
         liability, or expense incurred without willful misfeasance, negligence,
         or bad faith on its part, arising out of or in connection with the
         acceptance or administration of the Trust, including the costs and
         expenses of defending itself against any claim or liability in
         connection with the exercise or performance of any of its powers or
         duties under this Agreement and the Indenture. The Servicer shall pay
         the fees and expenses of the Administrator under the Administration
         Agreement; provided, however, that the Servicer shall only be required
         to pay the reasonable fees and expenses of any successor Administrator
         or such other fees agreed to in writing by the Servicer and BVAC.
         Additionally, the Transferor, pursuant to Section 12.02 and subject to
         the limitations set forth therein, and the Servicer, pursuant to
         Section 13.02, respectively, shall indemnify the Owner Trustee with
         respect to certain matters. This indemnity shall survive the
         termination of this Agreement and the Indenture or the termination of
         the Trust and the resignation or removal of the Owner Trustee.

                  (b) The Servicer hereby agrees to pay or reimburse the fees
         and expenses of the Indenture Trustee as provided in Section 6.07 of
         the Indenture. No successor Servicer shall be obligated to make any
         payments required by this Section 15.10 and instead the Owner Trustee
         and the Indenture Trustee shall receive such amounts, to the extent of
         Available Funds on each Payment Date, in the priorities set forth in
         Section 8.05(a) of the Indenture provided, however, the Owner Trustee
         agrees that no amount owed or paid under the Policy shall be paid to
         the Owner Trustee for amounts payable to the Owner Trustee.

         SECTION 15.11 Eligibility Requirements for Owner Trustee. The Owner
Trustee under this Agreement shall at all times be a corporation (i) having an
office in the same State as the location of the Corporate Trust Office as
specified in this Agreement; (ii) organized and doing business under the laws of
such State or the United States of America; (iii) authorized under such laws to
exercise corporate trust powers; (iv) having a net worth of at least
$50,000,000; (v) subject to supervision or examination by federal or State
authorities; and (vi) the long-term unsecured debt of which is rated at least A2
by Moody's and A by Standard & Poor's or which is approved by the Insurer and
each Rating Agency. If such corporation 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 15.11,
the combined capital and surplus of such corporation 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 15.11, the Owner Trustee shall
resign immediately in the manner and with the effect specified in Section 15.12.

         SECTION 15.12 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 Servicer. Upon receiving such notice of
resignation, the Servicer (or if SST is then acting as Servicer, the Indenture
Trustee), with the prior written consent of the Insurer (so long as it is the
Controlling Party), shall promptly appoint a successor Owner Trustee, by written
instrument, in duplicate, one copy of which instrument shall be delivered to the
resigning Owner

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Trustee and one copy to the successor Owner Trustee. If no successor Owner
Trustee shall have been so appointed and have accepted appointment within 30
days after the giving of such notice of resignation, the resigning Owner Trustee
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 15.11 and shall fail to resign after
written request therefor by the Servicer, 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 Servicer may remove the Owner Trustee. If it shall remove
the Owner Trustee under the authority of the immediately preceding sentence, the
Servicer shall promptly appoint a successor Owner Trustee by written instrument,
in duplicate, one copy of which instrument shall be delivered to the Owner
Trustee so removed and one copy to the successor 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 15.12
shall not become effective until acceptance of appointment by the successor
Owner Trustee pursuant to Section 15.13.

         SECTION 15.13 Successor Owner Trustee. Any successor Owner Trustee
appointed pursuant to Section 15.12 shall execute, acknowledge, and deliver to
the Servicer and to the predecessor Owner Trustee an instrument accepting such
appointment under this Agreement, and thereupon the resignation or removal of
the predecessor Owner Trustee shall become effective and such successor Owner
Trustee, 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. Any
successor Owner Trustee appointed hereunder shall file an amendment to the
Certificate of Trust with the Delaware Secretary of State reflecting the name
and principal place of business of such successor Owner Trustee in the State of
Delaware. The predecessor Owner Trustee shall deliver to the successor Owner
Trustee all documents and statements held by it under this Agreement; and the
Servicer 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.

         No successor Owner Trustee shall accept appointment as provided in this
Section 15.13 unless at the time of such acceptance such successor Owner Trustee
shall be eligible pursuant to Section 15.11.

         Upon acceptance of appointment by a successor Owner Trustee pursuant to
this Section 15.13, the Servicer shall mail notice of the successor of such
Owner Trustee under this Agreement to the Indenture Trustee and to the Holder of
the Certificate at its address as shown in the Certificate Register. If the
Servicer shall fail to mail such notice within 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 Servicer (or if BVAC is no
longer the Servicer, the Owner Trustee shall be reimbursed for such expenses in
accordance with the priorities set forth in Section 8.05(a) of the Indenture).

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         SECTION 15.14 Merger or Consolidation of Owner Trustee. Any corporation
into which the Owner Trustee may be merged or converted or with which it may be
consolidated, or any corporation resulting from any merger, conversion, or
consolidation to which the Owner Trustee shall be a party, or any corporation
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 shall be eligible pursuant to Section 15.11, without the
execution or filing of any instrument or any further act on the part of any of
the parties hereto, anything herein to the contrary notwithstanding.

         SECTION 15.15 Appointment of Co-Trustee or Separate Owner Trustee.
Notwithstanding any other provisions of this Agreement, at any time, for the
purpose of meeting any legal requirements of any jurisdiction in which any part
of the Trust or any Financed Vehicle may at the time be located, the Servicer
(or if SST is then acting as Servicer, the Back-up Servicer) and the Owner
Trustee acting jointly shall have the power and shall execute and deliver all
instruments to appoint one or more Persons approved by the Owner Trustee to act
as co-trustee, jointly with the Owner Trustee, or separate trustee or separate
trustees, of all or any part of the Trust, and to vest in such Person, in such
capacity and for the benefit of the Certificateholder, such title to the Trust,
or any part thereof, and, subject to the other provisions of this Section 15.15,
such powers, duties, obligations, rights, and trusts as the Servicer and the
Owner Trustee may consider necessary or desirable. If the Servicer shall not
have joined in such appointment within 15 days after the receipt by it of a
request so to do, or in the case an Event of Servicer Default shall have
occurred and be continuing, the Owner Trustee alone shall have the power to make
such appointment. No co-trustee or separate trustee under this Agreement shall
be required to meet the terms of eligibility as a successor Owner Trustee
pursuant to Section 15.11 and no notice to Certificateholder of the appointment
of any co-trustee or separate trustee shall be required pursuant to Section
15.13.

         Each separate trustee and co-trustee shall, to the extent permitted by
law, be appointed and act subject to the following provisions 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
                           Trust 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

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                  (iii)    The Servicer and the Owner Trustee acting jointly may
                           at any time accept the resignation of or remove any
                           separate trustee or co-trustee.

         Any notice, request, or other writing given to the Owner Trustee shall
be deemed to have been given to each of the then separate trustees and
co-trustees, as effectively as if given to each of them. Every instrument
appointing any separate trustee or co-trustee shall refer to this Agreement and
the conditions of this Article XV. Each separate trustee and co-trustee, upon
its acceptance of the trusts conferred, shall be vested with the estates or
property specified in its instrument of appointment, either jointly with the
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 and a copy thereof given to the Servicer.

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

         SECTION 15.16 Representations and Warranties of Owner Trustee. The
Owner Trustee makes the following representations and warranties on which the
Transferor, the Certificateholder and the Secured Parties may rely:

                  (a) Organization and Existence. The Owner Trustee is a
         national banking corporation duly organized and validly existing under
         the laws of the State of Delaware and authorized to engage in a banking
         and trust business under such laws.

                  (b) Power and Authority. The Owner Trustee has full power,
         authority, and legal right to execute, deliver, and perform this
         Agreement, and shall have taken all necessary action to authorize the
         execution, delivery, and performance by it of this Agreement.

                  (c) Duly Executed. This Agreement has been duly executed and
         delivered by the Owner Trustee and constitutes the legal, valid, and
         binding agreement of the Owner Trustee, enforceable in accordance with
         its terms, except as such enforceability may be limited by (i)
         bankruptcy, insolvency, liquidation, reorganization, moratorium,
         conservatorship, receivership or other similar laws now or hereinafter
         in effect relating to the enforcement of creditors' rights in general,
         as such laws would apply in the event of a bankruptcy, insolvency,
         liquidation, reorganization, moratorium, conservatorship, receivership
         or similar occurrence affecting the Owner Trustee, and (ii) general
         principles of equity (regardless of whether such enforceability is
         considered in a proceeding in equity or at law) as well as concepts of
         reasonableness, good faith and fair dealing.

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                                   ARTICLE XVI

                                   TERMINATION

         SECTION 16.01 Termination of the Trust.

                  (a) The respective obligations and responsibilities of the
         Transferor, the Servicer, the Standby Servicer, the Indenture Trustee,
         the Back-up Servicer and the Owner Trustee created hereby shall
         terminate and the Trust created by this Agreement shall dissolve upon
         (i) written notice to the Owner Trustee from the Servicer (or if SST is
         then acting Servicer, the Transferor) at any time after the disposition
         of the Trust corpus as of the last day of any Collection Period at the
         direction of the Servicer, at its option, pursuant to Section 16.02, or
         (ii) the payment to all Noteholders and the Insurer of all amounts
         required to be paid to them pursuant to this Agreement, the Indenture
         and the Insurance Agreement (as set forth in writing by the Insurer)
         and the disposition of all property held as part of the Trust;
         provided, however, that in no event shall the trust created by this
         Agreement continue beyond the expiration of 21 years from the date as
         of which this Agreement is executed. The Servicer shall promptly notify
         the Owner Trustee, the Indenture Trustee and the Insurer in writing of
         any prospective termination pursuant to this Section 16.01.
         Notwithstanding the foregoing, the Trust shall continue and the
         Indenture Trustee shall pursue recovery of any Preference Amounts under
         the Policy and the distribution of the same to Noteholders until the
         Policy terminates by its own terms.

                  (b) Neither the Transferor nor any Certificateholder shall be
         entitled to revoke or terminate the Trust.

                  (c) Notice of any termination of the Trust, specifying the
         Payment Date upon which the Certificateholder shall surrender its
         Certificate to the Indenture Trustee, as paying agent who shall then
         surrender such Certificate to the Owner Trustee for cancellation, shall
         be given by the Owner Trustee by letter to the Certificateholder mailed
         within five (5) Business Days of receipt of notice of such termination
         from the Transferor or Servicer, as the case may be, given pursuant to
         this Section 16.01 stating (i) the Payment Date upon or with respect to
         which final payment of the Certificate shall be made upon presentation
         and surrender of the Certificate 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 Certificate at the office of the Owner Trustee therein specified.
         The Owner Trustee shall give such notice to the Certificate Registrar
         (if other than the Owner Trustee), the Insurer and the Indenture
         Trustee at the time such notice is given to the Certificateholder. Upon
         presentation and surrender of the Certificate to the Owner Trustee, the
         Indenture Trustee shall cause to be distributed to the
         Certificateholder amounts distributable on such Payment Date pursuant
         to Section 16.02.

                  In the event that the Certificateholder shall not surrender
         its Certificate for cancellation within six (6) months after the date
         specified in the above-mentioned written

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         notice, the Owner Trustee shall give a second written notice to the
         Certificateholder to surrender its Certificate for cancellation and
         receive the final distribution with respect thereto. If within one year
         after the second notice, the Certificate shall not have been
         surrendered for cancellation, any funds remaining in the Trust after
         exhaustion of such remedies shall be distributed, subject to applicably
         escheat laws, by the Indenture Trustee to the Transferor and the
         Certificateholder shall look solely to the Transferor for payment.

                  (d) Any funds remaining in the Trust, after funds for final
         distribution have been distributed or set aside for distribution and
         reasonable provision has been made for known claims and obligations of
         the Trust, shall be distributed to the Certificateholder.

                  (e) Upon dissolution and the winding up of the Trust pursuant
         to Section 16.01(a), 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 Delaware Statutory Trust Act.

         SECTION 16.02 Optional Disposition of All Receivables. On any Payment
Date (after giving effect to any payments to be made on such Payment Date) on
which (i) the Notional Principal Amount has been reduced to zero and (ii) the
aggregate Principal Balance of the Receivables will be equal to or less than 10%
of the Original Pool Balance, the Servicer shall have the option to cause the
Owner Trustee to sell (to the Servicer or any other person designated by the
Servicer) the corpus of the Trust at the Redemption Price. Any such purchase
will be effective as of the end of the Collection Period which relates to the
Payment Date on which the repurchase occurs. The proceeds of such sale will be
deposited into the Collection Account for distribution to the Indenture Trustee
(and, to the extent applicable, the Insurer) on the next succeeding Payment
Date. The Servicer shall notify the Owner Trustee and the Indenture Trustee on
or before the Determination Date if the aggregate Principal Balance as of the
related Payment Date (after giving effect to any payments to be made on such
Payment Date) will be less than or equal to 10% of the Original Pool Balance.
The Servicer shall notify the Owner Trustee and the Indenture Trustee in writing
on or before the Determination Date if the Servicer intends to exercise its
option to purchase the corpus of the Trust pursuant to this Section 16.02. Such
Redemption Price shall be deposited to the Collection Account in immediately
available funds by 11:00 a.m., New York City time, on the Payment Date and, upon
notice to the Owner Trustee and the Indenture Trustee of such deposit, whereupon
the Notes and the Certificate shall no longer evidence any right or interest in
the Receivables or any proceeds thereof. The fair market value of the
outstanding Receivables for purposes of this Section 16.02 shall be an amount
equal to the average of the bid prices for such assets taken as a whole,
provided to the Servicer by two independent, nationally recognized dealers in
automobile loans substantially similar to the Receivables.

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                                  ARTICLE XVII

                            MISCELLANEOUS PROVISIONS

         SECTION 17.01 Amendment.

                  (a) This Agreement may be amended from time to time by the
         Issuer, the Transferor, the Servicer, the Back-up Servicer, the Standby
         Servicer, the Owner Trustee and the Indenture Trustee and, (i) so long
         as the Insurer is the Controlling Party, with the prior written consent
         of the Insurer and, (ii) if an Insurer Default has occurred and is
         continuing or the Insurance Agreement has terminated with the consent
         of the Majority Noteholders (which consent given pursuant to this
         Section or pursuant to any other provision of this Agreement shall be
         conclusive and binding on such Holders and on all future Holders of
         such Notes and of any Notes issued upon the transfer thereof or in
         exchange thereof or in lieu thereof whether or not notation of such
         consent is made upon the Notes) for the purpose of adding any
         provisions to or changing in any manner or eliminating any of the
         provisions of this Agreement, or of modifying in any manner the rights
         of the Holders of Notes; provided, however, that, in the case of either
         clause (i) or (ii) above, no such amendment shall (a) increase or
         reduce in any manner the amount of, or accelerate or delay the timing
         of, or change the allocation or priority of, collections of payments on
         Receivables or payments that shall be required to be made on any Note
         or Certificate or change the applicable interest rate payable on any
         Note without the consent of each Noteholder and Certificateholder
         affected thereby and the satisfaction of the Rating Agency Condition,
         (b) reduce the aforesaid percentage of the Note Balance required to
         consent to any such amendment, without the consent of the Holders of
         all Notes then outstanding or eliminate the right of the Noteholder or
         the Certificateholder to consent to any change described in clause (a)
         affecting the Noteholder or the Certificateholder without the consent
         of the Noteholder or the Certificateholder, as applicable, or (c)
         result in a downgrade or withdrawal of the then current rating of the
         Notes by either of the Rating Agencies without the consent of all the
         Noteholders and the satisfaction of the Rating Agency Condition;
         provided, further that in the case of clause (ii) above, this Agreement
         may be amended from time to time by the Issuer, the Transferor, the
         Servicer, the Back-up Servicer, the Standby Servicer, the Owner Trustee
         and the Indenture Trustee, with the prior written consent of the
         Insurer, so long as it is the Controlling Party, for any of the
         following purposes:

                      (x) to correct or amplify the description of any property
         at any time conveyed to the Issuer hereunder, or better to assure,
         convey and confirm unto the property conveyed pursuant hereto;

                      (y) to add to the covenants of the Transferor, BVAC, the
         Servicer, the Back-up Servicer or the Standby Servicer for the benefit
         of the Holders of the Notes and the Insurer, or

                      (z) to cure any ambiguity, to correct or supplement any
         provision herein which may be inconsistent with any other provision
         herein or to make any other provisions with respect to matters or
         questions arising under this Agreement; provided

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         that such action pursuant to this subclause (z) shall not adversely
         affect in any material respect the interests of the Holders of the
         Notes, as evidenced by written confirmation that such amendment would
         not result in a downgrade or withdrawal of the then current rating of
         the Notes by either of the Rating Agencies.

                  (b) The Owner Trustee shall furnish prior notice of any such
         proposed amendment to each Rating Agency and promptly after the
         execution of any such amendment or consent, the Indenture Trustee shall
         furnish a copy of such amendment and/or consent, if applicable, to each
         Noteholder, the Insurer and each of the Rating Agencies.

                  (c) Prior to the execution of any amendment to this Agreement,
         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 the Opinion of Counsel referred to
         in Section 17.02(i)(l). The Indenture Trustee may, but shall not be
         obligated to, enter into any such amendment which affects the Indenture
         Trustee's own rights, duties or immunities under this Agreement or
         otherwise.

                  (d) So long as it is the Controlling Party, the Insurer shall
         have the right to exercise all rights, including voting rights, which
         the Noteholders are entitled to exercise pursuant to this Agreement,
         without any consent of such Noteholders; provided, however, that
         without the consent of each Noteholder affected thereby, the Insurer
         shall not exercise such rights to amend this Agreement in any manner
         that would (i) reduce the amount of, or delay the timing of,
         collections of payments on the Receivables or distributions which are
         required to be made on any Note, (ii) adversely affect in any material
         respect the interests of the Holders of any Notes, or (iii) alter the
         rights of any such Holder to consent to such amendment.

                  (e) Notwithstanding any provision in this Agreement to the
         contrary, in the event an Insurer Default shall have occurred and be
         continuing or the Insurance Agreement has terminated, the Insurer shall
         not have the right to take any action under this Agreement, consent to
         or to control or direct the actions of the Trust, the Transferor, the
         Servicer, the Back-up Servicer, the Standby Servicer, the Indenture
         Trustee or the Owner Trustee pursuant to the terms of this Agreement,
         nor shall the consent of the Insurer be required with respect to any
         action (or waiver of a right to take action) to be taken by the Trust,
         the Transferor, the Servicer, the Back-up Servicer, the Standby
         Servicer, the Indenture Trustee, the Owner Trustee or the Noteholders
         or the Certificateholder.

                  (f) It shall not be necessary for the consent of the
         Certificateholder or the Noteholders pursuant to this Section 17.01 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 of evidencing the
         authorization of the execution thereof by the Certificateholder shall
         be subject to such reasonable requirements as the Owner Trustee may
         prescribe.

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                  (g) 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 of the State of Delaware.

         SECTION 17.02 Protection of Title to Trust.

                  (a) Each of the Transferor and BVAC, as to itself, shall file
         such financing statements and cause to be filed such continuation
         statements, all in such manner and in such places as may be required by
         law fully to preserve, maintain, and protect the interest of the
         Noteholders, to the extent expressly set forth herein or the other
         Basic Documents, the Insurer and the Indenture Trustee in the
         Receivables and in the proceeds thereof and the sale of accounts and
         chattel paper. Each of the Transferor and BVAC, as to itself, shall
         deliver (or cause to be delivered) to the Indenture Trustee and the
         Insurer file-stamped copies of, or filing receipts for, any document
         filed as provided above, as soon as available following such filing.

                  (b) Neither BVAC nor the Transferor shall change its name,
         identity, or corporate structure in any manner that would, could, or
         might make any financing statement or continuation statement filed by
         the Transferor or BVAC in accordance with paragraph (a) above seriously
         misleading within the meaning of Section 9-507 of the UCC, unless it
         shall have given the Indenture Trustee and the Insurer at least 60
         days' prior written notice thereof and shall have promptly filed
         appropriate amendments to all previously filed financing statements or
         continuation statements and shall have delivered an Opinion of Counsel
         (A) stating that, in the opinion of such counsel, all amendments to all
         previously filed financing statements and continuation statements have
         been executed and filed that are necessary fully to preserve and
         protect the interest of the Indenture Trustee in the Receivables and
         the other Trust Property, and reciting the details of such filings or
         (B) stating that, in the opinion of such counsel, no such action shall
         be necessary to preserve and protect such interest.

                  (c) Each of the Transferor and BVAC shall give the Indenture
         Trustee and the Insurer at least 60 days' prior written notice of any
         relocation of its principal executive office, or state of
         incorporation, if, as a result of such relocation, the applicable
         provisions of the UCC would require the filing of any amendment of any
         previously filed financing or continuation statement or of any new
         financing statement and shall promptly file any such amendment and
         shall have delivered an Opinion of Counsel (A) stating that, in the
         opinion of such counsel, all amendments to all previously filed
         financing statements and continuation statements have been executed and
         filed that are necessary fully to preserve and protect the interest of
         the Indenture Trustee in the Receivables and the other Trust Property,
         and reciting the details of such filings or (B) stating that, in the
         opinion of such counsel, no such action shall be necessary to preserve
         and protect such interest. The Servicer shall at all times maintain
         each office from which it shall service Receivables, and its principal
         executive office, within the United States of America.

                  (d) The Servicer shall maintain accounts and records as to
         each Receivable accurately and in sufficient detail to permit (i) the
         reader thereof to know at any time the status of such Receivable,
         including payments and Recoveries made and payments owing

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         (and the nature of each) and (ii) reconciliation between payments or
         Recoveries on (or with respect to) each Receivable and the amounts from
         time to time deposited in the Collection Account in respect of such
         Receivable.

                  (e) The Servicer shall maintain its computer systems so that,
         from and after the time of sale under this Agreement of the Receivables
         to the Trust, the Servicer's master computer records (including any
         back-up archives) that refer to a Receivable shall indicate clearly
         (including by means of tagging) the interest of the Trust in such
         Receivable and that such Receivable is owned by the Trust. Indication
         of the Trust's ownership of a Receivable shall be deleted from or
         modified on the Servicer's computer systems when, and only when, the
         Receivable shall have been paid in full or repurchased.

                  (f) If at any time BVAC or the Transferor or the Servicer
         shall propose to sell, grant a security interest in, or otherwise
         transfer any interest in automotive receivables to any prospective
         purchaser, lender, or other transferee, the Servicer shall give to such
         prospective purchaser, lender, or other transferee computer tapes,
         records, or print-outs (including any restored from back-up archives)
         that, if they shall refer in any manner whatsoever to any Receivable,
         shall indicate clearly (including by means of tagging) that such
         Receivable has been sold and is owned by the Trust and pledged to the
         Indenture Trustee.

                  (g) Upon reasonable prior notice, the Servicer shall permit
         the Indenture Trustee, the Insurer (so long as the Insurer is the
         Controlling Party) and their respective agents at any time during
         normal business hours to inspect, audit, and make copies of and
         abstracts from the Servicer's records regarding any Receivable
         provided, that such inspection and audit shall not unreasonably
         interfere with the Servicer's daily business operations.

                  (h) Upon request, the Servicer shall furnish to the Owner
         Trustee, the Indenture Trustee and the Insurer (so long as it is the
         Controlling Party), within five Business Days, a list of all
         Receivables (by account number and name of Obligor) then held as part
         of the Trust, together with a reconciliation of such list to the
         Schedule of Receivables attached hereto as Exhibit A and to each of the
         Servicer's Certificates furnished before such request indicating
         removal of Receivables from the Trust.

                  (i) The Servicer shall deliver to the Owner Trustee and the
         Indenture Trustee and the Insurer (so long as the Insurer is the
         Controlling Party):

                  (1) promptly after the execution and delivery of this
                  Agreement and of each amendment thereto, an Opinion of Counsel
                  either (A) stating that, in the opinion of such counsel, all
                  financing statements (and releases of financing statements)
                  and continuation statements have been executed (or otherwise
                  authorized) and filed that are necessary fully to preserve and
                  protect the interest of the Indenture Trustee in the
                  Receivables and reciting the details of such filings or
                  referring to prior Opinions of Counsel in which such details
                  are given, or (B) stating that, in the opinion of such

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                  counsel, no such action shall be necessary to preserve and
                  protect such interest; and

                  (2) within 90 days after the beginning of each calendar year
                  beginning with the first calendar year beginning more than
                  three months after the Cut-off Date, an Opinion of Counsel,
                  dated as of a date during such 90-day period, either (A)
                  stating that, in the opinion of such counsel, all financing
                  statements and continuation statements have been executed and
                  filed that are necessary fully to preserve and protect the
                  interest of the Indenture Trustee in the Receivables, and
                  reciting the details of such filings or referring to prior
                  Opinions of Counsel in which such details are given, or (B)
                  stating that, in the opinion of such counsel, no such action
                  shall be necessary to preserve and protect such interest. Such
                  Opinion of Counsel shall also describe the execution and
                  filing of any financing statements and continuation statements
                  that will, in the opinion of such counsel, be required to
                  preserve and protect the interest of the Indenture Trustee in
                  the Receivables, until January 30 in the following calendar
                  year.

         Each Opinion of Counsel referred to in clause (i)(1) or (i)(2) above
shall specify any action necessary (as of the date of such opinion) to be taken
in the following year to preserve and protect such interest.

                  (j) If the Back-up Servicer or the Standby Servicer is acting
         as the successor Servicer, it shall be reimbursed for any costs
         incurred by it in performing its duties pursuant to this Section.

         SECTION 17.03 Limitation on Rights of Certificateholders.

                  (a) The death or incapacity of any Noteholder or
         Certificateholder shall not operate to terminate this Agreement or the
         Trust, nor entitle such Noteholder's or such Certificateholder's legal
         representatives or heirs to claim an accounting or to take any action
         or commence any proceeding in any court for a partition or winding up
         of the Trust, nor otherwise affect the rights, obligations, and
         liabilities of the parties to this Agreement or any of them.

                  (b) No Noteholder shall have any right to vote (except as
         provided in this Agreement) or in any manner otherwise control the
         operation and management of the Trust, or the obligations of the
         parties to this Agreement except as expressly set forth herein, nor
         shall anything in this Agreement set forth, or contained in the terms
         of the Notes, be construed so as to constitute the Noteholders from
         time to time as partners or members of an association; nor shall any
         Noteholders be under any liability to any third person by reason of any
         action taken pursuant to any provision of this Agreement. No Noteholder
         shall have any right by virtue or by availing itself of any provisions
         of this Agreement to institute any suit, action, or proceeding in
         equity or at law upon or under or with respect to this Agreement,
         unless the Insurer (so long as the Insurer is the Controlling Party)
         has given its prior written consent and such Holder previously shall

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         have given to the Indenture Trustee a written notice of default and of
         the continuance thereof, and unless also (i) the default arises from
         the Transferor's or the Servicer's failure to remit payments when due
         hereunder, or (ii) the Majority Noteholders shall have made written
         request upon the Indenture Trustee to institute such action, suit or
         proceeding in its own name as Indenture Trustee under this Agreement
         and such Holder shall have offered to the Indenture Trustee such
         reasonable indemnity as it may require against the costs, expenses, and
         liabilities to be incurred therein or thereby, and the Indenture
         Trustee, for 30 days after its receipt of such notice, request, and
         offer of indemnity, shall have neglected or refused to institute any
         such action, suit or proceeding and during such 30-day period no
         request or waiver inconsistent with such written request has been given
         to the Indenture Trustee pursuant to this Section or Section 13.04; no
         one or more Holders of Notes or Certificates shall have any right in
         any manner whatever by virtue or by availing itself or themselves of
         any provisions of this Agreement to affect, disturb, or prejudice the
         rights of the Holders of any other of the Notes or the Certificates, or
         to obtain or seek to obtain priority over or preference to any other
         such Holder, or to enforce any right, under this Agreement except in
         the manner provided in this Agreement and for the equal, ratable, and
         common benefit of all Noteholders or all Certificateholders, as
         applicable. For the protection and enforcement of the provisions of
         this Section, each Noteholder, each Certificateholder and the Indenture
         Trustee shall be entitled to such relief as can be given either at law
         or in equity. Nothing in this Agreement shall be construed as giving
         the Noteholders any direct right to make a claim on the Policy.

                  (c) In the event the Indenture Trustee shall receive
         conflicting or inconsistent requests and indemnity from two or more
         groups of Holders of Securities, each representing less than the
         required amount of the Securities, the Trustee in its sole discretion
         may determine what action, if any, shall be taken, notwithstanding any
         other provisions of this Agreement.

         SECTION 17.04 Governing Law. THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE AND THE OBLIGATIONS, RIGHTS,
AND REMEDIES OF THE PARTIES UNDER THIS AGREEMENT SHALL BE DETERMINED IN
ACCORDANCE WITH SUCH LAWS AND WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLES
(EXCEPT WITH REGARD TO THE UCC).

         SECTION 17.05 Notices. All demands, notices, and communications under
this Agreement shall be in writing, personally delivered, sent by facsimile to,
sent by courier to or mailed by certified mail, return receipt requested, and
shall be deemed to have been duly given unless otherwise provided herein, upon
receipt:

                  (a) in the case of the Transferor, at the following address:
         Bay View Transaction Corporation, 1840 Gateway Drive, San Mateo,
         California 94404, Attention: Joseph J. Catalano; at the following phone
         number: (650) 312-6810; and at the following fax number (650) 573-6381.

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                  (b) in the case of the Servicer, at the following address: Bay
         View Acceptance Corporation, 1840 Gateway Drive, San Mateo, California
         94404, Attention: Joseph J. Catalano; at the following phone number:
         (650) 312-6810; and at the following fax number (650) 573-6381.

                  (c) in the case of the Owner Trustee at the following address:
         Bay View 2003-LJ-1 Owner Trust, c/o Wilmington Trust Company, Owner
         Trustee, Plaza Building, 1st Floor, 301 West 11th Street, Wilmington,
         Delaware 19890-0001, Attention: Corporate Trust Administration; at the
         following phone number (302) 636-6000, and at the following fax number
         (302) 636-4140;

                  (d) in the case of the Insurer, to: Financial Security
         Assurance Inc., 350 Park Avenue, New York, New York 10022, Attention:
         Transaction Oversight Department, Re: Bay View 2003-LJ-1 Owner Trust,
         Confirmation: (212) 826-0100, Telecopy Nos. (212) 339-3518, (212)
         339-3529 (in each case in which notice or other communication to
         Financial Security refers to an Event of Default, a claim on the Policy
         or with respect to which failure on the part of Financial Security to
         respond shall be deemed to constitute consent or acceptance, then a
         copy of such notice of other communication should also be sent to the
         attention of each of the General Counsel and the Head-Financial
         Guaranty Group and shall be marked to indicate "URGENT MATERIAL
         ENCLOSED");

                  (e) in the case of the Indenture Trustee and the Back-up
         Servicer, at its Corporate Trust Office, Attention: Eileen Hughes;

                  (f) in the case of the Standby Servicer, at the following
         address: 4315 Pickett Road, St. Joseph, Missouri 64503, Attention:
         Joseph D. Booz; at the following phone number (816) 671-2028; and at
         the following fax number (816) 671-2038.

                  (g) in the case of Moody's, at the following address: 99
         Church Street, New York, New York 10007;

                  (h) in the case of Standard & Poor's, at the following
         address: 55 Water Street, New York, New York 10041, Attention:
         Asset-Backed Surveillance Department;

         Any notice required or permitted to be mailed to a Noteholder or
Certificateholder, as the case may be, shall be given by first class mail,
postage prepaid, at the address of such Holder as shown in the Note or
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 Noteholder or the Certificateholder, as the case may be, shall receive such
notice.

         SECTION 17.06 Severability of Provisions. If any one or more of the
covenants, agreements, provisions, or terms of this Agreement shall be for any
reason whatsoever held invalid, then such covenants, agreements, provisions, or
terms shall be deemed severable from the remaining covenants, agreements,
provisions, or terms of this Agreement and shall in no way affect the validity
or enforceability of the other provisions of this Agreement or of the
Certificate or the Notes or the rights of the Holders thereof or of the Insurer.

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<PAGE>

         SECTION 17.07 Assignment. Notwithstanding anything to the contrary
contained herein, except as provided below or in Sections 12.03 and 13.03 and as
provided in the provisions of this Agreement concerning the resignation of the
Servicer, the Back-up Servicer or the Standby Servicer, this Agreement may not
be assigned by the Transferor, the Servicer, the Back-up Servicer or the Standby
Servicer without the prior written consent of the Owner Trustee and the
Controlling Party.

         SECTION 17.08 Insurer. Without limiting the generality of the
foregoing, all covenants and agreements in this Agreement which confer rights
upon the Insurer shall be for the benefit of and run directly to the Insurer to
the extent expressly set forth herein or in the other Basic Documents, and the
Insurer shall be entitled to rely on and enforce such covenants and agreements,
subject, however, to the limitations on such rights provided in this Agreement
and the Basic Documents. The Insurer may disclaim any of its respective rights
and powers under this Agreement (but not its duties and obligations under the
Policy), upon delivery of a written notice to the Owner Trustee. Nothing herein,
however, shall be construed to have created a fiduciary obligation of the Owner
Trustee to any person or persons other than the Certificateholders.

         SECTION 17.09 Nonpetition Covenants. The Owner Trustee (in its
individual capacity and as 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 Transferor or the
Trust, or join in any institution against the Transferor or the Trust of, any
bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings,
or other proceedings under any federal or state bankruptcy or similar law in
connection with any obligations relating to the Certificates, the Notes, this
Agreement or any of the Basic Documents.

         SECTION 17.10 No Recourse. Each Certificateholder, by accepting a
Certificate, acknowledges that such Certificateholder's Certificate represents a
100% beneficial interest in the assets of the Trust only and does not represent
an interest in or obligation of the Transferor, the Servicer, the Back-up
Servicer, the Standby Servicer, BVAC, the Owner Trustee, the Indenture Trustee,
the Insurer, the Collateral Agent 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 Certificate or the Basic Documents.

         SECTION 17.11 No Legal Title to Trust Property in Certificateholder.
The Certificateholder shall not have legal title to any part of the Trust
Property. The Certificateholder shall be entitled to receive distributions only
in accordance with the Indenture, the Spread Account Agreement and this
Agreement. No transfer, by operation of law or otherwise, of any right, title or
interest of the Certificateholder to and in its ownership interest in the Trust
Property 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 Trust Property.

         SECTION 17.12 Further Assurances. The Transferor, the Servicer, the
Back-up Servicer and the Standby Servicer agree to do and perform, from time to
time, any and all acts and to execute any and all further instruments required
or reasonably requested by the Indenture Trustee or the Insurer more fully to
effect the purposes of this Agreement and the other Basic

TRUST AND SERVICING AGREEMENT

                                      111
<PAGE>

Documents, including, without limitation, the execution of any financing
statements or continuation statements relating to the Receivables for filing
under the provisions of the UCC of any applicable jurisdiction.

         SECTION 17.13 No Waiver; Cumulative Remedies. No failure to exercise
and no delay in exercising, on the part of the Owner Trustee, the Insurer, the
Noteholders or the Certificateholder, any right, remedy, power or privilege
hereunder, shall operate as a waiver thereof; nor shall any single or partial
exercise of any right, remedy, power or privilege hereunder preclude any other
or further exercise thereof or the exercise of any other right, remedy, power or
privilege. The rights, remedies, powers and privileges herein provided are
cumulative and not exhaustive of any rights, remedies, powers and privileges
provided by law.

         SECTION 17.14 Third-Party Beneficiaries. This Agreement will inure to
the benefit of and be binding upon the parties hereto, the Indenture Trustee,
the Noteholders and the Certificateholder, respectively, and their respective
successors and permitted assigns. Except as may be otherwise provided in this
Agreement, no other person will have any right or obligation hereunder. The
Owner Trustee (including in its individual capacity), the Spread Account
Depositor Owner Trustee (including in its individual capacity) and the Insurer
are each an express third party beneficiary of this Agreement. Each of the
parties to the Purchase Agreement hereby agrees that the Insurer shall be
permitted but not obligated to enforce the rights of the Transferor directly
thereunder in the place and stead of the Transferor but the Insurer shall have
no obligations under the Purchase Agreement.

         SECTION 17.15 Actions by Noteholders or Certificateholders.

                  (a) Wherever in this Agreement a provision is made that an
         action may be taken or a notice, demand, or instruction given by
         Noteholders or by Certificateholders, as the case may be, such action,
         notice, demand or instruction may be taken or given by any Noteholder
         or by any Certificateholder, unless such provision requires a specific
         percentage of Noteholders or Certificateholders, as the case may be.

                  (b) Any request, demand, authorization, direction, notice,
         consent, waiver or other action provided by this Agreement to be taken
         or given by Noteholders or Certificateholders, as the case may be, may
         be embodied in and evidenced by one or more instruments of
         substantially similar tenor signed by such Noteholders or
         Certificateholders, as the case may be, in person or by an agent duly
         appointed in writing.

                  (c) The fact and date of the execution by any Noteholder or
         any Certificateholder of any instrument or writing may be proved in any
         reasonable manner which the Indenture Trustee deems sufficient.

                  (d) Any request, demand, authorization, direction, notice,
         consent, waiver, or other act by a Noteholder or a Certificateholder,
         as the case may be, shall bind such Noteholder or Certificateholder, as
         the case may be, and every subsequent holder of such Certificate or
         Note issued upon the registration of transfer thereof or in exchange
         therefor or in lieu thereof in respect of anything done or omitted to
         be done by the Indenture Trustee, the Transferor, the Servicer, the
         Back-up Servicer or the Standby Servicer in

TRUST AND SERVICING AGREEMENT

                                      112
<PAGE>

         reliance thereon, whether or not notation of such action is made upon
         such Certificate or Note.

                  (e) The Indenture Trustee may require such additional proof of
         any matter referred to in this Section as it shall deem necessary.

         SECTION 17.16 Corporate Obligation. No recourse may be taken, directly
or indirectly, against any partner, incorporator, subscriber to the capital
stock, stockholder, director, officer or employee of the Transferor, the
Servicer, the Back-up Servicer or the Standby Servicer with respect to their
respective obligations and indemnities under this Agreement or any certificate
or other writing delivered in connection herewith.

         SECTION 17.17 Covenant Not File a Bankruptcy Petition. The parties
hereto agree that until one year and one day after such time as the Notes issued
under the Indenture are paid in full and all amounts due to the Insurer under
the Insurance Agreement are paid in full, they shall not (i) institute the
filing of a bankruptcy petition against the Transferor or the Trust based upon
any claim in its favor arising hereunder or under the Basic Documents; (ii) file
a petition or consent to a petition seeking relief on behalf of the Transferor
or the Trust under the Bankruptcy Law; or (iii) consent to the appointment of a
receiver, liquidator, assignee, trustee, sequestrator (or similar official) of
the Transferor or the Trust or a substantial portion of the property of the
Transferor or the Trust. The parties hereto agree that all obligations of the
Issuer and the Transferor are non-recourse to the Trust Property except as
specifically set forth in the Basic Documents.

         SECTION 17.18 Independence of the Servicer, Back-up Servicer and
Standby Servicer. For all purposes of this Agreement, each of the Servicer,
Back-up Servicer and Standby Servicer shall be an independent contractor and
shall not be subject to the supervision of the Trust, the Indenture Trustee or
the Owner Trustee with respect to the manner in which it accomplishes the
performance of its obligations hereunder. Unless expressly authorized by this
Agreement, the Servicer, Back-up Servicer and Standby Servicer shall have no
authority to act for or represent the Issuer or the Owner Trustee in any way and
shall not otherwise be deemed an agent of the Issuer or the Owner Trustee.

         SECTION 17.19 No Joint Venture. Nothing contained in this Agreement (i)
shall constitute the Servicer, the Back-up Servicer or the Standby Servicer and
either of the Trust or the Owner Trustee as members of any partnership, joint
venture, association, syndicate, unincorporated business or other separate
entity, (ii) shall be construed to impose any liability as such on any of them
or (iii) shall be deemed to confer on any of them any express, implied or
apparent authority to incur any obligation or liability on behalf of the others.

         SECTION 17.20 Headings. The headings of articles and sections and the
table of contents contained in this Agreement are provided for convenience only.
They form no part of this Agreement and shall not affect its construction or
interpretation. Unless otherwise indicated, all references to articles and
sections in this Agreement refer to the corresponding articles and sections of
this Agreement.

TRUST AND SERVICING AGREEMENT

                                      113
<PAGE>

         SECTION 17.21 Entire Agreement. This Agreement sets forth the entire
agreement between the parties with respect to the subject matter hereof, and
this Agreement supersedes and replaces any agreement or understanding that may
have existed between the parties prior to the date hereof in respect of such
subject matter.

         SECTION 17.22 Limitation of Liability of Owner Trustee. Notwithstanding
anything contained herein to the contrary, this Agreement has been countersigned
by Wilmington Trust Company not in its individual capacity but solely in its
capacity as Owner Trustee of the Issuer and in no event shall Wilmington Trust
Company in its individual capacity or, except as expressly provided in this
Agreement, as Owner Trustee, have any liability for the representations,
warranties, covenants, agreements or other obligations of the Issuer hereunder
or in any of the certificates, notices or agreements of the Issuer delivered
pursuant hereto, as to all of which recourse shall be had solely to the assets
of the Issuer. For all purposes of this Agreement, in the performance of its
duties or obligations hereunder or in the performance of any duties or
obligations of the Issuer hereunder, the Owner Trustee shall be subject to, and
entitled to the benefits of, the terms and provisions of this Agreement.

         SECTION 17.23 Effect of Policy Expiration Date. Notwithstanding
anything to the contrary set forth herein, all references to any right of the
Insurer to direct, appoint, consent to, accept, approve of, take or omit to take
any action under this Agreement or any other Basic Document shall be
inapplicable at all times after the Policy Expiration Date or when the Insurer
is not the Controlling Party, and (i) if such reference provides for another
party or parties to take or omit to take such action following an Insurer
Default, such party or parties shall also be entitled to take or omit to take
such action, following the Policy Expiration Date and (ii) if such reference
does not provide for another party or parties to take or omit to take such
action following an Insurer Default, then the Indenture Trustee acting at the
direction of the Majority Noteholders shall have the right to take or omit to
take any such action, following the Policy Expiration Date or so long as an
Insurer Default has occurred and is continuing. In addition, any other provision
of this Agreement or any other Basic Document which is operative based in whole
or in part on whether an Insurer Default has or has not occurred shall, at all
times on or after the Policy Expiration Date, be deemed to refer to whether or
not the Policy Expiration Date has occurred.

         SECTION 17.24 Counterparts. For the purpose of facilitating the
execution of this Agreement and for other purposes, this Agreement may be
executed in any number of counterparts, each of which counterparts shall be
deemed to be an original, and all of which counterparts shall constitute but one
and the same instrument.

         SECTION 17.25 Consent to Jurisdiction.

                  (a) TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THE
         PARTIES HERETO HEREBY IRREVOCABLY SUBMIT TO THE JURISDICTION OF THE
         UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK AND
         ANY COURT IN THE STATE OF NEW YORK LOCATED IN THE CITY AND COUNTY OF
         NEW YORK, AND ANY APPELLATE COURT FROM ANY THEREOF, IN ANY ACTION, SUIT
         OR PROCEEDING BROUGHT AGAINST IT AND TO OR IN CONNECTION WITH

TRUST AND SERVICING AGREEMENT

                                      114
<PAGE>

         ANY OF THE TRANSACTION DOCUMENTS OR THE TRANSACTION OR FOR RECOGNITION
         OR ENFORCEMENT OF ANY JUDGMENT, AND THE PARTIES HERETO HEREBY
         IRREVOCABLY AND UNCONDITIONALLY AGREE THAT ALL CLAIMS IN RESPECT OF ANY
         SUCH ACTION OR PROCEEDING MAY BE HEARD OR DETERMINED IN SUCH NEW YORK
         STATE COURT OR IN SUCH FEDERAL COURT. THE PARTIES HERETO AGREE THAT A
         FINAL JUDGMENT IN ANY SUCH ACTION, SUIT OR PROCEEDING SHALL BE
         CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE
         JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW. TO THE EXTENT
         PERMITTED BY APPLICABLE LAW, THE PARTIES HERETO HEREBY WAIVE AND AGREE
         NOT TO ASSERT BY WAY OF MOTION, AS A DEFENSE OR OTHERWISE IN ANY SUCH
         SUIT, ACTION OR PROCEEDING, ANY CLAIM THAT IT IS NOT PERSONALLY SUBJECT
         TO THE JURISDICTION OF SUCH COURTS, THAT THE SUIT, ACTION OR PROCEEDING
         IS BROUGHT IN AN INCONVENIENT FORUM, THAT THE VENUE OF THE SUIT, ACTION
         OR PROCEEDING IS IMPROPER OR THAT THE RELATED DOCUMENTS OR THE SUBJECT
         MATTER THEREOF MAY NOT BE LITIGATED IN OR BY SUCH COURTS.

                  (b) To the extent permitted by applicable law, the parties
         hereto shall not seek and hereby waive the right to any review of the
         judgment of any such court by any court of any other nation or
         jurisdiction which may be called upon to grant an enforcement of such
         judgment.

                  (c) Each of the Transferor and the Servicer hereby agree that
         until such time as the Notes and the Reimbursement Obligations have
         been paid in full and the Insurance Agreement has terminated, each of
         the Transferor and BVAC shall have appointed, with prior written notice
         to the Insurer, an agent registered with the Secretary of State of the
         State of New York, with an office in the County of New York in the
         State of New York, as its true and lawful attorney and duly authorized
         agent for acceptance of service of legal process (which as of the date
         hereof is CT Corporation System, 111 Eighth Avenue, New York, New York
         10011). SST has appointed an agent registered with the Secretary of
         State of the State of New York, with an office in the County of New
         York in the State of New York, as its true and lawful attorney and duly
         authorized agent for acceptance of service of legal process (which as
         of the date this Agreement is National Corporate Research, Ltd. located
         at 225 West 34th Street, Suite 910, New York, New York 10122). Each of
         the Transferor and BVAC agrees that service of such process upon such
         Person shall constitute personal service of such process upon it.

         SECTION 17.26 Trial by Jury Waived. EACH PARTY HERETO HEREBY WAIVES, TO
THE FULLEST EXTENT PERMITTED BY LAW, ANY RIGHT TO A TRIAL BY JURY IN RESPECT OF
ANY LITIGATION ARISING DIRECTLY OR INDIRECTLY OUT OF, UNDER OR IN CONNECTION
WITH ANY OF THE TRANSACTION DOCUMENTS OR THE TRANSACTION. EACH PARTY HERETO (A)
CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY PARTY HERETO HAS
REPRESENTED, EXPRESSLY OR OTHERWISE, THAT IT WOULD NOT, IN THE EVENT OF
LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B)

TRUST AND SERVICING AGREEMENT

                                      115
<PAGE>

ACKNOWLEDGES THAT IT HAS BEEN INDUCED TO ENTER INTO THE TRANSACTION DOCUMENTS TO
WHICH IT IS A PARTY BY, AMONG OTHER THINGS, THIS WAIVER.

         SECTION 17.27 Sarbanes-Oxley Certifications. The certifications
required by the Sarbanes-Oxley Act of 2002 and the rules of the Securities and
Exchange Commission promulgated thereunder to be included in filings with
respect to the Trust pursuant to the Securities Exchange Act of 1934, as
amended, shall be made by BVAC, so long as BVAC is the Servicer; if BVAC is no
longer the Servicer, such certifications shall be made by the Transferor. If
BVAC is no longer the Servicer, the successor Servicer shall provide to the
Transferor all information as the Transferor may reasonably request in order to
fulfill its obligations to make such certifications. In addition, the Indenture
Trustee shall provide to BVAC or the Transferor (whichever of the two is then
required to make such certifications) with a certification signed by a
Responsible Officer (as defined in the Indenture) stating that such Responsible
Officer is not actually aware (without any independent duty of inquiry or
investigation) of any matters which would cause the certification to be made by
BVAC or the Transferor, as the case may be, to be incorrect.

      [remainder of page intentionally left blank; signature page follows]

TRUST AND SERVICING AGREEMENT

                                      116
<PAGE>

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

                                           BAY VIEW TRANSACTION CORPORATION,
                                           as Transferor

                                           By:
                                              ----------------------------------
                                              Name:
                                              Title:

                                           BAY VIEW ACCEPTANCE CORPORATION,
                                           as Servicer

                                           By:
                                              ----------------------------------
                                              Name:
                                              Title:

                                           DEUTSCHE BANK TRUST COMPANY
                                           AMERICAS, as Indenture Trustee and
                                           Back-up Servicer

                                           By:
                                              ----------------------------------
                                              Name:
                                              Title:

                                           SYSTEM & SERVICES TECHNOLOGIES, INC.,
                                           as Standby Servicer

                                           By:
                                              ----------------------------------
                                              Name:
                                              Title:

                                           WILMINGTON TRUST COMPANY,
                                           as Owner Trustee

                                           By:
                                              ----------------------------------
                                              Name:
                                              Title:

TRUST AND SERVICING AGREEMENT

<PAGE>

                                                                       EXHIBIT 1

                           Owner Trustee's Certificate
                            pursuant to Section 15.05
                      of the Trust and Servicing Agreement

         Wilmington Trust Company, as owner trustee (the "Owner Trustee") of the
Bay View 2003-LJ-1 Owner Trust created pursuant to the Trust and Servicing
Agreement (the "Trust Agreement") dated as of August 1, 2003, among Bay View
Transaction Corporation, as depositor (the "Transferor"), Bay View Acceptance
Corporation, as Servicer (the "Servicer"), Deutsche Bank Trust Company Americas,
as Back-up Servicer and as Indenture Trustee, Systems & Services Technologies,
Inc., as Standby Servicer, and the Owner Trustee, does hereby sell, transfer,
assign, and otherwise convey to Bay View Acceptance Corporation without
recourse, representation, or warranty, all of the Owner Trustee's right, title,
and interest in and to all of the Receivables (as defined in the Trust
Agreement) identified in the attached Servicer's Certificate as "Purchased
Receivables," which have been repurchased by the Transferor pursuant to Section
7.02 or Section 8.08 and all security and documents relating thereto.

         IN WITNESS WHEREOF I have hereunto set my hand this _____ day of
__________.

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

EXHIBIT 1 TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

                                                                       EXHIBIT 2

                           Owner Trustee's Certificate
                            pursuant to Section 15.05
                      of the Trust and Servicing Agreement

         Wilmington Trust Company, as trustee (the "Owner Trustee") of the Bay
View 2003-LJ-1 Owner Trust created pursuant to the Trust and Servicing Agreement
(the "Trust Agreement") dated as of August 1, 2003, among Bay View Transaction
Corporation, as depositor (the "Transferor"), Bay View Acceptance Corporation,
as Servicer (the "Servicer"), Deutsche Bank Trust Company Americas, as Back-up
Servicer and Indenture Trustee, System & Services Technologies, Inc., as Standby
Servicer, and the Owner Trustee, does hereby sell, transfer, assign, and
otherwise convey to the Servicer, representation, or warranty, all of the Owner
Trustee's right, title, and interest in and to all of the Receivables (as
defined in the Trust Agreement) identified in the attached Servicer's
Certificate as "Purchased Receivables," which have been purchased by the
Servicer pursuant to Section 8.10 or Section 16.02, and all security and
documents relating thereto.

         IN WITNESS WHEREOF I have hereunto set my hand this _____ day of
__________.

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

EXHIBIT 2 TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

                                                                       EXHIBIT 3

                         Form of Servicer's Certificate
                            pursuant to Section 8.12
                      of the Trust and Servicing Agreement

                             SERVICER'S CERTIFICATE

EXHIBIT 3 TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

                                                                       EXHIBIT A

                             CERTIFICATE OF TRUST OF
                         BAY VIEW 2003-LJ-1 OWNER TRUST

         This Certificate of Trust of Bay View 2003-LJ-1 Owner Trust (the
"Trust"), dated as of August ___, 2003, is being duly executed and filed by
Wilmington Trust Company, a Delaware banking corporation, as trustee, to form a
statutory trust under the Delaware Statutory Trust Act (12 Del. Code, Section
3801 et seq.).

         1. Name. The name of the statutory trust formed hereby is BAY VIEW
2003-LJ-1 OWNER TRUST.

         2. Delaware Trustee. The name and business address of the trustee of
the Trust in the State of Delaware is Wilmington Trust Company, Plaza Building,
1st Floor, 301 West 11th Street, Wilmington, Delaware 19890-0001, Attention:
Corporate Trust Administration.

         IN WITNESS WHEREOF, the undersigned, being the sole trustee of the
Trust, has executed this Certificate of Trust as of the date first above
written.

                                       WILMINGTON TRUST COMPANY, not in its
                                       individual capacity but solely as owner
                                       trustee under a Trust Agreement dated as
                                       of August 1, 2003.

                                       By:
                                          --------------------------------------
                                       Name:
                                            ------------------------------------
                                       Title:
                                             -----------------------------------

EXHIBIT A TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

                                                                       EXHIBIT B

                              [Form of Certificate]

                         BAY VIEW 2003-LJ-1 OWNER TRUST
                              AUTOMOBILE RECEIVABLE
                               BACKED CERTIFICATE

         evidencing an undivided interest in the Trust, as defined below, the
property of which includes a pool of simple interest installment loan and
security agreements and installment sales contracts secured by new and used
automobiles, light-duty trucks, sport utility vehicles and vans. The contracts
were sold to the Trust by Bay View Transaction Corporation.

         (This Certificate does not represent an interest in or obligation of
Bay View Transaction Corporation or any of its affiliates. Neither this
Certificate nor the underlying Receivables, as defined below, are insured or
guaranteed by any other government agency).

                  NUMBER                       One Unit
                  R-1

         THIS CERTIFIES THAT __________________, is the registered owner of a
nonassessable, fully-paid interest in the Bay View 2003-LJ-1 Owner Trust (the
"Trust"), a Delaware statutory trust. The Trust was created pursuant to a Trust
and Servicing Agreement dated as of August 1, 2003 (the "Agreement"), among Bay
View Transaction Corporation as Transferor, Bay View Acceptance Corporation, as
Servicer, Deutsche Bank Trust Company Americas, as Back-up Servicer and
Indenture Trustee, System & Services Technologies, Inc., as Standby Servicer and
Wilmington Trust Company, as Owner Trustee (the "Owner Trustee"), a summary of
certain of the pertinent provisions of which is set forth below. A copy of the
Agreement may be examined during normal business hours at the Corporate Trust
Office of the Owner Trustee by any Certificateholder upon request. To the extent
not otherwise defined herein, the capitalized terms used herein have the
meanings assigned to them in the Agreement. This Certificate is issued under and
is subject to the terms, provisions, and conditions of the Agreement, to which
Agreement the holder of this Certificate by virtue of the acceptance hereof
assents and by which such holder is bound. The property of the Trust includes a
pool of simple and precomputed interest loan and security agreements and
installment sales contracts for new and used automobiles, light-duty trucks,
sport utility vehicles and vans (the "Receivables"), all monies paid thereon,
and all monies due thereon, including Accrued Interest, after July 31, 2003 (but
excluding Accrued Interest paid or due before the Closing Date), security
interests in the vehicles financed thereby, certain bank accounts and the
proceeds thereof and certain other property and rights described in the
Agreement and the proceeds of the foregoing.

         This Certificate represents an interest in certain assets of the Trust,
including the right to receive a portion of the collections and other amounts at
the times and in the amounts specified

EXHIBIT B TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

in the Agreement. The rights of the Certificateholders in the assets of the
Trust are subordinated to the rights of the Noteholders as set forth in the
Indenture and the Agreement.

         Unless the certificate of authentication hereon shall have been
executed by a Responsible Officer of the Owner Trustee, by manual or facsimile
signature, this Certificate shall not entitle the holder hereof to any benefit
under the Agreement or be valid for any purpose. Registration of transfer of
this Certificate to a person may not be effected unless (a) the Insurer consents
to such transfer, (b) such transfer will not adversely affect the tax treatment
of the Trust or the Notes, and (c) the Rating Agency Condition has been
satisfied with respect to such transfer.

         The obligations and responsibilities created by the Agreement and the
Trust created thereby shall terminate upon the payment to Certificateholders of
all amounts required to be paid to them pursuant to the Agreement and the
disposition of all property held as part of the Trust. The Servicer may at its
option cause the Owner Trustee to sell the corpus of the Trust at a price not to
be less than the price specified in the Agreement; however, such right is
exercisable only as of the last day of a Collection Period on which the Pool
Balance is less than or equal to 10% of the Original Pool Balance. The
Certificateholders are required to pay any unpaid fees and expenses of the Owner
Trustee and in connection with such disposition.

         Although this Certificate summarizes certain provisions of the
Agreement, this Certificate does not purport to summarize the Agreement and
reference is made to the Agreement for information with respect to the
interests, rights, benefits, obligations, proceeds and duties evidenced hereby
and the rights, duties and obligations of the Owner Trustee. In the event of any
inconsistency or conflict between the terms of this Certificate and the terms of
the Agreement, the terms of the Agreement shall control. By acceptance of this
Certificate, the holder agrees to be bound by the terms of the Agreement,
including the agreement to treat the Trust as a partnership for income tax
purposes and the Certificates as an equity interest therein.

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

Dated:  August 14, 2003

                                        BAY VIEW 2003-LJ-1 OWNER TRUST

                                        By Wilmington Trust Company, not in its
                                           individual capacity, but solely in
                                           its capacity as Owner Trustee

                                        By                                     ,
                                           ------------------------------------
                                           Responsible Officer

EXHIBIT B TO
TRUST AND SERVICING AGREEMENT

                                       2
<PAGE>

                          CERTIFICATE OF AUTHENTICATION

     This is the Certificate referred to in the Within-mentioned Agreement.

                               Deutsche Bank Trust Company Americas,
                               no in its individual capacity, but solely in its
                               capacity as Indenture Trustee

                               By                                              ,
                                 ----------------------------------------------
                                 Signatory

Dated:  August 14, 2003

EXHIBIT B TO
TRUST AND SERVICING AGREEMENT

                                       3
<PAGE>

                                   ASSIGNMENT

FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto

PLEASE INSERT SOCIAL SECURITY
OR OTHER IDENTIFYING NUMBER
OF ASSIGNEE

(Please print or typewrite name and address, including postal zip code, of
assignee) the within Certificate, and all rights thereunder, hereby irrevocably
constituting and appointing Attorney to transfer said Certificate on the books
of the Certificate Registrar, with full power of substitution in the premises.

Dated:
       ----------

                                        *
                              Signature Guaranteed:

                                        *

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

EXHIBIT B TO
TRUST AND SERVICING AGREEMENT

                                       4
<PAGE>

                                                                       EXHIBIT C

                          CONFIRMATION OF COMPUTER TAPE

Bay View Acceptance Corporation
1840 Gateway Drive
San Mateo, California  94404

Financial Security Assurance Inc.
350 Park Avenue
New York, New York  10022

         Re:      Bay View 2003-LJ-1 Owner Trust

Month                                                              Year
      -------                                                           --------

         Under the Trust and Servicing Agreement dated as of August 1, 2003
among Wilmington Trust Company, as Owner Trustee, Bay View Acceptance
Corporation, as Servicer, Bay View Transaction Corporation, as Transferor,
Systems & Services Technologies, Inc., as Standby Servicer, and Deutsche Bank
Trust Company Americas, as Indenture Trustee and Back-up Servicer (the
"Servicing Agreement"), the undersigned is hereby providing written confirmation
that (i) it has received the Computer Tape, (ii) such Computer Tape is in
readable form. Capitalized terms shall have the meaning ascribed to such terms
in the Servicing Agreement.

                                      Deutsche Bank Trust Company Americas

                                      By:
                                         ---------------------------------------
                                      Name:
                                           -------------------------------------
                                      Title:
                                            ------------------------------------

Date:
      ---------------------

EXHIBIT C TO
TRUST AND SERVICING AGREEMENT

                                       1

<PAGE>

                                                                       EXHIBIT D

                          CONFIRMATION OF COMPUTER TAPE

Bay View Acceptance Corporation
1840 Gateway Drive
San Mateo, California  94404

Financial Security Assurance Inc.
350 Park Avenue
New York, New York  10022

         Re:      Bay View 2003-LJ-1 Owner Trust

Month                                                              Year
      -------                                                           --------

         Under the Trust and Servicing Agreement dated as of August 1, 2003
among Wilmington Trust Company, as Owner Trustee, Bay View Acceptance
Corporation, as Servicer, Bay View Transaction Corporation, as Transferor,
Systems & Services Technologies, Inc., as Standby Servicer, and Deutsche Bank
Trust Company Americas, as Indenture Trustee and Back-up Servicer (the
"Servicing Agreement"), the undersigned is hereby providing written confirmation
that (i) it has received the Computer Tape, (ii) such Computer Tape is in the
correct format subject only to minor changes or modifications that would not
significantly affect the Standby Servicer's assumption and performance of the
Servicer's duties hereunder (subject to those duties that would be specifically
excluded if the Standby Servicer was the successor Servicer) and (iii) it has
verified the completeness of the Computer Tape in accordance with its duties set
forth in Schedule C to the Servicing Agreement. Capitalized terms shall have the
meaning ascribed to such terms in the Servicing Agreement.

                                      Systems & Services Technologies, Inc.

                                      By:
                                         ---------------------------------------
                                      Name:
                                           -------------------------------------
                                      Title:
                                            ------------------------------------

Date:
      ---------------------

EXHIBIT D TO
TRUST AND SERVICING AGREEMENT

                                       1

<PAGE>

                                                                       EXHIBIT E

                      Exception List under Section 8.08(b)

EXHIBIT E TO
TRUST AND SERVICING AGREEMENT

                                       1

<PAGE>

                                                                       EXHIBIT F

                                  CERTIFICATION

         The undersigned, Deutsche Bank Trust Company Americas, as Indenture
Trustee, hereby certifies pursuant to Section 8.08(b) of the Trust and Servicing
Agreement, dated as of August 1, 2003 (the "Trust Agreement"), among Bay View
Transaction Corporation, as Transferor, Bay View Acceptance Corporation, as
Servicer, Deutsche Bank Trust Company Americas, as Indenture Trustee and Back-up
Servicer, Systems & Services Technologies, Inc., as Standby Servicer, and
Wilmington Trust Company, as Owner Trustee, that it has performed the review
required by Section 8.08(b)(iv) of the Trust Agreement of the [Exception List
dated __________/Updated Exception List Dated ___________, 200____] and prepared
the Updated Exception List attached hereto in accordance with such Section
8.08(b)(iv) with respect to the Reserve Release Date to occur on _____________,
2003.

         Capitalized terms used but not defined herein shall have the meanings
assigned to them in the Trust Agreement.

                                      DEUTSCHE BANK TRUST COMPANY
                                      AMERICAS, as Indenture Trustee

                                      By:
                                         ---------------------------------------
                                      Name:
                                           -------------------------------------
                                      Title:
                                            ------------------------------------

Date:
      ---------------------

EXHIBIT F TO
TRUST AND SERVICING AGREEMENT

                                       1

<PAGE>

                                                                       EXHIBIT G

                         BAY VIEW ACCEPTANCE CORPORATION
                               1840 Gateway Drive
                           San Mateo, California 94404

                                         , 200  .
                               ----------     --

Deutsche Bank Trust Company Americas,
Indenture Trustee
60 Wall Street, MS NYC 60-2606
New York, NY  10005
Attn:  Corporate Trust and Agency Services

         Re:      Instructions for Reserve Release Amount

Ladies and Gentlemen:

         Pursuant to Section 8.08(b)(v) of the Trust and Servicing Agreement,
dated as of August 1, 2003 (the "Trust Agreement"), among Bay View Transaction
Corporation, as Transferor, Bay View Acceptance Corporation, as Servicer,
Deutsche Bank Trust Company Americas, as Indenture Trustee and Back-up Servicer,
Systems & Services Technologies, Inc., as Standby Servicer, and Wilmington Trust
Company, as Owner Trustee, you are hereby instructed to release from the Reserve
Account by wire transfer today to Bay View Acceptance Corporation (in accordance
with the wire transfer instructions previously delivered) $__________, such
amount representing the Reserve Release Amount with respect to the Receivables
most recently deleted from the Exception List, as reflected in the certified
Updated Exception List delivered by you on __________, 200__. The agreement by
the Insurer that above amount represents the correct Reserve Release Amount is
evidenced by the acknowledgment of the Insurer below.

         Capitalized terms used but not defined herein shall have the meanings
assigned to them in the Trust Agreement.

EXHIBIT G TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

                                      Very truly yours,

                                      BAY VIEW ACCEPTANCE CORPORATION

                                      By:
                                         ---------------------------------------
                                      Name:
                                      Title:

         Acknowledged and agreed as of the date set forth above as to the
Reserve Release Amount set forth herein:

                                      FINANCIAL SECURITY ASSURANCE, INC.

                                      By:
                                         ---------------------------------------
                                      Name:
                                           -------------------------------------
                                      Title:
                                            ------------------------------------

EXHIBIT G TO
TRUST AND SERVICING AGREEMENT

                                       2

<PAGE>

                                   Schedule A
                      to the Trust and Servicing Agreement

                             SCHEDULE OF RECEIVABLES

<Table>
<Caption>
              Transferor
            Account Number
       (as of the Cut-off Date)                     Name of Obligor                        Amount Financed
<S>                                                 <C>                                    <C>
$

</Table>

                  A COPY OF THE SCHEDULE OF RECEIVABLES, INCLUDING THE ABOVE
                  CAPTIONED INFORMATION WITH RESPECT TO EACH RECEIVABLE, WAS
                  DELIVERED TO THE OWNER TRUSTEE WITH A COUNTERPART OF THE TRUST
                  AND SERVICING AGREEMENT.

SCHEDULE A TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

                                   Schedule B
                      to the Trust and Servicing Agreement

1.   Location of Receivables:

     Bay View Acceptance Corporation
     818 Oakpark Drive
     Covina, California 91724

SCHEDULE B TO
TRUST AND SERVICING AGREEMENT

                                       1
<PAGE>

                                   Schedule C
                      to the Trust and Servicing Agreement

                      SCHEDULE OF STANDBY SERVICER FEES AND
                             SUCCESSOR SERVICE FEES

                      SYSTEMS & SERVICES TECHNOLOGIES, INC.
                         A SUBSIDIARY OF JPMORGAN CHASE

I.       FEES

<Table>
<S>               <C>                                        <C>                        <C>
         A.       Standby Servicing(1)

                  1.       One-Time Setup Fee                                           $2,500

                  2.       Outside Legal Fees and Expenses                               At Cost

                  3.       Monthly Fee(2)                                               4.5      bsp

         B.       Successor Servicing(3)

                  1.       One Time Boarding Fee                                        $5.00    per loan

                  2.       Monthly Fee(2)(4)                 the greater of             100      bsp or
                                                                                        $5.00    per month

                  3.       Minimum Monthly Fee                                          $3,000
</Table>

II.      EXPENSES

         A.       Standby Servicing And Transfer Expenses

         SST shall be reimbursed for all costs and expenses incurred in
         connection with its Standby Servicing duties and the transfer of
         contracts to SST for successor servicing. Such costs and expenses
         include, but are not limited to, those related to travel, obligor
         mailings, freight and file shipping.

         B.       Successor Servicing Expenses(3)

         SST shall be reimbursed for all out-of-pocket expenses including, but
         not limited to, those associated with asset recovery, liquidation,
         sales, travel, lodging, legal proceedings related to

SCHEDULE C TO
TRUST AND SERVICING AGREEMENT

                                       1

<PAGE>

         replevin actions or obligor bankruptcies, statement and mailing costs,
         title processing, bank charges, field calls, and insurance tracking, if
         any, in accordance with the terms of Section 8.05(a) of the Indenture.
         Additionally, SST shall receive an administrative fee amounting to 8%
         of the funds advanced by SST to cover any such expenses during any
         monthly collection period. In order to avoid this administrative fee,
         the trustee (or another party, as appropriate) may at any time during
         the term establish and fund an advance account to be utilized by SST to
         cover all such expenses and costs provided in this section for any
         monthly collection period. Any such advance account must be fully
         funded on a monthly basis in an amount sufficient to cover the
         out-of-pocket expenses projected by SST for each subsequent monthly
         collection period.

III.     MISCELLANEOUS(3)

         A.       Claim Filing Costs

         In the event SST files insurance claims in connection with any contract
         serviced by SST, SST shall receive $25.00 per filing.

         B.       Administrative Fees/Servicing Charges

         SST shall receive all administrative fees, including extension
         processing fees, NSF fees and late charges received by SST during any
         monthly collection period.

         C.       Deficiency Collections

         Under separate agreement, SST may provide deficiency collections
services on a contingency fee basis.

----------

(1) Standby services limited to: (i) monthly receipt of an electronic loan data
transmission, including all relevant obligor contact information including
address and phone numbers, loan balance, payment information, and comment
histories (ii) receipt of and verification some information supplied on the
month-end servicer statement

(2) Basis points are annualized (i.e., applicable basis points/12) and shall be
based on beginning of month outstanding principal balance of each individual
Active Contract, as defined below.

(3) These items shall only apply to SST's performance of successor servicing
duties.

(4) SST shall receive this fee for all "Active Contracts" for any full or
partial month where it functions as the Servicer. Active Contract is defined as
any contract other than: (i) prepaid, fully satisfied contracts; (ii) contracts
in which the asset has been liquidated and SST has posted the liquidation
proceeds or any other anticipated proceeds (e.g., credit enhancement insurance);
or (iii) contracts in which SST has completed all work in connection with
processing and receiving insurance payoffs. There shall be a $0.50 monthly
servicing fee for each contract that is not an Active Contract until such time
as SST is duly instructed to write the obligor's balance down to $0.00.

SCHEDULE C TO
TRUST AND SERVICING AGREEMENT

                                       2

<PAGE>

                                   Schedule D
                      to the Trust and Servicing Agreement

                              Delivery Requirements

         The Indenture Trustee shall have sole control over each such investment
and the income thereon, and any certificate or other instrument evidencing any
such investment, if any shall, except for clearing corporation securities, be
delivered directly to the Indenture Trustee or its agent, together with each
document of transfer, if any, necessary to transfer title to such investment to
the Indenture Trustee in a manner that complies with this Agreement and the
requirements of the definition of Eligible Investments.

SCHEDULE D TO
TRUST AND SERVICING AGREEMENT

                                       1<PAGE>
                                                                     EXHIBIT 4.3

                                    INDENTURE

                                     between

                         BAY VIEW 2003-LJ-1 OWNER TRUST
                                    as Issuer

                                       and

                      DEUTSCHE BANK TRUST COMPANY AMERICAS
                              as Indenture Trustee

                           Dated as of August 1, 2003

Indenture
<PAGE>

                                TABLE OF CONTENTS

<Table>
<Caption>
                                                                                                    Page
                                                                                                    ----
<S>                                                                                                   <C>

ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE ..............................................   2

   SECTION 1.01  Definitions ......................................................................   2
   SECTION 1.02  Incorporation by Reference of Trust Indenture Act ................................  15
   SECTION 1.03  Rules of Construction ............................................................  15
   SECTION 1.04  Directions .......................................................................  16

ARTICLE II THE NOTES ..............................................................................  16

   SECTION 2.01  Form .............................................................................  16
   SECTION 2.02  Execution, Authentication and Delivery ...........................................  16
   SECTION 2.03  Temporary Notes ..................................................................  17
   SECTION 2.04  Registration; Registration of Transfer and Exchange ..............................  17
   SECTION 2.05  Mutilated, Destroyed, Lost or Stolen Notes .......................................  19
   SECTION 2.06  Payment of Principal and Interest; Defaulted Interest ............................  20
   SECTION 2.07  Cancellation .....................................................................  21
   SECTION 2.08  Book-Entry Notes .................................................................  21
   SECTION 2.09  Notices to Clearing Agency .......................................................  22
   SECTION 2.10  Definitive Notes .................................................................  22
   SECTION 2.11  Release of Pledged Assets ........................................................  23
   SECTION 2.12  Tax Treatment ....................................................................  23
   SECTION 2.13  ERISA ............................................................................  23
   SECTION 2.14  CUSIP Numbers ....................................................................  23

ARTICLE III COVENANTS .............................................................................  24

   SECTION 3.01  Payment of Principal and Interest ................................................  24
   SECTION 3.02  Maintenance of Office or Agency ..................................................  24
   SECTION 3.03  Money for Payments to be Held in Trust ...........................................  24
   SECTION 3.04  Existence ........................................................................  26
   SECTION 3.05  Protection of Trust Estate ........................................................ 26
   SECTION 3.06  Opinions as to Pledged Assets ....................................................  27
   SECTION 3.07  Performance of Obligations; Servicing of Receivables .............................  27
   SECTION 3.08  Negative Covenants ...............................................................  29
   SECTION 3.09  Annual Statement as to Compliance ................................................  29
   SECTION 3.10  Issuer May Consolidate, etc.  Only on Certain Conditions .........................  30
   SECTION 3.11  Successor Transferee .............................................................  32
   SECTION 3.12  No Other Business ................................................................  32
   SECTION 3.13  No Borrowing .....................................................................  33
   SECTION 3.14  Servicer's Obligations ...........................................................  33
   SECTION 3.15  Guarantees, Loans, Advances and Other Liabilities ................................  33
   SECTION 3.16  Capital Expenditures .............................................................  33
   SECTION 3.17  Restricted Payments ..............................................................  33
</Table>

                                        i
Indenture
<PAGE>

<Table>
<S>                                                                                                   <C>

   SECTION 3.18  Notice of Events of Default ......................................................  33
   SECTION 3.19  Further Instruments and Acts .....................................................  34
   SECTION 3.20  Compliance with Laws .............................................................  34
   SECTION 3.21  Amendments of Trust Agreement ....................................................  34
   SECTION 3.22  Certain Representations, Warranties and Covenants Related to Receivables .........  34

ARTICLE IV SATISFACTION AND DISCHARGE .............................................................  34

   SECTION 4.01  Satisfaction and Discharge of Indenture ..........................................  34
   SECTION 4.02  Application of Trust Money .......................................................  36
   SECTION 4.03  Repayment of Monies Held by Paying Agent .........................................  36

ARTICLE V EVENTS OF DEFAULT; REMEDIES .............................................................  36

   SECTION 5.01  Events of Default ................................................................  36
   SECTION 5.02  Rights Upon Event of Default .....................................................  38
   SECTION 5.03  Collection of Indebtedness and Suits for Enforcement by Indenture Trustee ........  40
   SECTION 5.04  Remedies .........................................................................  42
   SECTION 5.05  Optional Preservation of the Receivables .........................................  43
   SECTION 5.06  Priorities .......................................................................  43
   SECTION 5.07  Limitation of Suits ..............................................................  44
   SECTION 5.08  Unconditional Rights of Noteholders to Receive Principal and Interest ............  44
   SECTION 5.09  Restoration of Rights and Remedies ...............................................  44
   SECTION 5.10  Rights and Remedies Cumulative ...................................................  45
   SECTION 5.11  Delay or Omission Not a Waiver ...................................................  45
   SECTION 5.12  Control by Controlling Party .....................................................  45
   SECTION 5.13  Waiver of Past Defaults ..........................................................  45
   SECTION 5.14  Undertaking for Costs ............................................................  46
   SECTION 5.15  Waiver of Stay or Extension Laws .................................................  46
   SECTION 5.16  Action on Notes ..................................................................  46
   SECTION 5.17  Performance and Enforcement of Certain Obligations ...............................  47
   SECTION 5.18  Optional Deposits by the Insurer .................................................  47

ARTICLE VI THE INDENTURE TRUSTEE ..................................................................  48

   SECTION 6.01  Duties of Indenture Trustee ......................................................  48
   SECTION 6.02  Rights of Indenture Trustee ......................................................  50
   SECTION 6.03  Individual Rights of Indenture Trustee ...........................................  51
   SECTION 6.04  Indenture Trustee's Disclaimer ...................................................  52
   SECTION 6.05  Notice of Defaults ...............................................................  52
   SECTION 6.06  Reports by Indenture Trustee to Holders ..........................................  52
   SECTION 6.07  Compensation and Indemnity .......................................................  52
   SECTION 6.08  Replacement of Indenture Trustee .................................................  53
   SECTION 6.09  Successor Indenture Trustee by Merger ............................................  54
   SECTION 6.10  Appointment of Co-Indenture Trustee or Separate Indenture Trustee ................  55
   SECTION 6.11  Eligibility ......................................................................  56
   SECTION 6.12  Collateral Agent to Follow Indenture Trustee's Instructions ......................  56
   SECTION 6.13  Preferential Collection of Claims Against Issuer .................................  57
</Table>

                                       ii
Indenture
<PAGE>

<Table>
<S>                                                                                                   <C>

   SECTION 6.14  Representations and Warranties of Indenture Trustee ..............................  57
   SECTION 6.15  Disqualification of the Indenture Trustee ........................................  57
   SECTION 6.16  Waiver of Setoffs ................................................................  57
   SECTION 6.17  Control by the Controlling Party .................................................  57

ARTICLE VII NOTEHOLDERS' LISTS AND REPORTS ........................................................  57

   SECTION 7.01  Issuer to Furnish Indenture Trustee Names and Addresses of Noteholders ...........  57
   SECTION 7.02  Preservation of Information; Communications to Noteholders .......................  58
   SECTION 7.03  Reports by Issuer ................................................................  58
   SECTION 7.04  Reports by Indenture Trustee .....................................................  59

ARTICLE VIII DISTRIBUTIONS; STATEMENTS TO THE NOTEHOLDERS .........................................  59

   SECTION 8.01  Lock-Box Account .................................................................  59
   SECTION 8.02  Collection Account ...............................................................  59
   SECTION 8.03  Collections ......................................................................  59
   SECTION 8.04  Purchase Amounts .................................................................  60
   SECTION 8.05  Distributions to Parties .........................................................  60
   SECTION 8.06  Servicer Advances ................................................................  63
   SECTION 8.07  Payahead Account .................................................................  63
   SECTION 8.08  [reserved] .......................................................................  64
   SECTION 8.09  Release of Pledged Assets ........................................................  64
   SECTION 8.10  Opinion of Counsel ...............................................................  64
   SECTION 8.11  Calculation of Notional Principal Amount .........................................  65

ARTICLE IX CREDIT ENHANCEMENT .....................................................................  65

   SECTION 9.01  Subordination ....................................................................  65
   SECTION 9.02  Spread Account ...................................................................  65
   SECTION 9.03  Policy ...........................................................................  66
   SECTION 9.04  Surrender of the Policy ..........................................................  68

ARTICLE X SUPPLEMENTAL INDENTURES .................................................................  69

   SECTION 10.01 Supplemental Indentures Without Consent of Noteholders ...........................  69
   SECTION 10.02 Supplemental Indentures With Consent of Noteholders ..............................  70
   SECTION 10.03 Execution of Supplemental Indentures .............................................  71
   SECTION 10.04 Effect of Supplemental Indenture .................................................  71
   SECTION 10.05 Conformity with Trust Indenture Act ..............................................  72
   SECTION 10.06 Reference in Notes to Supplemental Indentures ....................................  72

ARTICLE XI REDEMPTION OF NOTES ....................................................................  72

   SECTION 11.01 Redemption .......................................................................  72
   SECTION 11.02 Form of Redemption Notice ........................................................  72
   SECTION 11.03 Notes Payable on Redemption Date .................................................  73

ARTICLE XII MISCELLANEOUS .........................................................................  73

   SECTION 12.01 Compliance Certificates and Opinions, etc. .......................................  73
   SECTION 12.02 Form of Documents Delivered to Indenture Trustee .................................  75
   SECTION 12.03 Acts of Noteholders ..............................................................  75
</Table>

                                       iii
Indenture
<PAGE>

<Table>
<S>                                                                                                   <C>

   SECTION 12.04 Notices, etc., to Indenture Trustee, Issuer, Insurer and Rating Agencies .........  76
   SECTION 12.05 Notices to Noteholders; Waiver ...................................................  77
   SECTION 12.06 Alternate Payment and Notice Provisions ..........................................  78
   SECTION 12.07 Conflict With Trust Indenture Act ................................................  78
   SECTION 12.08 Effect of Headings and Table of Contents .........................................  78
   SECTION 12.09 Successors and Assigns ...........................................................  78
   SECTION 12.10 Separability .....................................................................  79
   SECTION 12.11 Benefits of Indenture ............................................................  79
   SECTION 12.12 Legal Holidays ...................................................................  79
   SECTION 12.13 Governing Law ....................................................................  79
   SECTION 12.14 Counterparts .....................................................................  79
   SECTION 12.15 Recording of Indenture ...........................................................  79
   SECTION 12.16 Trust Obligation .................................................................  79
   SECTION 12.17 No Petition ......................................................................  80
   SECTION 12.18 Inspection .......................................................................  80
   SECTION 12.19 Limitation of Liability of Owner Trustee .........................................  80
   SECTION 12.20 Certain Matters Regarding the Insurer ............................................  80
   SECTION 12.21 No Legal Title in Holders ........................................................  81
   SECTION 12.22 Effect of Termination Date .......................................................  81
   SECTION 12.23 Sarbanes-Oxley Certifications ....................................................  81
</Table>

EXHIBITS

Schedule A       Form of Depository Agreement
Exhibit A-1      Form of Class A-1 Note
Exhibit A-2      Form of Class A-2 Note
Exhibit A-3      Form of Class A-3 Note
Exhibit A-4      Form of Class A-4 Note
Exhibit A-5      Form of Class I Note
Schedule B       Planned Notional Principal Amount Schedule

Cross Reference Table

<Table>
<Caption>
      Trust Indenture                Indenture
        Act Section                   Section
<S>                                 <C>
           310(a)                       6.11
           310(b)                       6.11
           310(c)                       N/A
           311(a)                       6.13
           311(b)                       6.13
           311(c)                       N/A
           312(a)                       N/A
           312(b)                       7.02
           312(c)                       7.02
           313(a)                       7.04
           313(b)                       7.04
           313(c)                       7.03
</Table>

                                       iv
Indenture
<PAGE>

<Table>
<Caption>
      Trust Indenture                Indenture
        Act Section                   Section
<S>                             <C>
           314(a)                       7.03
           314(b)                       3.06
           314(c)                2.11, 8.09, 12.01
           314(d)                2.11, 8.09, 12.01
           314(e)                      13.01
           314(f)                       N/A
           315(a)                       N/A
           315(b)                       N/A
           315(c)                       N/A
           315(d)                       N/A
           315(e)                       N/A
           316(a)                       N/A
           316(b)                       N/A
           316(c)                      12.03
           317(a)                       N/A
           317(b)                       N/A
           318(a)                       N/A
</Table>

                                        v
Indenture
<PAGE>

         This INDENTURE, dated as of August 1, 2003 is entered into between BAY
VIEW 2003-LJ-1 OWNER TRUST, a Delaware statutory trust, as issuer (the
"Issuer"), and DEUTSCHE BANK TRUST COMPANY AMERICAS, a New York banking
corporation, as indenture trustee (the "Indenture Trustee").

         Each party agrees as follows for the benefit of the other parties and
for the benefit of the Noteholders and the Insurer:

                                 GRANTING CLAUSE

         The Issuer hereby Grants to the Indenture Trustee on the Closing Date,
on behalf of and for the benefit of the Noteholders and the Insurer without
recourse, all of the Issuer's right, title and interest in, to and under, (i)
the Receivables listed on Schedule A to the Trust Agreement, (ii) the security
interests in the Financed Vehicles or in any other property granted by Obligors
pursuant to the Receivables, (iii) any proceeds from claims and other amounts
relating to Insurance Policies and other items financed under the Receivables or
otherwise covering an Obligor or a Financed Vehicle, (iv) any Liquidation
Proceeds, (v) all property (including the right to receive future Liquidation
Proceeds) that secures a Receivable and that has been or may be acquired
pursuant to the liquidation of the Receivable, (vi) the interest of the Issuer
in any proceeds from recourse to Dealers relating to the Receivables, (vii) all
documents contained in the Receivable Files relating to the Receivables, (viii)
all monies paid on the Receivables, and all monies due thereon after the Cut-off
Date, (ix) the rights of the Transferor pursuant to the Purchase Agreement and
the rights of the Issuer pursuant to the Trust Agreement and the Transfer and
Contribution Agreement, including without limitation, a direct right to cause
BVAC to purchase Receivables from the Transferor upon the occurrence of a breach
of any of the representations and warranties contained in Section 3.02(b) of the
Purchase Agreement or the failure of BVAC to timely comply with its obligations
pursuant to Section 5.06 of the Purchase Agreement and (x) all proceeds
(including, without limitation, "proceeds" as defined in the UCC of the
jurisdiction the law of which governs the perfection of the interest in such
Receivables and such other property so transferred) of any of the foregoing.
Such property described in the preceding sentence, together with the following
other property (a) any and all other right, title and interest, including any
beneficial interest the Issuer may have in the Collection Account, the Payahead
Account, the Reserve Account and the Lock-Box Account (to the extent such
amounts and property in the Lock-Box Account relate to the Receivables), (b) the
funds deposited in and financial assets credited to and from time to time on
deposit in such accounts (to the extent such amounts and property in the
Lock-Box Account relate to the Receivables), and all Eligible Investments and
other securities, instruments and other investments purchased from such funds,
shall hereinafter be referred to as the "Pledged Assets" all of which the Issuer
hereby Grants to the Indenture Trustee on the Closing Date, on behalf of and for
the benefit of the Noteholders and the Insurer without recourse. The Issuer does
not convey to the Indenture Trustee, and the Pledged Assets do not include, any
interest in any contracts with Dealers related to any "dealer reserve" or any
rights to the recapture of any dealer reserve with respect to such Receivables.

         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 Notes,
equally and ratably without prejudice, priority or distinction (except as
provided herein with respect to the subordination of the Class I

                                       1
Indenture
<PAGE>

Notes), and to secure compliance with the provisions of this Indenture and the
Insurance Agreement, all as provided in this Indenture and the Insurance
Agreement.

         The Indenture Trustee, as Indenture Trustee on behalf of the
Noteholders and the Insurer, acknowledges such Grant, accepts the trust under
this Indenture in accordance with the provisions of this Indenture and agrees to
perform its duties required in this Indenture to the best of its ability to the
end that the interests of the Noteholders and the Insurer may be adequately and
effectively protected.

                                    ARTICLE I

                   DEFINITIONS AND INCORPORATION BY REFERENCE

         SECTION 1.01 DEFINITIONS.

                  (a) Except as otherwise specified herein or as the context may
         otherwise require, (i) capitalized terms that are used herein that are
         not otherwise defined herein shall have the meanings assigned to them
         in the Trust Agreement (as defined below) and (ii) the following terms
         have the respective meanings set forth below for all purposes of this
         Indenture.

         "Act" shall have the meaning specified in Section 12.03(a).

         "Authorized Officer" means, with respect to the Issuer, the Owner
Trustee the Servicer and the Spread Account Depositor, any officer of the
Issuer, the Owner Trustee, the Servicer or the Spread Account Depositor, as
applicable, or agent acting pursuant to a power of attorney, with respect to the
Back-up Servicer, any officer or agent of the Back-up Servicer, with respect to
the Standby Servicer, any officer or agent of the Standby Servicer, in each case
who is identified on the list of Authorized Officers delivered to the Indenture
Trustee on the Closing Date (as such list may be modified or supplemented from
time to time thereafter) and, so long as the Administration Agreement is in
effect, any Vice President or more senior officer of the Administrator who is
authorized to act for the Administrator in matters relating to the Issuer and to
be acted upon by the Administrator pursuant to the Administration Agreement and
who is identified on a list of Authorized Officers delivered by the
Administrator to the Indenture Trustee on the Closing Date (as such list may be
modified or supplemented from time to time thereafter).

         "Book-Entry Notes" means a beneficial interest in the Notes, ownership
and transfers of which shall be made through book entries by a Clearing Agency
as described in Section 2.08.

         "BVAC" means Bay View Acceptance Corporation, a Nevada corporation, and
its successors.

         "Certificateholders" mean the owners or holders of the Certificates
pursuant to the Trust Agreement.

         "Class" means all Notes whose form is identical except for variation in
denomination, principal amount or owner.

                                       2
Indenture
<PAGE>

         "Class A Monthly Interest" means, for any Payment Date, the sum of
Class A-1 Monthly Interest, Class A-2 Monthly Interest, Class A-3 Monthly
Interest and Class A-4 Monthly Interest.

         "Class A Monthly Principal" means, for any Payment Date, the sum of
Class A-1 Monthly Principal, Class A-2 Monthly Principal, Class A-3 Monthly
Principal and Class A-4 Monthly Principal.

         "Class A Note" means a Class A-1 Note, a Class A-2 Note, a Class A-3
Note or a Class A-4 Note.

         "Class A Note Balance" means, for any date of determination, the
aggregate of the Class A-1 Note Balance, Class A-2 Note Balance, Class A-3 Note
Balance and Class A-4 Note Balance for such date of determination.

         "Class A Noteholder" means a Class A-1 Noteholder, a Class A-2
Noteholder, a Class A-3 Noteholder or a Class A-4 Noteholder.

         "Class A-l Interest Rate" means 1.135% per annum.

         "Class A-l Monthly Interest" means, (i) for the first Payment Date, the
product of (x) one-three hundred sixtieth (1/360th) of the Class A-l Interest
Rate, (y) the actual number of days from and including the Closing Date through
and including the day before the first Payment Date and (z) the Initial Class
A-l Note Balance and (ii) for any subsequent Payment Date, the product of (x)
one-three hundred sixtieth (1/360th) of the Class A-l Interest Rate, the (y)
actual number of days from and including the previous Payment Date through and
including the day before the related Payment Date and (z) the Class A-l Note
Balance as of the immediately preceding Payment Date (after giving effect to any
payment of Monthly Principal made on such immediately preceding Payment Date).

         "Class A-1 Monthly Principal" means that portion of Monthly Principal
to be paid to Class A-1 Noteholders on each Payment Date in accordance with
Section 8.05.

         "Class A-l Note" means a promissory note executed on behalf of the
Trust and authenticated by the Indenture Trustee substantially in the form
attached hereto as Exhibit A-l.

         "Class A-l Note Balance" means, as of any date of determination, the
Initial Class A-l Note Balance minus all payments of Monthly Principal actually
distributed to Class A-l Noteholders as of such date of determination.

         "Class A-1 Noteholder" means the Person in whose name the respective
Class A-1 Note shall be registered in the Note Register, except that, solely for
the purposes of giving any consent, waiver, request, or demand pursuant to this
Indenture, the interest evidenced by any Class A-1 Note registered in the name
of the Issuer, the Transferor, the Servicer or BVAC, or any Person controlling,
controlled by, or under common control with the Issuer, the Transferor or the
Servicer, shall not be taken into account in determining whether the requisite
percentage necessary to effect any such consent, waiver, request, or demand
shall have been obtained.

         "Class A-2 Interest Rate" means 1.710% per annum.

                                       3
Indenture
<PAGE>

         "Class A-2 Monthly Interest" means for any Payment Date, the product of
(x) one-twelfth of the Class A-2 Interest Rate and (y) the Class A-2 Note
Balance as of the immediately preceding Payment Date (after giving effect to any
payment of Monthly Principal made on such immediately preceding Payment Date)
or, in the case of the first Payment Date, the Closing Date.

         "Class A-2 Monthly Principal" means that portion of Monthly Principal
to be paid to Class A-2 Noteholders on each Payment Date in accordance with
Section 8.05.

         "Class A-2 Note" means a promissory note executed on behalf of the
Trust and authenticated by the Indenture Trustee substantially in the form
attached hereto as Exhibit A-2.

         "Class A-2 Note Balance" means, as of any date of determination, the
Initial Class A-2 Note Balance minus all payments of Monthly Principal actually
distributed to Class A-2 Noteholders as of such date of determination.

         "Class A-2 Noteholder" means the Person in whose name the respective
Class A-2 Note shall be registered in the Note Register, except that, solely for
the purposes of giving any consent, waiver, request, or demand pursuant to this
Indenture, the interest evidenced by any Class A-2 Note registered in the name
of the Issuer, the Transferor, the Servicer or BVAC, or any Person controlling,
controlled by, or under common control with the Issuer, the Transferor or the
Servicer, shall not be taken into account in determining whether the requisite
percentage necessary to effect any such consent, waiver, request, or demand
shall have been obtained.

         "Class A-3 Interest Rate" means 2.430% per annum.

         "Class A-3 Monthly Interest" means, for any Payment Date, the product
of (x) one twelfth of the Class A-3 Interest Rate and (y) the Class A-3 Note
Balance as of the immediately preceding Payment Date (after giving effect to any
payment of Monthly Principal made on such immediately preceding Payment Date)
or, in the case of the first Payment Date, the Closing Date.

         "Class A-3 Monthly Principal" means that portion of Monthly Principal
to be paid to Class A-3 Noteholders on each Payment Date in accordance with
Section 8.05.

         "Class A-3 Note" means a promissory note executed on behalf of the
Trust and authenticated by the Indenture Trustee substantially in the form
attached hereto as Exhibit A-3.

         "Class A-3 Note Balance" means, as of any date of determination, the
Initial Class A-3 Note Balance minus all payments of Monthly Principal actually
distributed to Class A-3 Noteholders as of such date of determination.

         "Class A-3 Noteholder" means the Person in whose name the respective
Class A-3 Note shall be registered in the Note Register, except that, solely for
the purposes of giving any consent, waiver, request, or demand pursuant to this
Indenture, the interest evidenced by any Class A-3 Note registered in the name
of the Issuer, the Transferor, the Servicer or BVAC, or any Person controlling,
controlled by, or under common control with the Issuer, the Transferor or the
Servicer, shall not be taken into account in determining whether the requisite
percentage necessary to effect any such consent, waiver, request, or demand
shall have been obtained.

                                       4
Indenture
<PAGE>

         "Class A-4 Interest Rate" means, for any payment Date, the lesser of
(i) 3.440% per annum and (ii) the Net WAC Cap calculated with respect to such
Payment Date.

         "Class A-4 Monthly Interest" means, for any Payment Date, the product
of (x) one twelfth of the Class A-4 Interest Rate and (y) the Class A-4 Note
Balance as of the immediately preceding Payment Date (after giving effect to any
payment of Monthly Principal made on such immediately preceding Payment Date)
or, in the case of the first Payment Date, the Closing Date.

         "Class A-4 Monthly Principal" means that portion of Monthly Principal
to be paid to Class A-4 Noteholders on each Payment Date in accordance with
Section 8.05.

         "Class A-4 Note" means a promissory note executed on behalf of the
Trust and authenticated by the Indenture Trustee substantially in the form
attached hereto as Exhibit A-4.

         "Class A-4 Note Balance" means, as of any date of determination, the
Initial Class A-4 Note Balance minus all payments of Monthly Principal actually
distributed to Class A-4 Noteholders as of such date of determination.

         "Class A-4 Noteholder" means the Person in whose name the respective
Class A-4 Note shall be registered in the Note Register, except that, solely for
the purposes of giving any consent, waiver, request, or demand pursuant to this
Indenture, the interest evidenced by any Class A-4 Note registered in the name
of the Issuer, the Transferor, the Servicer or BVAC, or any Person controlling,
controlled by, or under common control with the Issuer, the Transferor or the
Servicer, shall not be taken into account in determining whether the requisite
percentage necessary to effect any such consent, waiver, request, or demand
shall have been obtained.

         "Class I Final Scheduled Payment Date" means November 25, 2006.

         "Class I Monthly Interest" means (i) for the first Payment Date, the
product of (x) one-twelfth of the Class I Note Rate multiplied by (y) the
Original Notional Principal Amount, and (ii) for any subsequent Payment Date,
one-twelfth of the product of (x) the Class I Note Rate and (y) the Notional
Principal Amount as of the immediately preceding Payment Date (after giving
effect to any reduction of the Notional Principal Amount due to allocations of
principal on such preceding Payment Date); provided, however, that after the
Class I Final Scheduled Payment Date, the Class I Monthly Interest shall be
zero; provided, further, that in the event the Notes are accelerated pursuant to
Section 5.02(a) following an Event of Default, the Class I Monthly Interest for
any remaining Payment Date will be due to the Class I Noteholders based on the
Planned Notional Principal Amount for that Payment Date as set forth in the
Planned Notional Principal Amount Schedule.

         "Class I Note" means a promissory note executed on behalf of the Trust
and authenticated by the Indenture Trustee substantially in the form attached
hereto as Exhibit A-5.

         "Class I Noteholder" means the Person in whose name the respective
Class I Note shall be registered in the Note Register, except that, solely for
the purposes of giving any consent, waiver, request, or demand pursuant to this
Indenture, the interest evidenced by any Class I Note registered in the name of
the Issuer, the Transferor, the Servicer or BVAC, or any Person controlling,
controlled by, or under common control with the Issuer, the Transferor or the

                                       5
Indenture
<PAGE>

Servicer, shall not be taken into account in determining whether the requisite
percentage necessary to effect any such consent, waiver, request, or demand
shall have been obtained.

         "Class I Note Rate" means 1.450% per annum.

         "Clearing Agency" means an organization registered as a "Clearing
Agency" pursuant to Section 17A of the Exchange Act.

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

         "Code" means the Internal Revenue Code of 1986, as amended.

         "Collateral Agent" means Deutsche Bank Trust Company Americas, in its
capacity as collateral agent under the Spread Account Agreement.

         "Companion Component" shall have the meaning specified in Section 8.11.

         "Controlling Party" means the Insurer, so long as no Insurer Default
shall have occurred and be continuing and the Insurance Agreement has not
terminated, and the Indenture Trustee, at the direction of the Majority
Noteholders, for so long as an Insurer Default shall have occurred and be
continuing or if the Insurance Agreement has terminated.

         "Corporate Trust Office" means the corporate trust office of the
Indenture Trustee, which at time of execution of this Indenture is 60 Wall
Street, MS NYC 60-2606, New York, New York 10005, Attention: Corporate Trust and
Agency Services or at such other address as the Indenture Trustee may designate
from time to time by notice the Noteholders, the Servicer, the Back-up Servicer,
the Standby Servicer, the Insurer and the Issuer, or the principal corporate
trust office of any successor Indenture Trustee (the address of which the
successor Indenture Trustee will notify the Noteholders, the Insurer and the
Issuer). With respect only to the surrender of Notes for registration of
transfer or exchange or payment of the final distribution, "Corporate Trust
Office" means, on the date hereof, the office of the Indenture Trustee or its
agent which is DTC Transfer Agent Services, 55 Water Street-Jeanette Park
Entrance, New York, New York 10041.

         "Cram Down Loss" means, for any Receivable (other than a Charged-Off
Receivable), if a court of appropriate jurisdiction in an insolvency proceeding
issues a ruling that reduces the amount owed on the Receivable or otherwise
modifies or restructures the scheduled payments to be made on the Receivable, an
amount equal to: (1) the Principal Balance of the Receivable immediately prior
to the order minus the Principal Balance of the Receivable as so reduced,
modified or restructured; plus (2) if the court issued an order reducing the
effective interest rate on the Receivable, the excess of (a) the net present
value (using a discount rate equal to the adjusted APR on such receivable) of
the Scheduled Receivable Payments as so modified or restructured over (b) the
net present value (using a discount rate equal to the original APR on such
receivable) of the Scheduled Receivable Payments as so modified or restructured.

                                       6
Indenture
<PAGE>

         "Default" means any occurrence that is, or with notice or the lapse of
time or both would become, an Event of Default.

         "Definitive Notes" shall have the meaning specified in Section 2.08.

         "Depository Agreement" means the agreement dated the Closing Date among
the Issuer, the Indenture Trustee and DTC, as the initial Clearing Agency,
relating to the Notes, substantially in the form attached hereto as Schedule A.

         "Determination Date" means, for each Collection Period, the fifteenth
calendar day prior to the related Payment Date, if the fifteenth day is not a
Business Day, the next following Business Day.

         "Draw Date" means a date no later than the third Business Day (as
defined in the Policy) prior to each Payment Date.

         "DTC" means The Depository Trust Company, a New York corporation.

         "ERISA" means the Employee Retirement Income Security Act of 1974, as
amended.

         "Event of Default" shall have the meaning specified in Section 5.01(a).

         "Exchange Act" shall mean the Securities Exchange Act of 1934, as
amended.

         "Executive Officer" means, with respect to any corporation or bank, the
Chief Executive Officer, Chief Operating Officer, Chief Financial Officer,
President, Executive Vice President, any Vice President, the Secretary or the
Treasurer of such corporation or bank; and with respect to any partnership, any
general partner thereof.

         "Final Maturity Date" means August 25, 2004 with respect to the Class
A-l Notes, March 25, 2007 with respect to the Class A-2 Notes, July 25, 2008
with respect to the Class A-3 Notes and April 25, 2012 with respect to the Class
A-4 Notes.

         "Grant" means mortgage, pledge, bargain, sell, warrant, alienate,
remise, release, convey, assign, transfer, create and grant a lien upon and a
security interest in and right of set-off against, deposit, set over and confirm
pursuant to this Indenture. A Grant of the Pledged Assets or of any other
agreement or instrument shall include all rights, powers and options (but none
of the obligations) of the granting party thereunder, including the immediate
and continuing right to claim for, collect, receive and give receipt for
principal and interest payments in respect of the Pledged Assets and all other
monies payable thereunder, 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.

         "Holder" means the Person in whose name a Note is registered on the
Note Register on the applicable Record Date.

                                       7
Indenture
<PAGE>

         "Indebtedness" means, with respect to any Person at any time, (i)
indebtedness or liability of such Person for borrowed money whether or not
evidenced by bonds, debentures, notes or other instruments, or for the deferred
purchase price of property or services (including trade obligations); (ii)
obligations of such Person as lessee under leases which should have been or
should be, in accordance with generally accepted accounting principles, recorded
as capital leases; (iii) current liabilities of such Person in respect of
unfunded vested benefits under plans covered by Title IV of ERISA; (iv)
obligations issued for or liabilities incurred on the account of such Person;
(v) obligations or liabilities of such Person arising under acceptance
facilities; (vi) obligations of such Person under any guarantees, endorsements
(other than for collection or deposit in the ordinary course of business) and
other contingent obligations to purchase, to provide funds for payment, to
supply funds to invest in any Person or otherwise to assure a creditor against
loss; (vii) obligations of such Person secured by any lien on property or assets
of such Person, whether or not the obligations have been assumed by such Person;
provided that the amount of such indebtedness if not so assumed shall in no
event be deemed to be greater than the fair market value from time to time (as
reasonably determined in good faith by the Issuer) of the property subject to
such lien; or (viii) obligations of such Person under any interest rate or
currency exchange agreement.

         "Indenture" means this Indenture, as amended or supplemented from time
to time.

         "Indenture Trustee" means Deutsche Bank Trust Company Americas, a New
York banking corporation, as the Indenture Trustee under this Indenture and its
permitted successors and assigns.

         "Independent" when used with respect to any specified Person, means
such a Person who (i) is in fact independent of the Issuer, the Transferor and
any of their respective Affiliates, (ii) is not a director, officer or employee
of the Issuer, the Transferor or any of their respective Affiliates, (iii) is
not a person related to any officer or director of the Issuer, the Transferor or
any of their respective Affiliates, (iv) is not a holder (directly or
indirectly) of more than 10% of any voting securities of the Issuer, the
Transferor or any of their respective Affiliates, and (v) is not connected with
the Issuer, the Transferor or any of their respective Affiliates as an officer,
employee, promoter, underwriter, trustee, partner, director or person performing
similar functions.

         "Independent Certificate" means a certificate or opinion to be
delivered to the Indenture Trustee and the Insurer, so long as it is the
Controlling Party, under the circumstances described in, and otherwise complying
with, the applicable requirements of Section 12.01, made by an Independent
appraiser or other expert appointed by an Issuer Order and approved by the
Indenture Trustee, and, so long as it is the Controlling Party, the Insurer, in
the exercise of reasonable care, and such opinion or certificate shall state
that the signer has read the definition of Independent in this Indenture and
that the signer is Independent within the meaning thereof.

         "Initial Class A-1 Note Balance" means $24,300,000.

         "Initial Class A-2 Note Balance" means $62,525,000.

         "Initial Class A-3 Note Balance" means $40,650,000.

                                       8
Indenture
<PAGE>

         "Initial Class A-4 Note Balance" means $65,812,508.

         "Insurance Premium" means the Premium as defined in the Premium Letter.

         "Insurance Policies" means any physical damage, credit life and credit
accident and health insurance policies or certificates or any vendor's single
interest physical damage insurance policy relating to the Receivables, the
Financed Vehicles or the Obligors.

         "Insurer Optional Deposit" has the meaning given to such term in
Section 5.18 of this Indenture.

         "Issuer" means Bay View 2003-LJ-1 Owner Trust as the issuer of the
Notes under this Indenture and its permitted successors and assigns.

         "Issuer Order" and "Issuer Request" means a written order or request
signed in the name of the Issuer by an Authorized Officer and delivered to the
Indenture Trustee (a copy of which shall be delivered to the Insurer).

         "Majority Noteholders" means, as of any date of determination, the
Holders holding in the aggregate 66 2/3% or more of the outstanding Note Balance
as of such date.

         "Monthly Interest" means, with respect to any Payment Date, the sum of
Class A Monthly Interest and Class I Monthly Interest.

         "Monthly Principal" means for any Payment Date, the sum of the
following: (i) the portion of Available Funds relating to principal for the
Collection Period immediately preceding such Payment Date; (ii) an amount equal
to (x) the aggregate Principal Balances of all Receivables that became
Charged-off Receivables during the related Collection Period, in each case
immediately prior to the charge-off of such Receivable minus (y) any Liquidation
Proceeds allocable to principal with respect to such Charged-off Receivables
received during such Collection Period; (iii) the aggregate amount of Cram Down
Losses on the Receivables incurred during the Collection Period immediately
preceding such Payment Date; and (iv) any portion refunded to Obligors during
the related Collection Period of extended warranty protection plan costs, or of
physical damage, credit life, or disability insurance premiums included in the
Amount Financed.

         "Net WAC Cap" means for any Payment Date, the per annum weighted
average APR for the Receivables based on their respective Principal Balances as
of the beginning of the related Collection Period (prior to giving effect to any
collections of principal made during such Collection Period or writedowns due to
losses) minus the sum of (x) the per annum rates at which the Insurance Premium
and Servicing Fee are calculated, (y) the quotient of (i) the product of (A) the
sum of the Standby Servicer Fee, Indenture Trustee Fee and Owner Trustee Fee due
to be paid on the related Payment Date and (B) twelve, divided by (ii) the
outstanding Principal Balance of the Receivables as of the beginning of the
Collection Period (prior to giving effect to any collections of principal during
such Collection Period or writedowns due to losses) and (z) the quotient of (i)
the product of the interest due to be paid on the related Payment Date on the
Class I Notes and twelve, divided by (ii) the outstanding Principal Balance of
the Receivables

                                       9
Indenture
<PAGE>

as of the beginning of the Collection Period (prior to giving effect to any
collections of principal during such Collection Period or writedowns due to
losses).

         "Note" means a Class A-1 Note, a Class A-2 Note, a Class A-3 Note, a
Class A-4 Note or a Class I Note.

         "Note Balance" means the Class A-1 Note Balance, the Class A-2 Note
Balance, the Class A-3 Note Balance or the Class A-4 Note Balance, depending
upon the context. When the term "Note Balances" is used herein with respect to
an issue relating to the consent of or voting of Noteholders, such term shall
refer only to the classes of Class A Notes then Outstanding such that the Class
A Noteholders will vote as a single class. The Class I Notes shall have no
voting rights.

         "Noteholder" means any Holder of a Note.

         "Note Owner" means, with respect to a Book-Entry Note, the Person who
is the beneficial owner of such Book-Entry Note, as reflected on the books of
the Clearing Agency, or on the books of a Person maintaining an account with
such Clearing Agency (directly as a Clearing Agency Participant or as an
indirect participant, in each case in accordance with the rules of such Clearing
Agency).

         "Note Register" and "Note Registrar" have the respective meanings
specified in Section 2.04.

         "Notional Principal Amount" means, as of any date of determination, for
the purpose of calculating the Class I Monthly Interest, the Original Notional
Principal Amount minus all allocations of Monthly Principal to the PAC Component
as of such date of determination pursuant to Section 8.11 of this Indenture.

         "Officer's Certificate" means a certificate signed by an Authorized
Officer of the Issuer, under the circumstances described in, and otherwise
complying with, the applicable requirements of Section 12.01, and delivered to,
the Indenture Trustee or the Insurer, as applicable.

         "Opinion of Counsel" means one or more written opinions of counsel who
may, except as otherwise expressly provided in this Indenture, be employees of
or counsel to the Transferor or the Issuer and who shall be satisfactory to the
Indenture Trustee and, if addressed to the Insurer, satisfactory to the Insurer
(so long as it is the Controlling Party), and which shall comply with any
applicable requirements of Section 12.01.

         "Original Notional Principal Amount" means $149,344,458.

         "Outstanding" or "Outstanding Notes" means, as of the date of
determination, all Notes theretofore authenticated and delivered under this
Indenture except:

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

                                       10
Indenture
<PAGE>

                           (ii) Notes or portions thereof the payment for which
                  money in the necessary amount has been theretofore deposited
                  with the Indenture Trustee or any Paying Agent 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 for such
                  notice has been made, satisfactory to the Indenture Trustee,
                  has been made); and

                           (iii) Notes in exchange for or in lieu of other Notes
                  which 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; provided, however, that Notes which have been paid
                  with the proceeds of the Policy shall continue to remain
                  Outstanding for purposes of this Indenture until the Insurer
                  has been paid as subrogee hereunder or reimbursed pursuant to
                  the Insurance Agreement as evidenced by a written notice from
                  the Insurer delivered to the Indenture Trustee, and the
                  Insurer shall be deemed to be the Holder thereof to the extent
                  of any payments thereon made by the Insurer; provided,
                  further, that in determining whether the Holders of the
                  requisite Outstanding Class A Note Balance have given any
                  request, demand, authorization, direction, notice, consent or
                  waiver hereunder or under any other Basic Document, Notes
                  owned by the Issuer, the Transferor, BVAC, any other obligor
                  upon the Notes, or any of their respective Affiliates 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 either actually
                  knows to be so owned or has received written notice thereof
                  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 Issuer, the Transferor, BVAC, any other
                  obligor upon the Notes, or any of their respective Affiliates.

         "Owner Trustee" means Wilmington Trust Company, acting not in its
individual capacity but solely as owner trustee under the Trust Agreement on
behalf of the Trust.

         "PAC Component" shall have the meaning specified in Section 8.11.

         "Paying Agent" means the Indenture Trustee or any other Person that
meets the eligibility standards for the Indenture Trustee specified in Section
6.11 and is authorized by the Issuer to make the distributions from the
Collection Account, including payment of principal of or interest on the Notes
on behalf of the Issuer.

         "Plan" means any Person that is (i) an "employee benefit plan" (as
defined in Section 3(3) of ERISA) that is subject to the provisions of Title I
of ERISA, (ii) a "plan" (as defined in Section 4975(e)(1) of the Code) that is
subject to Section 4975 of the Code or (iii) an entity whose underlying assets
include assets of a plan described in (i) or (ii) above by reason of such plan's
investment in the entity.

                                       11
Indenture
<PAGE>

         "Planned Notional Principal Amount" means, for each respective Payment
Date, the corresponding amount specified in the Planned Notional Principal
Amount Schedule.

         "Planned Notional Principal Amount Schedule" means the amortization
schedule of Planned Notional Principal Amount for each respective Payment Date,
attached hereto as Schedule B.

         "Pledged Assets" has the meaning provided in the Granting Clause of
this Indenture.

         "Predecessor Note" means, 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 2.05 in lieu of a mutilated, lost,
destroyed or stolen Note shall be deemed to evidence the same debt as the
mutilated, lost, destroyed or stolen Note.

         "Principal Balance" means, for any Receivable as of any date,

                  (1)      the Amount Financed

                  minus

                  (2)      the sum, without duplication, of

                           (a)      that portion of all Scheduled Receivable
                                    Payments received on or prior to such day
                                    allocable to principal;

                  plus

                           (b)      any portion refunded to obligors of extended
                                    warranty protection plan costs, or of
                                    physical damage, credit life, or disability
                                    insurance premiums included in the Amount
                                    Financed;

                  plus

                           (c)      any payment of the purchase amount with
                                    respect to the Receivable allocable to
                                    principal;

                  plus

                           (d)      the principal portion of any Modified
                                    Schedule Receivable Payments received on or
                                    prior to such day;

                  plus

                           (e)      any prepayment in full or any partial
                                    prepayments applied to reduce the principal
                                    balance of the Receivable;

                  plus

                           (f)      the amount of any Cram Down Loss;

                                       12
Indenture
<PAGE>

         provided, however, that any Charged-off Receivable or Purchased
Receivable will have a Principal Balance of zero as of the last day of the
Collection Period in which such Receivable was charged-off or repurchased, as
applicable.

         "Principal Payment Sequence" means the order in which Monthly Principal
shall be distributed among the Noteholders. The order of distribution of Monthly
Principal is:

         1. to the Class A-1 Noteholders until the Class A-1 Note Balance has
been reduced to zero;

         2. to the Class A-2 Noteholders until the Class A-2 Note Balance has
been reduced to zero;

         3. to the Class A-3 Noteholders until the Class A-3 Note Balance has
been reduced to zero; and

         4. to the Class A-4 Noteholders until the Class A-4 Note Balance has
been reduced to zero;

                  provided, however, in the event the amount of Available Funds
         (together with amounts withdrawn from the Spread Account and/or the
         Policy), are not sufficient to pay the outstanding principal amount of
         any class of Class A Notes on the final maturity date of such class of
         Notes at any time after the occurrence and during the continuance of an
         Insurer Default, the amount of such funds available to pay Class A
         Monthly Principal to Class A Noteholders will be distributed pro rata
         to the Class A Noteholders based upon the relative Note Balance of each
         class of Class A Notes.

         "Proceeding" means any suit in equity, action at law or other judicial
or administrative proceeding.

         "Rating Agency Condition" means, with respect to any action, that (i)
Moody's shall have been given ten Business Days (or such shorter period as is
acceptable to Moody's) prior notice thereof and that Moody's shall have notified
the Transferor, the Servicer, the Insurer and the Issuer in writing that such
action will not result in a qualification, reduction or withdrawal of its
then-current rating of any Class of Notes, (ii) Standard & Poor's shall have
been given ten Business Days (or such shorter period as is acceptable to
Standard & Poor's) prior notice thereof and copies of all documentation relating
to the event requiring such Rating Agency Condition and (iii) each Rating Agency
shall have confirmed to the Insurer that the shadow risk of the Insurer with
respect to the Notes is investment grade.

         "Rating Event" means the qualification, reduction or withdrawal by
either Rating Agency of its then-current rating of any Class of Notes.

         "Record Date" means, with respect to a Payment Date or Redemption Date,
the close of business on the last day of the related Collection Period.

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         "Recoveries of Advances" means, for any Collection Period, all payments
received by the Servicer by or on behalf of Obligors (other than Obligors with
respect to Defaulted Receivables and excluding reimbursements of Outstanding
Advances on Defaulted Receivables pursuant to Section 8.05(a)(ii) hereof) during
such Collection Period representing recoveries of Interest Shortfalls for which
Advances were made for prior Collection Periods.

         "Redemption Date" means the Payment Date specified by the Servicer or
the Issuer pursuant to Section 11.01.

         "Redemption Price" means an amount equal to the fair market value of
the Receivables but not less than the sum of: (i) the unpaid principal amount of
the Class A Notes redeemed plus (ii) accrued and unpaid interest on the Class A
Notes and Class I Notes at the respective interest rates of each Class of Notes
being so redeemed through the end of the related Collection Period plus (iii)
all amounts then due and owing to the Insurer, the Servicer, the Back-up
Servicer, the Standby Servicer, the Collateral Agent, the Indenture Trustee and
the Owner Trustee.

         "Responsible Officer" means, when used with respect to the Indenture
Trustee, any officer within the corporate trust department of the Indenture
Trustee including any director, managing director, vice president, assistant
vice president, assistant treasurer, assistant secretary or any other officer of
the Indenture Trustee customarily performing functions similar to those
performed by the persons who at the time shall be such officers, respectively,
or to whom any corporate trust matter is referred because of his knowledge of
and familiarity with the particular subject.

         "Securities Act" means the Securities Act of 1933, as amended.

         "Servicer Default" means an Event of Servicer Default under the Trust
Agreement.

         "State" means any one of the 50 states of the United States or the
District of Columbia.

         "Termination Date" means the latest of (i) the expiration of the Policy
in accordance with its terms, (ii) the date on which the Insurer shall have
received payment and performance of all amounts and obligations owed to or on
behalf of the Insurer under this Indenture or the Insurance Agreement and (iii)
the date on which the Indenture Trustee shall have received payment and
performance of all amounts and obligations which the Issuer may owe to or on
behalf of the Indenture Trustee for the benefit of the Noteholders under this
Indenture or the Notes.

         "Transferor" means Bay View Transaction Corporation, a Delaware
corporation, in its capacity as the seller of the Receivables under the Trust
Agreement.

         "Trust Agreement" means the Trust and Servicing Agreement, dated as of
the date hereof, between the Transferor, the Servicer, the Standby Servicer, the
Indenture Trustee, the Back-up Servicer and the Owner Trustee.

         "Trust Indenture Act" means the Trust Indenture Act of 1939, as
amended, as in force on the date hereof, unless otherwise specifically provided.

         "Underwriters" means UBS Securities LLC and Barclays Capital Inc.

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         "Underwriter Exemption" means the exemption granted to UBS Securities
LLC, by the U.S. Department of Labor, as amended by Prohibited Transaction
Exemption ("PTE") 97-34, PTE 2000-58 and PTE 2002-41.

         "United States" means the United States of America.

         SECTION 1.02 INCORPORATION BY REFERENCE OF TRUST INDENTURE ACT.
Whenever this Indenture refers to a provision of the Trust Indenture Act, the
provision is incorporated by reference in and made a part of this Indenture. The
following Trust Indenture Act terms used in this Indenture have the following
meanings:

         "Commission" means the Securities and Exchange Commission.

         "Indenture Securities" means the Notes.

         "Indenture Security Holder" means a Noteholder.

         "Indenture to be Qualified" means this Indenture

         "Indenture Trustee" or "Institutional Trustee" means the Indenture
Trustee.

         "Obligor" on the indenture securities means the Issuer and any other
obligor on the indenture securities.

         All other Trust Indenture Act terms used in this Indenture that are
defined by the Trust Indenture Act, defined by Trust Indenture Act reference to
another statute or defined by Commission rule have the meaning assigned to them
by such definitions.

         SECTION 1.03 RULES OF CONSTRUCTION. Unless the context otherwise
requires:

                           (i) a term has the meaning assigned to it;

                           (ii) an accounting term not otherwise defined has the
                  meaning assigned to it in accordance with generally accepted
                  accounting principles as in effect from time to time;

                           (iii) "or" is not exclusive;

                           (iv) "including" means including without limitation;

                           (v) words in the singular include the plural and
                  words in the plural include the singular;

                           (vi) 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; and

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                           (vii) the words "hereof," "herein" and "hereunder"
                  and words of similar import when used in this Indenture shall
                  refer to this Indenture as a whole and not to any particular
                  provision of this Indenture; Section, subsection and Schedule
                  references contained in this Indenture are references to
                  Sections, subsections and Schedules in or to this Indenture
                  unless otherwise specified.

         SECTION 1.04 DIRECTIONS. Any direction required to be given by the
Noteholders shall be given hereunder by the Insurer, unless the Insurer is no
longer the Controlling Party, in which case the Majority Noteholders shall be
entitled to give such direction.

                                   ARTICLE II

                                    THE NOTES

         SECTION 2.01 FORM.

                  (a) The Class A-1 Notes, Class A-2 Notes, Class A-3 Notes,
         Class A-4 Notes and Class I Notes, in each case together with the
         Indenture Trustee's certificate of authentication, shall be in
         substantially the forms set forth as Exhibits A-1, A-2, A-3, A-4 and
         A-5 to this Indenture with such appropriate insertions, omissions,
         substitutions and other variations as are required or permitted by this
         Indenture and may have such letters, numbers or other marks of
         identification and such legends or endorsements placed thereon as may,
         consistently herewith, be determined by the officers executing such
         Notes, as evidenced by their execution of the Notes. Any portion of the
         text of any Note may be set forth on the reverse thereof, with an
         appropriate reference thereto on the face of the Note.

                  (b) The Notes shall be typewritten, printed, lithographed or
         engraved or produced by any combination of these methods (with or
         without steel engraved borders), all as determined by the officers
         executing such Notes, as evidenced by their execution of such Notes.

                  (c) Each Note shall be dated the date of its authentication.
         The terms of the Notes set forth in the exhibits hereto are part of the
         terms of this Indenture.

         SECTION 2.02 EXECUTION, AUTHENTICATION AND DELIVERY.

                  (a) The Notes shall be executed on behalf of the Issuer by the
         Owner Trustee, as provided herein. The signature of any such Authorized
         Officer on the Notes may be manual or facsimile. Notes bearing the
         manual or facsimile signature of individuals who were at any time
         Authorized Officers of the Issuer shall bind the Issuer,
         notwithstanding that such individuals or any of them have ceased to
         hold such offices prior to the authentication and delivery of such
         Notes or did not hold such offices at the date of such Notes.

                  (b) The Indenture Trustee shall, upon receipt of an Issuer
         Order, authenticate and deliver for original issue Notes in the amount
         of the Initial Class A-1 Note Balance, the Initial Class A-2 Note
         Balance, the Initial Class A-3 Note Balance and the Initial

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         Class A-4 Note Balance and in the case of the Class I Note, the
         Original Notional Principal Amount. The aggregate principal amount of
         the Class A Notes outstanding at any time may not exceed such
         respective amounts, except as otherwise provided in Section 2.05. Each
         Note shall be dated the date of its authentication. The Notes shall be
         issuable as registered Notes in the minimum denomination of $1,000 and
         in integral multiples of $1,000 ($1,000 Notional Principal Amount in
         the case of the Class I Notes) in excess thereof, except that one Note
         of each Class may be issued in a different denomination.

                  (c) 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 the forms of Notes attached as exhibits to
         this Indenture executed by the Indenture Trustee by the manual
         signature of one of its authorized signatories, and such certificate
         upon any Note shall be conclusive evidence, and the only evidence, that
         such Note has been duly authenticated and delivered hereunder.

         SECTION 2.03 TEMPORARY NOTES.

                  (a) Pending the preparation of Definitive Notes, the Issuer
         may execute, and upon receipt of an Issuer Order the Indenture Trustee
         shall authenticate and deliver, temporary Notes that are printed,
         lithographed, typewritten, mimeographed or otherwise produced, of the
         tenor of the Definitive Notes in lieu of which they are issued and with
         such variations not inconsistent with the terms of this Indenture as
         the officers executing such Notes may determine, as evidenced by their
         execution of such Notes.

                  (b) If temporary Notes are issued, the Issuer will cause
         Definitive Notes to be prepared without unreasonable delay. After the
         preparation of Definitive Notes, the temporary Notes shall be
         exchangeable for Definitive Notes upon surrender of the temporary Notes
         at the office or agency of the Issuer to be maintained as provided in
         Section 3.02, without charge to the Holder. Upon surrender for
         cancellation of any one or more temporary Notes, the Issuer shall
         execute and the Indenture Trustee shall authenticate and deliver in
         exchange therefor a like tenor and principal amount of Definitive Notes
         of authorized denominations. Until so exchanged, the temporary Notes
         shall in all respects be entitled to the same benefits under this
         Indenture as Definitive Notes.

         SECTION 2.04 REGISTRATION; REGISTRATION OF TRANSFER AND EXCHANGE.

                  (a) The Issuer shall cause to be kept a register (the "Note
         Register") in which, subject to such reasonable regulations as it may
         prescribe, the Issuer shall provide for the registration of Notes and
         the registration of transfers of Notes. The Indenture Trustee shall be
         "Note Registrar" for the purpose of registering Notes and transfers of
         Notes as herein provided. Upon any resignation of any Note Registrar,
         the Issuer shall promptly appoint a successor or, if it elects not to
         make such an appointment, assume the duties of Note Registrar.

                                       17
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                  (b) If a Person other than the Indenture Trustee is appointed
         by the Issuer as Note Registrar, the Issuer will give the Indenture
         Trustee and the Insurer 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 and the Insurer shall
         have the right to rely upon a certificate executed on behalf of the
         Note Registrar by an Executive Officer thereof as to the names and
         addresses of the Noteholders and the principal amounts and number of
         such Notes.

                  (c) Upon surrender for registration of transfer of any Note at
         the office or agency of the Issuer to be maintained as provided in
         Section 3.02, the Issuer shall execute, and the Indenture Trustee shall
         authenticate and the Noteholder shall obtain from the Indenture
         Trustee, in the name of the designated transferee or transferees, one
         or more new Notes of the same Class in any authorized denominations, of
         a like aggregate principal amount.

                  (d) At the option of the Holder, Notes may be exchanged for
         other Notes of the same Class in any authorized denominations, of a
         like aggregate principal amount, upon surrender of the Notes to be
         exchanged at such office or agency. Whenever any Notes are so
         surrendered for exchange, the Issuer shall execute, and the Indenture
         Trustee shall authenticate and the Noteholder shall obtain from the
         Indenture Trustee, the Notes which the Noteholder making the exchange
         is entitled to receive.

                  (e) All Notes issued upon any registration of transfer or
         exchange of Notes shall be the valid obligations of the Issuer,
         evidencing the same debt, and entitled to the same benefits under this
         Indenture, as the Notes surrendered upon such registration of transfer
         or exchange.

                  (f) Every Note presented or surrendered for registration of
         transfer or exchange shall be duly endorsed by, or be accompanied by a
         written instrument of transfer in form satisfactory to the Indenture
         Trustee duly executed by, the Holder thereof or such Holder's attorney
         duly authorized in writing, with such signature guaranteed by a
         commercial bank or trust company located, or having a correspondent
         located, in the city of New York or the city in which the Corporate
         Trust Office is located, or by a member firm of a national securities
         exchange, and such other documents as the Indenture Trustee may
         require.

                  (g) No service charge shall be made to a Holder for any
         registration of transfer or exchange of Notes, but the Issuer or the
         Indenture Trustee may require payment of a sum sufficient to cover any
         tax or other governmental charge that may be imposed in connection with
         any registration of transfer or exchange of Notes, other than exchanges
         pursuant to Section 2.03 or 10.06 not involving any transfer.

                  (h) The preceding provisions of this Section notwithstanding,
         the Issuer shall not be required to make and the Note Registrar need
         not register transfers or exchanges of Notes selected for redemption or
         of any Note for a period of 15 days preceding the due date for any
         payment with respect to the Note.

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         SECTION 2.05 MUTILATED, DESTROYED, LOST OR STOLEN NOTES.

                  (a) If (i) any mutilated Note is surrendered to the Indenture
         Trustee, or the Indenture Trustee receives evidence to its satisfaction
         of the destruction, loss or theft of any Note, and (ii) there is
         delivered to the Indenture Trustee and the Insurer (unless an Insurer
         Default shall have occurred and be continuing) such security or
         indemnity as may be required by them to hold the Issuer, the Indenture
         Trustee and the Insurer harmless, then, in the absence of notice to the
         Issuer, the Note Registrar or the Indenture Trustee that such Note has
         been acquired by a bona fide purchaser, the Issuer shall execute and
         upon its request the Indenture Trustee shall authenticate and deliver,
         in exchange for or in lieu of any such mutilated, destroyed, lost or
         stolen Note, a replacement Note of the same Class; provided, however,
         that if any such destroyed, lost or stolen Note, but not a mutilated
         Note, shall have become or within seven days shall be due and payable,
         or shall have been called for redemption, instead of issuing a
         replacement Note, the Issuer may pay such destroyed, lost or stolen
         Note when so due or payable or upon the Redemption Date without
         surrender thereof. If, after the delivery of such replacement Note or
         payment of a destroyed, lost or stolen Note pursuant to the proviso to
         the preceding sentence, a bona fide purchaser of the original Note in
         lieu of which such replacement Note was issued presents for payment
         such original Note, the Issuer, the Insurer and the Indenture Trustee
         shall be entitled to recover such replacement Note (or such payment)
         from the Person to whom it was delivered or any Person taking such
         replacement Note from such Person to whom such replacement Note was
         delivered or any assignee of such Person, 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 expense
         incurred by the Issuer, the Insurer or the Indenture Trustee in
         connection therewith.

                  (b) Upon the issuance of any replacement Note under this
         Section, the Issuer or the Indenture Trustee may require the payment by
         the Holder of such Note 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
         Indenture Trustee and/or the Note Registrar) connected therewith.

                  (c) Every replacement Note issued pursuant to this Section in
         replacement of any mutilated, destroyed, lost or stolen Note shall
         constitute an original additional contractual obligation of the Issuer,
         whether or not the mutilated, 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.

                  (d) The provisions of this Section 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. In the case of the registration of transfer of any Note,
         the Issuer, the Indenture Trustee, the Insurer and any of their
         respective agents may treat the Person in whose name any Note is
         registered (as of the day of determination) as the owner of such Note
         for the purpose of receiving payments of principal of and interest, if
         any, on such Note and for all other purposes whatsoever, whether or not
         such Note be

                                       19
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         overdue, and none of the Issuer, the Insurer, the Indenture Trustee nor
         any of their respective agents shall be affected by notice to the
         contrary.

         SECTION 2.06 PAYMENT OF PRINCIPAL AND INTEREST; DEFAULTED INTEREST.

                  (a) Each Class of Notes shall accrue interest as provided in
         this Indenture at the related interest rate for such Class, and such
         interest shall be payable on each Payment Date as specified herein,
         subject to Section 3.01. Interest accrued on any Note but not paid on
         any Payment Date will be due on the immediately succeeding Payment
         Date, together with, to the extent permitted by applicable law,
         interest on such shortfall at the related interest rate. Any
         installment of interest or principal, if any, payable on any Note which
         is punctually paid or duly provided for by the Issuer on the applicable
         Payment Date shall be paid to the Person in whose name such Note (or
         one or more Predecessor Notes) is registered on the Record Date, by
         check mailed first-class, postage prepaid to such Person's address as
         it appears on the Note Register on such Record Date, except that,
         unless Definitive Notes have been issued pursuant to Section 2.10, with
         respect to Notes registered on the Record Date in the name of the
         nominee of the Clearing Agency (initially, such nominee to be Cede &
         Co.), payment will be made by wire transfer in immediately available
         funds to the account designated by such nominee and except for the
         final installment of principal payable with respect to such Note on a
         Payment Date, a Redemption Date or on the related Final Maturity Date,
         as the case may be (and except for the Redemption Price for any Note
         called for redemption pursuant to Section 11.01), which shall be
         payable as provided below. The funds represented by any such checks
         returned undelivered shall be held in accordance with Section 3.03.

                  (b) The principal of each Class A Note shall be payable on
         each Payment Date to the extent provided in this Indenture and in the
         form of the related Note set forth as an Exhibit hereto.
         Notwithstanding the foregoing, the entire unpaid principal amount of
         the Notes of a Class of Class A Notes shall be due and payable, if not
         previously paid, on the earlier of:

                           (i) the Final Maturity Date of such Class;

                           (ii) the Redemption Date;

                           (iii) if (A) an Event of Default shall have occurred
                  and be continuing, and (B) an Insurer Default shall not have
                  occurred and be continuing, the date on which the Insurer
                  shall have declared the Notes to be immediately due and
                  payable in the manner provided in Section 5.02; or

                           (iv) if (A) an Event of Default shall have occurred
                  and be continuing and (B) an Insurer Default shall have
                  occurred and be continuing or the Policy shall have expired in
                  accordance with its terms, the date on which the Majority
                  Noteholders shall have declared the Notes to be immediately
                  due and payable in the manner provided in Section 5.02.

                  All principal payments on each Class of Notes shall be made
         pro rata to the Noteholders of such Class entitled thereto. The
         Indenture Trustee shall notify the Person

                                       20
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         in whose name a Note is registered at the close of business on the
         Record Date preceding the Payment Date on which the Issuer expects that
         the final installment of principal of and interest on such Note will be
         paid. Such notice shall be mailed within five Business Days of such
         Payment Date (or, in the case of Notes registered in the name of Cede &
         Co., as nominee of DTC, such notice shall be provided within one
         Business Day of such Payment Date) or receipt of notice of termination
         of the Trust pursuant to Section 16.01 of the Trust Agreement and shall
         specify that such final installment will be payable only upon
         presentation and surrender of such Note and shall specify the place
         where such Note may be presented and surrendered for payment of such
         installment. Notices in connection with redemptions of Notes shall be
         mailed to Noteholders as provided in Section 11.02. In addition, the
         Administrator shall notify the Insurer and the Rating Agencies upon the
         final payment of interest and principal of each Class of Notes, and
         upon the termination of the Trust, in each case pursuant to the
         Administration Agreement.

                  (c) In furtherance of and in limitation of the foregoing, each
         Noteholder, by its acceptance of a Note, specifically acknowledges that
         it has no right to or interest in any monies at anytime held pursuant
         to the Spread Account Agreement prior to the release of such monies
         pursuant to Section 3.03(b) of the Spread Account Agreement, such
         monies being held in trust for the benefit of the Secured Parties (as
         defined therein).

                  (d) Promptly following the date on which all principal of and
         interest on the Notes has been paid in full and the Notes have been
         surrendered to the Indenture Trustee, the Indenture Trustee shall, if
         the Insurer has paid any amount in respect of the Notes under the
         Policy or otherwise which has not been reimbursed to it, deliver such
         surrendered Notes to the Insurer.

         SECTION 2.07 CANCELLATION. All Notes surrendered for payment,
registration of transfer, exchange or redemption shall, if surrendered to any
Person other than the Indenture Trustee, be delivered to the Indenture Trustee
and shall be promptly cancelled by the Indenture Trustee. The Issuer may at any
time deliver to the Indenture Trustee for cancellation any Notes previously
authenticated and delivered hereunder which the Issuer may have acquired in any
manner whatsoever, and all Notes so delivered shall be promptly cancelled by the
Indenture Trustee. No Notes shall be authenticated in lieu of or in exchange for
any Notes cancelled as provided in this Section, except as expressly permitted
by this Indenture. All cancelled Notes may be held or disposed of by the
Indenture Trustee in accordance with its standard retention or disposal policy
as in effect at the time unless the Issuer shall direct by an Issuer Order that
they be destroyed or returned to it; provided that such Issuer Order is timely
and the Notes have not been previously disposed of by the Indenture Trustee.

         SECTION 2.08 BOOK-ENTRY NOTES. The Notes, upon original issuance, will
be issued in the form of a typewritten Note or Notes representing the Book-Entry
Notes, to be delivered to DTC, the initial Depository, by, or on behalf of, the
Issuer (except for any fractional units which cannot be accepted by DTC). Such
Notes shall initially be registered on the Note Register in the name of Cede &
Co., the nominee of the initial Clearing Agency, and no Note Owner will receive
a Definitive Note representing such Note Owner's interest in such Note,

                                       21
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except as provided in Section 2.10. Unless and until definitive, fully
registered Notes (the "Definitive Notes") have been issued to Note Owners
pursuant to Section 2.10:

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

                           (ii) the Note Registrar and the Indenture Trustee
                  shall be entitled to deal with the Clearing Agency for all
                  purposes of this Indenture (including the payment of principal
                  of and interest on the Notes and the giving of instructions or
                  directions hereunder) as the sole holder of the Notes, and
                  shall have no obligation to the Note Owners;

                           (iii) to the extent that the provisions of this
                  Section conflict with any other provisions of this Indenture,
                  the provisions of this Section shall control

                           (iv) the rights of Note Owners shall be exercised
                  only through the Clearing Agency and shall be limited to those
                  established by law and agreements between such Note Owners and
                  the Clearing Agency and/or the Clearing Agency Participants.
                  Pursuant to the Depository Agreement, unless and until
                  Definitive Notes are issued pursuant to Section 2.10, the
                  Clearing Agency will make book-entry transfers among the
                  Clearing Agency Participants and receive and transmit payments
                  of principal of and interest on the Notes to such Clearing
                  Agency Participants; and

                           (v) whenever this Indenture requires or permits
                  actions to be taken based upon instructions or directions of
                  Noteholders evidencing a specified percentage of the Note
                  Balances, the Clearing Agency shall be deemed to represent
                  such percentage only to the extent that it has received
                  instructions to such effect from Note Owners and/or Clearing
                  Agency Participants owning or representing, respectively, such
                  required percentage of the beneficial interest in the Notes
                  and has delivered such instructions to the Indenture Trustee.

         SECTION 2.09 NOTICES TO CLEARING AGENCY. Whenever a notice or other
communication to the Noteholders is required under this Indenture, unless and
until Definitive Notes shall have been issued to Note Owners pursuant to Section
2.10, the Indenture Trustee shall give all such notices and communications
specified herein to be given to Noteholders to the Clearing Agency, and shall
have no obligation to the Note Owners.

         SECTION 2.10 DEFINITIVE NOTES.

                  (a) If (i) the Administrator advises the Indenture Trustee in
         writing that the Clearing Agency is no longer willing or able to
         properly discharge its responsibilities as described in the Depository
         Agreement, and the Administrator or the Indenture Trustee is unable to
         locate a qualified successor to which the Insurer (unless the Insurer
         is not the Controlling Party) has provided its prior written consent,
         or (ii) after the occurrence of an Event of Default or a Servicer
         Default, the Controlling Party advises the Indenture Trustee through
         the Clearing Agency Participants in writing that the continuation of a
         book-entry system through the Clearing Agency is no longer in the best
         interests of the related Note Owners, then the Indenture Trustee shall
         notify all Note Owners, through the

                                       22
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         Clearing Agency, and the Insurer of the availability of Definitive
         Notes to Note Owners requesting the same. Upon surrender to the
         Indenture Trustee of the Note or Notes evidencing the Book Entry Notes
         by the Clearing Agency, accompanied by registration instructions from
         the Clearing Agency, the Issuer shall execute and the Indenture Trustee
         shall authenticate the Definitive Notes and deliver such Definitive
         Notes in accordance with the instructions of the Clearing Agency. None
         of the Issuer, the Note Registrar, the Insurer or 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 the issuance of Definitive Notes of a Class, the
         Indenture Trustee shall recognize the Holders of the Definitive Notes
         as Noteholders hereunder.

                  (b) The Indenture Trustee shall not be liable if the Indenture
         Trustee or the Administrator is unable to locate a qualified successor
         Clearing Agency. The Definitive Notes shall be typewritten, printed,
         lithographed or engraved or produced by any combination of these
         methods (with or without steel engraved borders), all as determined by
         the officers executing such Notes, as evidenced by their execution of
         such Notes.

         SECTION 2.11 RELEASE OF PLEDGED ASSETS. Subject to Section 12.01 and
the terms of the Basic Documents, the Indenture Trustee shall release property
from the lien of this Indenture only upon receipt by the Indenture Trustee and
the Insurer of an Issuer Request accompanied by an Officer's Certificate, an
Opinion of Counsel and Independent Certificates in accordance with Sections
314(c) and 314(d)(1) of the Trust Indenture Act or an Opinion of Counsel in lieu
of such Independent Certificates to the effect that the Trust Indenture Act does
not require any such Independent Certificates.

         SECTION 2.12 TAX TREATMENT. The Issuer has entered into this Indenture,
and the Notes will be 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 Issuer secured by the Pledged Assets. The Issuer and the
Indenture Trustee, by entering into this Indenture, and each Noteholder, by its
acceptance of its Note (and each Note Owner by its acceptance of an interest in
the applicable Book-Entry Note), agree to treat the Notes for federal, state and
local income, single business and franchise tax purposes as indebtedness of the
Issuer.

         SECTION 2.13 ERISA. Each purchaser or transferee of a Note that is a
Benefit Plan (as such term is defined in ERISA) shall be deemed to have
represented that the relevant conditions for exemptive relief under Prohibited
Transaction Class Exemption ("PTCE") 84-14, PTCE 90-1, PTCE 91-38, PTCE 95-60 or
PTCE 96-23, the Underwriter Exemption or other applicable exemption providing
substantially similar relief have been satisfied.

         SECTION 2.14 CUSIP NUMBERS. The Issuer in issuing the notes may use
"CUSIP" numbers (if then generally in use), and, if so, the Indenture Trustee
may use such "CUSIP" numbers in notices of redemption as a convenience to the
Holders; provided that any such notice may state that no representation is made
as to the correctness of such numbers either as printed on the Notes or as
contained in any notice of a redemption and that reliance may be placed only on
the other identification numbers printed on the Notes, and any such redemption
shall not be affected by any defect in or omission of such numbers. The Issuer
will promptly notify the Indenture Trustee of any change in the "CUSIP" numbers.

                                       23
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                                   ARTICLE III

                                    COVENANTS

         SECTION 3.01 PAYMENT OF PRINCIPAL AND INTEREST. The Issuer will duly
and punctually pay Monthly Interest and Monthly Principal on the Notes in
accordance with the terms of the Notes and this Indenture. Without limiting the
foregoing, subject to Section 8.05(a), the Issuer will cause to be distributed
the amount of Available Funds on each Payment Date. The Issuer will cause the
deposits received on Receivables to be deposited into the Collection Account
pursuant to the Trust Agreement for the benefit of the Noteholders and the
Insurer to the extent expressly set forth herein or the other Basic Documents.
Amounts properly withheld under the Code by any Person from a payment of
interest and/or principal to any Noteholder shall be considered as having been
paid by the Issuer to such Noteholder for all purposes of this Indenture.

         SECTION 3.02 MAINTENANCE OF OFFICE OR AGENCY. The Issuer will maintain
or will cause the Administrator or the Indenture Trustee to maintain in the City
of New York, an office or agency where Notes may be surrendered for registration
of transfer or exchange, and where notices and demands to or upon the Issuer in
respect of the Notes and this Indenture may be served. The Issuer hereby
initially appoints CT Corporation System, 111 Eighth Avenue, New York, New York
10011 to serve as its agent for the foregoing purposes. The Issuer will give
prompt written notice to the Indenture Trustee and the Insurer of the location,
and of any change in the location, of any such office or agency. If at any time
the Issuer shall fail to maintain any such office or agency or shall fail to
furnish the Indenture Trustee with the address thereof, such surrenders may be
made or served at the Corporate Trust Office, and the Issuer hereby appoints the
Indenture Trustee as its agent to receive all such surrenders.

         SECTION 3.03 MONEY FOR PAYMENTS TO BE HELD IN TRUST.

                  (a) As provided in Section 9.02 of the Trust Agreement, all
         payments of amounts due and payable with respect to any Notes that are
         to be made from amounts withdrawn from the Collection Account and the
         Payahead Account shall be made on behalf of the Issuer by the Indenture
         Trustee or by another Paying Agent, and no amounts so withdrawn from
         the Collection Account and the Payahead Account for payments of Notes
         shall be paid over to the Issuer except as provided in this Section.

                  (b) The Notes shall be non-recourse obligations of the Issuer
         and shall be limited in right of payment to amounts available from the
         Pledged Assets, the Spread Account and the Policy as provided in this
         Indenture, the Spread Account Agreement and the Policy and the Issuer
         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 paragraph, the provisions of this
         paragraph shall control.

                  (c) The Insurer will cause each Paying Agent other than the
         Indenture Trustee to execute and deliver to the Indenture Trustee and
         the Insurer an instrument in which such Paying Agent shall agree with
         the Indenture Trustee (and if the Indenture Trustee

                                       24
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<PAGE>

         acts as Paying Agent, it hereby so agrees), subject to the provisions
         of this Section, that such Paying Agent will:

                           (i) 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 by the Paying Agent or otherwise disposed of
                  as herein provided and pay such sums to such Persons as herein
                  provided;

                           (ii) give the Indenture Trustee and the Insurer
                  notice of any default by the Issuer (or any other obligor upon
                  the Notes) in the making of any payment required to be made
                  with respect to the Notes;

                           (iii) at anytime during the continuance of any such
                  default, upon the written request of the Indenture Trustee, or
                  so long as it is the Controlling Party, the Insurer, forthwith
                  pay to the Indenture Trustee all sums so held in trust by such
                  Paying Agent;

                           (iv) immediately resign as Paying Agent and forthwith
                  pay to the Indenture Trustee all sums held by it in trust for
                  the payment of Notes if at any time it ceases to meet the
                  standards required to be met by a Paying Agent at the time of
                  its appointment; and

                           (v) comply with all requirements of the Code with
                  respect to the 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.

                  (d) The Issuer may at any time, for the purpose of obtaining
         the satisfaction and discharge of this Indenture or for any other
         purpose, by Issuer Order direct any Paying Agent to pay to the
         Indenture Trustee all sums held in trust by such Paying Agent, such
         sums to be held by the Indenture Trustee upon the same trusts as those
         upon which the sums were held by such Paying Agent; and upon such
         payment by any Paying Agent to the Indenture Trustee, such Paying Agent
         shall be released from all further liability with respect to such sums.

         Subject to applicable laws with respect to escheat of funds, 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 years
after such amount has become due and payable shall be discharged from such trust
and be paid to the Issuer upon receipt of an Issuer Request with the prior
written consent of the Insurer (so long as the Insurer is the Controlling
Party), and the Holder of such Note shall thereafter, as an unsecured general
creditor, look only to the Issuer for payment thereof, and all liability of the
Indenture Trustee or such Paying Agent with respect to such trust money shall
thereupon cease; provided, however, that if such money or any portion thereof
had been previously deposited by the Insurer or the Indenture Trustee for the
payment of principal or interest on the Notes, to the extent any amounts are
owing to the Insurer in accordance with the terms of the Insurance Agreement,
such amounts shall be paid promptly

                                       25
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to the Insurer upon the Indenture Trustee's receipt of a written request by the
Insurer to such effect; and provided, further, that the Indenture Trustee or
such Paying Agent, before being required to make any such repayment, shall at
the expense and direction of the Issuer cause to be published once, in a
newspaper published in the English language, customarily published on each
Business Day and of general circulation in the City of New York, notice that
such money remains unclaimed and that, after a date specified therein, which
shall not be less than 30 days from the date of such publication, any unclaimed
balance of such money then remaining will be repaid to or for the account of the
Issuer. The Indenture Trustee may also adopt and employ, at the expense of the
Issuer, any other 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 monies due and payable but not claimed is determinable from the
records of the Indenture Trustee or of any Paying Agent, at the last address of
record for each such Holder).

         SECTION 3.04 EXISTENCE. The Issuer will keep in full effect its
existence, rights and franchises as a statutory trust under the laws of the
State of Delaware (unless it becomes, or any successor Issuer hereunder is or
becomes, organized under the laws of any other state or of the United States, in
which case the Issuer will keep in full effect its existence, rights and
franchises under the laws of such other jurisdiction) 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 Pledged Assets.

         SECTION 3.05 PROTECTION OF TRUST ESTATE. The Issuer intends the
security interest Granted pursuant to this Indenture in favor of the Indenture
Trustee on behalf of the Noteholders to be prior to all other liens in respect
of the Pledged Assets, and the Issuer shall take all actions necessary to obtain
and maintain, for the benefit of the Indenture Trustee on behalf of the
Noteholders and, to the extent expressly set forth herein or in the other Basic
Documents, the Insurer, so long as the Insurance Agreement is in effect, a first
lien on and a first priority, perfected security interest in the Pledged Assets.
The Issuer 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, all as prepared by the
Servicer and delivered to the Issuer, and will take such other action necessary
or advisable to:

                           (i) Grant more effectively all or any portion of the
                  Pledged Assets;

                           (ii) maintain or preserve the lien and security
                  interest (and the priority thereof) created by this Indenture
                  in favor of the Indenture Trustee for the benefit of the
                  Noteholders to the extent expressly set forth herein or the
                  other Basic Documents and, to the extent expressly set forth
                  herein and so long as it is the Controlling Party, the
                  Insurer, 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 Pledged Assets;

                                       26
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<PAGE>

                           (v) preserve and defend title to the Pledged Assets
                  and the rights of the Indenture Trustee, the Noteholders and,
                  to the extent expressly set forth herein and so long as it is
                  the Controlling Party, the Insurer, in such Pledged Assets
                  against the claims of all persons and parties; or

                           (vi) pay all taxes or assessments levied or assessed
                  upon the Pledged Assets when due.

The Issuer hereby designates the Indenture Trustee (without any obligation) its
agent and attorney-in-fact to execute all financing statements, continuation
statements or other instruments required to be executed pursuant to this
Section.

         SECTION 3.06 OPINIONS AS TO PLEDGED ASSETS.

                  (a) Promptly after the execution and delivery of this
         Indenture, the Issuer shall furnish to the Indenture Trustee and the
         Insurer an Opinion of Counsel to the effect that, in the opinion of
         such counsel, either (i) all UCC financing statements and continuation
         statements have been executed (or otherwise authorized) and filed that
         are necessary to create and continue the Indenture Trustee's first
         priority perfected security interest in the Pledged Assets for the
         benefit of the Noteholders and, to the extent expressly set forth
         herein or the other Basic Documents, the Insurer, and reciting the
         details of such filings or referring to prior Opinions of Counsel in
         which such details are given, or (ii) no such action shall be necessary
         to perfect such security interest.

                  (b) Within 90 days after the beginning of each calendar year
         beginning with the first calendar year beginning more than three months
         after the Cut-off Date, the Issuer shall furnish to the Indenture
         Trustee and the Insurer an Opinion of Counsel, dated as of a date
         during such 90-day period, to the effect that, in the opinion of such
         counsel, either (i) all UCC financing statements and continuation
         statements have been executed (or otherwise authorized) and filed that
         are necessary to create and continue the Indenture Trustee's first
         priority perfected security interest in the Pledged Assets for the
         benefit of the Noteholders and, to the extent expressly set forth
         herein or the other Basic Documents, the Insurer, and reciting the
         details of such filings or referring to prior Opinions of Counsel in
         which such details are given, or (ii) no such action shall be necessary
         to perfect such security interest.

         SECTION 3.07 PERFORMANCE OF OBLIGATIONS; SERVICING OF RECEIVABLES.

                  (a) The Issuer will 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 material covenants or
         obligations under any instrument or agreement included in the Pledged
         Assets or that would result in the amendment, hypothecation,
         subordination, termination or discharge of, or impair the validity or
         effectiveness of, any such instrument or agreement, except as expressly
         provided in the Basic Documents or such other instrument or agreement.

                  (b) The Issuer may contract with or otherwise obtain the
         assistance of other Persons (including, without limitation, the
         Administrator under the Administration

                                       27
Indenture
<PAGE>

         Agreement) acceptable to the Insurer to assist it in performing its
         duties and obligations under this Indenture, and any performance of
         such duties by a Person identified to the Indenture Trustee and the
         Insurer in an Officer's Certificate shall be deemed to be action taken
         by the Issuer. The Indenture Trustee shall not be responsible for the
         action or inaction of the Servicer or the Administrator. Initially, the
         Issuer has contracted with BVAC as the Administrator to assist the
         Issuer in performing its duties under this Indenture.

                  (c) The Issuer will punctually perform and observe all of its
         obligations and agreements contained in this Indenture, the other Basic
         Documents and in the instruments and agreements included in the Pledged
         Assets, including but not limited to filing or causing to be filed all
         UCC financing statements and continuation statements required to be
         filed by the terms of this Indenture and the Trust Agreement in
         accordance with and within the time periods provided for herein and
         therein. Except as otherwise expressly provided therein, the Issuer
         shall not waive, amend, modify, supplement or terminate any Basic
         Document or any provision thereof without the consent of the Indenture
         Trustee and the Insurer (so long as the Insurer is the Controlling
         Party).

                  (d) If the Issuer shall have actual knowledge of the
         occurrence of a Servicer Default, the Issuer shall promptly notify the
         Indenture Trustee, the Insurer and each Rating Agency thereof, and
         shall specify in such notice the action, if any, the Issuer is taking
         with respect to such default. If a Servicer Default shall arise from
         the failure of the Servicer to perform any of its duties or obligations
         under the Trust Agreement with respect to the Receivables, the Issuer
         shall take all reasonable steps available to it to remedy such failure.

                  (e) Upon the resignation or termination of the Servicer
         pursuant to Sections 13.05 or 14.01 of the Trust Agreement, the Standby
         Servicer shall automatically become Servicer, unless the Controlling
         Party directs otherwise, as provided in Section 14.03 of the Trust
         Agreement. If the Backup Servicer shall succeed to the Servicer's
         duties as servicer of the Receivables as provided in Section 14.03 of
         the Trust Agreement, it shall do so in its individual capacity and not
         in its capacity as Indenture Trustee and, accordingly, the provisions
         of Article VI shall be inapplicable to the Indenture Trustee in its
         duties as the successor to the Servicer and the servicing of the
         Receivables. In case the Back-up Servicer shall become successor to the
         Servicer under the Trust Agreement, the Back-up Servicer shall be
         entitled to appoint as Servicer one of its Affiliates or with the
         consent of the Insurer (so long as it is the Controlling Party), which
         consent shall not be unreasonably withheld, any other agent designated
         by the Back-up Servicer, provided that the Back-up Servicer shall not
         be liable for the actions and omissions of any such Affiliate or agent
         in such capacity as successor Servicer appointed with due care.

                  (f) Upon any termination of the Servicer's rights and powers
         pursuant to the Trust Agreement, the Issuer shall promptly notify the
         Indenture Trustee and the Insurer. As soon as a successor Servicer is
         appointed, the Issuer shall notify the Indenture Trustee and the
         Insurer of such appointment, specifying in such notice the name and
         address of such successor Servicer.

                                       28
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<PAGE>

                  (g) The Issuer agrees that it will not waive timely
         performance or observance by the Servicer or the Transferor of their
         respective duties under the Basic Documents: (i) without the prior
         consent of the Insurer (so long as it is the Controlling Party) or (ii)
         if the effect thereof would adversely affect the Noteholders.

         SECTION 3.08 NEGATIVE COVENANTS. Until the Termination Date, the Issuer
shall not:

                           (i) except as expressly permitted by the Basic
                  Documents, sell, transfer, exchange or otherwise dispose of
                  any of the properties or assets of the Issuer, including those
                  included in the Pledged Assets, unless directed to do so by
                  the Indenture Trustee with the prior written consent of the
                  Insurer (so long as the Insurer is the Controlling Party);

                           (ii) claim any credit on, or make any deduction from
                  the principal or interest payable in respect of, the Notes
                  (other than amounts properly withheld from such payments under
                  the Code or applicable state law) or assert any claim against
                  any present or former Noteholder by reason of the payment of
                  the taxes levied or assessed upon any part of the Pledged
                  Assets;

                           (iii) (A) permit the validity or effectiveness of
                  this Indenture to be impaired, or permit the lien created by
                  this Indenture to be amended, hypothecated, subordinated,
                  terminated or discharged, or permit any Person to be released
                  from any covenants or obligations with respect to the Notes
                  under this Indenture except as may be expressly permitted
                  hereby, (B) permit any lien, charge, excise, claim, 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 Pledged Assets or any part thereof or
                  any interest therein or the proceeds thereof (other than tax
                  liens, mechanics' liens and other liens that arise by
                  operation of law, in each case on a Financed Vehicle and
                  arising solely as a result of an action or omission of the
                  related Obligor), (C) permit the lien created by this
                  Indenture not to constitute a valid first priority security
                  interest (other than with respect to any such tax, mechanics'
                  or other lien) in the Pledged Assets, or (D) amend, modify or
                  fail to comply with the provisions of the Basic Documents,
                  prior to the Termination Date, without the prior written
                  consent of the Insurer, so long as the Insurer is the
                  Controlling Party;

                           (iv) engage in any business or activity other than as
                  permitted by the Trust Agreement;

                           (v) incur or assume any indebtedness or guarantee any
                  indebtedness of any Person, except for such indebtedness
                  incurred pursuant to Section 3.10; or

                           (vi) dissolve or liquidate in whole or in part or
                  merge or consolidate with any other Person, other than in
                  compliance with Section 3.10.

         SECTION 3.09 ANNUAL STATEMENT AS TO COMPLIANCE. The Issuer will deliver
to the Indenture Trustee, the Rating Agencies and the Insurer, on or before
March 15 of each year,

                                       29
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<PAGE>

beginning on March 15, 2004, an Officer's Certificate dated as of December 31 of
the preceding year stating, as to the Authorized Officer signing such Officer's
Certificate, that:

                           (i) a review of the activities of the Issuer during
                  such year and of performance 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 Issuer has complied with
                  all conditions and covenants under this Indenture throughout
                  such year, or, if there has been a default in the compliance
                  of any such condition or covenant, specifying each such
                  default known to such Authorized Officer and the nature and
                  status thereof.

         SECTION 3.10 ISSUER MAY CONSOLIDATE, ETC. ONLY ON CERTAIN CONDITIONS.

                  (a) The Issuer shall not consolidate or merge with or into any
         other Person, unless:

                           (i) the Person (if other than the Issuer) formed by
                  or surviving such consolidation or merger shall (A) be a
                  Person organized and existing under the laws of the United
                  States or any State, (B) shall expressly assume, by an
                  indenture supplemental hereto, executed and delivered to the
                  Indenture Trustee and the Insurer, in form and substance
                  satisfactory to the Indenture Trustee and the Insurer (so long
                  as it is the Controlling Party), the due and punctual payment
                  of the principal of and interest on all Notes and the
                  performance or observance of every agreement and covenant of
                  this Indenture and each other Basic Document on the part of
                  the Issuer to be performed or observed, all as provided
                  herein, and (C) expressly agree by means of such supplemental
                  indenture that such Person (or if a group of Persons, then one
                  specified person) shall make all filings, with the Commission
                  ( and any other appropriate Person) required by the Exchange
                  Act in connection with the Notes;

                           (ii) immediately after giving effect to such
                  consolidation or merger, no Default or Event of Default shall
                  have occurred and be continuing;

                           (iii) the Rating Agency Condition shall have been
                  satisfied with respect to such consolidation or merger;

                           (iv) the Issuer shall have received an Opinion of
                  Counsel which shall be delivered to and shall be satisfactory
                  to the Indenture Trustee and the Insurer (so long as the
                  Insurer is the Controlling Party) to the effect that such
                  consolidation or merger will not have any material adverse tax
                  consequence to the Trust, the Insurer, any Noteholder or any
                  Certificateholder;

                           (v) any action as is necessary to maintain the lien
                  and security interest created by this Indenture shall have
                  been taken;

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                           (vi) the Issuer shall have delivered to the Indenture
                  Trustee and the Insurer (so long as the Insurer is the
                  Controlling Party) an Officer's Certificate and an Opinion of
                  Counsel (which shall describe the actions taken as required by
                  clause (v) above or that no such actions will be taken) each
                  stating that such consolidation or merger and such
                  supplemental indenture comply with this Article III and that
                  all conditions precedent herein provided for relating to such
                  transaction have been compiled with (including any filings
                  required by the Exchange Act); and

                           (vii) so long as the Insurer is the Controlling
                  Party, the Issuer shall have given the Insurer and the
                  Indenture Trustee written notice of such consolidation or
                  merger at least 20 Business Days prior to the consummation of
                  such action and shall have received the prior written approval
                  of the Insurer of such consolidation or merger and the Issuer
                  or the Person (if other than the Issuer) formed by or
                  surviving such consolidation or merger has a net worth,
                  immediately after such consolidation or merger, that is (A)
                  greater than zero and (B) not less than the net worth of the
                  Issuer immediately prior to giving effect to such
                  consolidation or merger.

                  (b) The Issuer shall not convey or transfer all or
         substantially all of its properties or assets, including those included
         in the Pledged Assets, to any Person (except as expressly permitted by
         the Basic Documents), unless:

                           (i) the Person that acquires by conveyance or
                  transfer the properties and assets of the Issuer shall (A) be
                  a United States citizen or a Person organized and existing
                  under the laws of the United States or any State, (B)
                  expressly assume, by an indenture supplemental hereto,
                  executed and delivered to the Indenture Trustee and the
                  Insurer, in form and substance satisfactory to the Indenture
                  Trustee and the Insurer (so long as the Insurer is the
                  Controlling Party), the due and punctual payment of the
                  principal of and interest on all Notes and the performance or
                  observance of every agreement and covenant of this Indenture
                  and each other Basic Document on the part of the Issuer to be
                  performed or observed, all as provided herein, (C) expressly
                  agree by means of such supplemental indenture that all right,
                  title and interest so conveyed or transferred shall be subject
                  and subordinate to the rights of Noteholders, (D) unless
                  otherwise provided in such supplemental indenture, expressly
                  agree to indemnify, defend and hold harmless the Issuer
                  against and from any loss, liability or expense arising under
                  or related to this Indenture and the Notes and (E) expressly
                  agree by means of such supplemental indenture that such Person
                  (or if a group of Persons, then one specified Person) shall
                  make all filings with the Commission (and any other
                  appropriate Person) required by the Exchange Act in connection
                  with the Notes;

                           (ii) immediately after giving effect to such
                  conveyance or transfer, no Default or Event of Default shall
                  have occurred and be continuing;

                           (iii) the Rating Agency Condition shall have been
                  satisfied with respect to such conveyance or transfer;

                                       31
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<PAGE>

                           (iv) the Issuer shall have received an Opinion of
                  Counsel which shall be delivered to and shall be satisfactory
                  to the Controlling Party (with a copy to the Insurer so long
                  as the Insurance Agreement has not terminated) to the effect
                  that such conveyance or transfer will not have any material
                  adverse tax consequence to the Trust, the Insurer, any
                  Noteholder or any Certificateholder;

                           (v) any action as is necessary to maintain the lien
                  and security interest created by this Indenture shall have
                  been taken;

                           (vi) the Issuer shall have delivered to the Indenture
                  Trustee and the Insurer (so long as the Insurance Agreement
                  has not terminated) an Officer's Certificate and an Opinion of
                  Counsel (which shall describe the actions taken as required by
                  clause (v) above or that no such actions will be taken) each
                  stating that such conveyance or transfer and such supplemental
                  indenture comply with this Article Three and that all
                  conditions precedent herein provided for relating to such
                  transaction have been complied with (including any filings
                  required by the Exchange Act); and

                           (vii) so long as the Insurer is the Controlling
                  Party, the Issuer shall have given the Insurer written notice
                  of such conveyance or transfer of properties or assets at
                  least 20 Business Days prior to the consummation of such
                  action and shall have received the prior written approval of
                  the Insurer of such conveyance or transfer and the Person
                  acquiring by conveyance or transfer the properties or assets
                  of the Issuer has a net worth, immediately after such
                  conveyance or transfer, that is (A) greater than zero and (B)
                  not less than the net worth of the Issuer immediately prior to
                  giving effect to such conveyance or transfer.

         SECTION 3.11 SUCCESSOR TRANSFEREE.

                  (a) Upon any consolidation or merger of the Issuer in
         accordance with Section 3.10(a), the Person formed by or surviving such
         consolidation or merger (if other than the Issuer) shall succeed to,
         and be substituted for, and may exercise every right and power of, the
         Issuer under this Indenture with the same effect as if such Person had
         been named as the Issuer herein.

                  (b) Upon a conveyance or transfer of all or substantially all
         the assets or properties of the Issuer pursuant to Section 3.10(b), the
         Issuer will be released from every covenant and agreement of this
         Indenture to be observed or performed on the part of the Issuer with
         respect to the Notes immediately upon the delivery of written notice to
         the Indenture Trustee and the Insurer stating that the Issuer is to be
         so released.

         SECTION 3.12 NO OTHER BUSINESS. The Issuer shall not engage in (i) any
business other than financing, purchasing, owning, selling and managing the
Receivables in the manner contemplated by this Indenture and the other Basic
Documents and activities incidental thereto or (ii) any other business or
activities as contemplated by Section 1.03 of the Trust Agreement.

                                       32
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         SECTION 3.13 NO BORROWING. The Issuer shall not issue, incur, assume,
guarantee or otherwise become liable, directly or indirectly, for any
Indebtedness except for (i) the Notes, (ii) obligations owing from time to time
to the Insurer under the Insurance Agreement and the other Basic Documents, and
(iii) any other Indebtedness permitted by or arising under the Basic Documents.
The proceeds of the Notes shall be used exclusively to fund the Issuer's
purchase of the Receivables and the other assets specified in the Trust
Agreement, to fund the required deposit in the Spread Account, and to pay the
Issuer's organizational, transactional and start-up expenses.

         SECTION 3.14 SERVICER'S OBLIGATIONS. The Issuer shall cause the
Servicer to comply with the Servicer's obligations under the Trust Agreement.

         SECTION 3.15 GUARANTEES, LOANS, ADVANCES AND OTHER LIABILITIES. Except
as contemplated by the Trust Agreement or this Indenture, the Issuer shall not
make any loan or advance or credit to, or guarantee (directly or indirectly or
by an instrument having the effect of assuring another's payment or performance
on any obligation or capability of so doing or otherwise), endorse or otherwise
become contingently liable, directly or indirectly, in connection with the
obligations, stocks or dividends of, or own, purchase, repurchase or acquire (or
agree contingently to do so) any stock, obligations, assets or securities of, or
any other interest in, or make any capital contribution to, any other Person.

         SECTION 3.16 CAPITAL EXPENDITURES. The Issuer shall not make any
expenditure (by long-term or operating lease or otherwise) for capital assets
(either realty or personalty).

         SECTION 3.17 RESTRICTED PAYMENTS. Except as expressly permitted by the
Basic Documents, the Issuer 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 Issuer or otherwise with
respect to any ownership or equity interest or security in or of the Issuer 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 Issuer may make, or cause to be made, (A) distributions to the Servicer, the
Back-up Servicer, the Standby Servicer, the Indenture Trustee, the Owner
Trustee, the Insurer and the Noteholders as contemplated by, and to the extent
funds are available for such purpose under, Section 8.05(a) hereof, the Trust
Agreement and the Spread Account Agreement and (B) payments to the Indenture
Trustee and the Owner Trustee pursuant to the Administration Agreement. The
Issuer will not, directly or indirectly, make payments to or distributions from
the Collection Account or any other Trust Account except in accordance with this
Indenture and the other Basic Documents.

         SECTION 3.18 NOTICE OF EVENTS OF DEFAULT. The Issuer agrees to give the
Indenture Trustee, the Insurer (so long as the Insurance Agreement has not
terminated) and each Rating Agency prompt written notice of each Event of
Default hereunder (but no later than five (5) days after the Issuer obtains
actual knowledge of such Event of Default) and each default on the part of the
Servicer, the Back-up Servicer, the Standby Servicer or the Transferor of their
respective obligations under the Trust Agreement.

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         SECTION 3.19 FURTHER INSTRUMENTS AND ACTS. Upon request of the
Indenture Trustee or, so long as it is the Controlling Party, the Insurer, the
Issuer 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 3.20 COMPLIANCE WITH LAWS. The Issuer shall comply with the
requirements of all applicable laws, the non-compliance with which would,
individually or in the aggregate, materially and adversely affect the ability of
the Issuer to perform its obligations under the Notes, this Indenture or any
other Basic Document.

         SECTION 3.21 AMENDMENTS OF TRUST AGREEMENT. The Issuer shall not agree
to any amendment to Section 16.01 of the Trust Agreement to eliminate the
requirements thereunder that the Insurer (so long as it is the Controlling
Party) and/or the Noteholders, as applicable, consent to any amendment to the
Trust Agreement to the extent provided therein.

         SECTION 3.22 CERTAIN REPRESENTATIONS, WARRANTIES AND COVENANTS RELATED
TO RECEIVABLES. The Issuer hereby represents and warrants that this Agreement
creates a valid and continuing security interest (as defined in the applicable
UCC) in the Receivables in favor of the Indenture Trustee, for the benefit of
the Noteholders and the Insurer, which security interest is prior to all other
Liens, and is enforceable as such as against creditors of and purchasers from
Issuer. Issuer has taken all steps necessary to perfect its security interest
against each Obligor in the property securing the Receivables. The Receivables
constitute "tangible chattel paper" within the meaning of the applicable UCC.
Issuer owns and has good and marketable title to the Receivables free and clear
of any Lien, claim or encumbrance of any Person. All original executed copies of
each written agreement that constitute or evidence the Receivables will be
delivered to the Custodian on or prior to the Closing Date. Issuer has not
authorized the filing of and is not aware of any financing statements against
Issuer that includes a description of collateral covering the Receivables other
than any financing statement (i) relating to the security interest granted to
the Indenture Trustee, for the benefit of the Noteholders and the Insurer, under
this Indenture or (ii) that has been terminated. None of the documents that
constitute or evidence the Receivables has any marks or notations indicating
that it has been pledged, assigned or otherwise conveyed to any Person other
than to the Indenture Trustee, for the benefit of the Noteholders and the
Insurer, other than certain Receivables that will be re-marked on or prior to
the Closing Date to reflect the interests of the Indenture Trustee, for the
benefit of the Noteholders and the Insurer, under this Indenture. The
representations and warranties contained in this Section 3.22 shall survive the
execution and delivery of this Indenture. Compliance with the representations
and warranties contained in this Section 3.22 may not be waived without the
consent of Standard & Poor's and the Indenture Trustee.

                                   ARTICLE IV

                           SATISFACTION AND DISCHARGE

         SECTION 4.01 SATISFACTION AND DISCHARGE OF INDENTURE. This Indenture
shall cease to be of further effect with respect to the Notes except as to (i)
rights of registration of transfer and exchange, (ii) substitution of mutilated,
destroyed, lost or stolen Notes, (iii) rights of Noteholders to receive payments
of principal thereof and interest thereon, (iv) Sections 3.03,

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3.04, 3.05, 3.07, 3.08, 3.10, 3.11, 3.12, 3.17 and 3.18, (v) the rights,
obligations and immunities of the Indenture Trustee hereunder (including the
rights of the Indenture Trustee under Section 6.07 and the obligations of the
Indenture Trustee under Section 4.02), (vi) the rights of Noteholders as
beneficiaries hereof with respect to the property so deposited with the
Indenture Trustee payable to all or any of them and (vii) the obligation of the
Indenture Trustee to make claims under the Policy, which shall survive the Final
Maturity Date of the Class A Notes and extend through any preference period
applicable with respect to the Notes or any payments made in respect of the
Notes, and the Indenture Trustee, on demand of and at the expense of the Issuer,
shall execute proper instruments acknowledging satisfaction and discharge of
this Indenture with respect to the Notes, when

                  (A) either

                           1. all Notes theretofore authenticated and delivered
                  (other than (i) Notes that have been destroyed, lost or stolen
                  and that have been replaced or paid as provided in Section
                  2.05 and (ii) Notes for whose payment money has theretofore
                  been deposited in trust or segregated and held in trust by the
                  Issuer and thereafter repaid to the Issuer or discharged from
                  such trust, as provided in Section 3.03) have been delivered
                  to the Indenture Trustee for cancellation and the Policy has
                  expired and been returned to the Insurer for cancellation; or

                           2. all Notes not theretofore delivered to the
                  Indenture Trustee for cancellation

                                    (i) have become due and payable,

                                    (ii) will become due and payable at the
                           respective Final Maturity Date of the Class A Notes
                           within one year, or

                                    (iii) are to be called for redemption within
                           one year under 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 Issuer,

                  and the Issuer, in the case of clauses (i), (ii) or (iii)
                  above, has irrevocably deposited or caused to be irrevocably
                  deposited with the Indenture Trustee cash or Eligible
                  Investments for such purpose, in an amount sufficient to pay
                  and discharge the entire indebtedness on such Notes not
                  theretofore delivered to the Indenture Trustee for
                  cancellation when due to the Final Maturity Date of the Class
                  A-4 Notes or Redemption Date (if Notes shall have been called
                  for redemption pursuant to Section 11.01), as the case may be;

                  (B) the Issuer has paid or performed or caused to be paid or
         performed all amounts and obligations which the Issuer may owe to or on
         behalf of (1) the Indenture Trustee for the benefit of the Noteholders
         under this Indenture or the Notes and (2) the Insurer to the extent
         expressly set forth under this Indenture and/or the Basic Documents;

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                  (C) the Issuer has delivered to the Indenture Trustee and the
         Insurer (so long as the Insurance Agreement has not terminated) an
         Officer's Certificate, an Opinion of Counsel and (if required by the
         Trust Indenture Act) an Independent Certificate from a firm of
         certified public accountants, each meeting the applicable requirements
         of Section 12.01(a) and, subject to Section 12.02, each stating that
         all conditions precedent herein provided for relating to the
         satisfaction and discharge of this Indenture have been complied with;
         and

                  (D) upon the satisfaction and discharge of the Indenture
         pursuant to this Section 4.01, the Indenture Trustee shall deliver to
         the Owner Trustee and the Insurer (so long as the Insurance Agreement
         has not terminated) a certificate of a Responsible Officer stating (i)
         that the Insurer (based on a certificate delivered to the Indenture
         Trustee by the Issuer), Noteholders and the Indenture Trustee have been
         paid all amounts owed to them, and (ii) either (a) stating that to the
         actual knowledge of such Responsible Officer, no claims remain against
         the Issuer, or (b) stating that the only pending or threatened claims
         actually known to such Responsible Officer (including contingent and
         unliquidated claims) are those listed on a schedule to such
         certificate.

         SECTION 4.02 APPLICATION OF TRUST MONEY. All monies deposited with the
Indenture Trustee pursuant to Section 4.01 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 Holders of the particular Notes for the payment or
redemption of which such monies have been deposited with the Indenture Trustee,
of all sums due and to become due thereon for principal and interest; but such
monies need not be segregated from other funds except to the extent required
herein or in the Trust Agreement or required by law.

         SECTION 4.03 REPAYMENT OF MONIES HELD BY PAYING AGENT. In connection
with the satisfaction and discharge of this Indenture with respect to the Notes,
all monies then held by any Paying Agent other than the Indenture Trustee under
the provisions of this Indenture with respect to such Notes shall, upon demand
of the Issuer, be paid to the Indenture Trustee to be held and applied according
to Section 3.03 and thereupon such Paying Agent shall be released from all
further liability with respect to such monies.

                                    ARTICLE V

                           EVENTS OF DEFAULT; REMEDIES

         SECTION 5.01 EVENTS OF DEFAULT.

                  (a) "Event of Default," wherever used herein, means 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):

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                           (i) default in the payment of any interest on any
                  Note when the same becomes due and payable (solely for
                  purposes of this clause, a payment on the Notes funded by the
                  Insurer or the Collateral Agent from the Spread Account shall
                  be deemed to be a payment made by the Issuer);

                           (ii) default in the payment of any principal of or
                  any installment of the principal of the Class A Notes on the
                  Final Maturity Date for such Class of Notes (solely for
                  purposes of this clause, a payment on the Class A Notes funded
                  by the Insurer or the Collateral Agent from the Spread Account
                  shall be deemed to be a payment made by the Issuer);

                           (iii) so long as the Insurer is the Controlling
                  Party, an Insurance Agreement Indenture Cross Default shall
                  have occurred; provided, however, that the occurrence of an
                  Insurance Agreement Indenture Cross Default may not form the
                  basis of an Event of Default unless the Insurer shall, upon
                  prior written notice to the Rating Agencies, have delivered to
                  the Issuer and the Indenture Trustee and not rescinded a
                  written notice specifying that such Insurance Agreement
                  Indenture Cross Default constitutes an Event of Default under
                  this Indenture;

                           (iv) so long as the Insurer is not the Controlling
                  Party, default in the observance or performance of any
                  covenant or agreement of the Issuer made in this Indenture
                  (other than a covenant or agreement, a default in the
                  observance or performance of which is elsewhere in this
                  Section specifically dealt with), or any representation or
                  warranty of the Issuer made in this Indenture, in any Basic
                  Document or in any certificate or any other writing delivered
                  pursuant hereto or in connection herewith or therewith proving
                  to have been incorrect in any material respect as of the time
                  when the same shall have been made, and such default shall (A)
                  materially and adversely affect the Noteholders or the Insurer
                  and (B) continue or not be cured, or the circumstance or
                  condition in respect of which such misrepresentation or
                  warranty was incorrect shall not have been eliminated or
                  otherwise cured, for a period of 60 days after there shall
                  have been given to the Issuer by the Indenture Trustee or to
                  the Issuer and the Indenture Trustee by the Majority
                  Noteholders or the Insurer, a written notice by registered or
                  certified mail, specifying such default or incorrect
                  representation or warranty and requiring it to be remedied and
                  stating that such notice is a "Notice of Default" hereunder;

                           (v) so long as the Insurer is not the Controlling
                  Party, the filing of a decree or order for relief by a court
                  having jurisdiction in the premises in respect of the Issuer
                  or any substantial part of the Pledged Assets in an
                  involuntary case under any applicable federal or state
                  bankruptcy, insolvency or other similar law now or hereafter
                  in effect, or appointing a receiver, liquidator, assignee,
                  custodian, trustee, sequestrator or similar official of the
                  Issuer or for any substantial part of the Pledged Assets, or
                  ordering the winding-up or liquidation of the Issuer's
                  affairs, and such decree or order shall remain unstayed and in
                  effect for a period of 60 consecutive days;

                                       37
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                           (vi) so long as the Insurer is not the Controlling
                  Party, the commencement by the Issuer of a voluntary case
                  under any applicable federal or state bankruptcy, insolvency
                  or other similar law now or hereafter in effect, or the
                  consent by the Issuer to the entry of an order for relief in
                  an involuntary case under any such law, or the consent by the
                  Issuer to the appointment or taking possession by a receiver,
                  liquidator, assignee, custodian, trustee, sequestrator or
                  similar official of the Issuer or for any substantial part of
                  the Pledged Assets, or the making by the Issuer of any general
                  assignment for the benefit of creditors, or the failure by the
                  Issuer generally to pay its debts as such debts become due, or
                  the taking of action by the Issuer in furtherance of any of
                  the foregoing;

                           (vii) the Issuer becoming taxable as an association
                  (or publicly traded partnership) taxable as a corporation for
                  federal or state income tax purposes; or

                           (viii) the Issuer or the Transferor being treated as
                  an investment company pursuant to the Investment Company Act
                  of 1940, as amended.

                  (b) The Issuer shall deliver to the Indenture Trustee, the
         Rating Agencies and the Insurer (so long as the Insurance Agreement has
         not terminated), within five days after obtaining knowledge of the
         occurrence thereof, written notice in the form of an Officer's
         Certificate of any event which with the giving of notice or the lapse
         of time would become an Event of Default, its status and what action
         the Issuer is taking or proposes to take with respect thereto.

         SECTION 5.02 RIGHTS UPON EVENT OF DEFAULT.

                  (a) So long as the Insurer is the Controlling Party, if an
         Event of Default shall have occurred and is continuing, then the
         Insurer shall have the right, but not the obligation, upon prior
         written notice to each Rating Agency, to declare by written notice to
         the Issuer, the Servicer and the Indenture Trustee that the entire
         principal amount of the Class A Notes, together with interest accrued
         on the Class A Notes and Class I Notes, become immediately due and
         payable, and upon any such declaration the unpaid principal amount of
         the Class A Notes, together with accrued and unpaid interest on the
         Class A and Class I Notes, shall become immediately due and payable.
         The Indenture Trustee will have no discretion with respect to the
         acceleration of the Notes under the foregoing circumstances. In the
         event of any such acceleration of the Notes, the Indenture Trustee
         shall continue to make claims under the Policy with respect to the
         Notes.

                  (b) If the Insurer is no longer the Controlling Party, and an
         Event of Default shall have occurred and be continuing, the Indenture
         Trustee shall, if so requested in writing by the Majority Noteholders,
         upon prior written notice to each Rating Agency, declare that the
         entire principal amount of the Class A Notes, together with interest
         accrued on the Class A Notes and Class I Notes, become immediately due
         and payable, and upon any such declaration the unpaid principal amount
         of the Class A Notes, together with accrued and unpaid interest on the
         Class A and Class I Notes, shall become immediately due and payable.

                                       38
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                  (c) If an Event of Default occurs and the Notes have been
         accelerated, the Indenture Trustee may exercise any of the remedies
         specified in Section 5.04(a). Payments following acceleration of any
         Notes shall be applied by the Indenture Trustee pursuant to Section
         8.05(g).

                  (d) In the event any Notes are accelerated due to an Event of
         Default, the Insurer shall have the right (in addition to its
         obligation to pay Scheduled Payments on the Notes in accordance with
         the Policy), but not the obligation, to make payments under the Policy
         or otherwise of interest and principal due on such Notes, in whole or
         in part, on any date or dates following such acceleration as the
         Insurer, in its sole discretion, shall elect. In addition, if an Event
         of Default occurs and the Insurer accelerates the Notes whether in full
         or in part (including, without limitation, as a result of the sale of
         any Receivable), the Insurer will from and after such acceleration
         guarantee pursuant to the Policy the continued payment of Class I
         Monthly Interest to the Class I Noteholders based on the Planned
         Notional Principal Amount Schedule for all remaining Payment Dates
         included in the Planned Notional Principal Amount Schedule.

                  (e) At any time after declaration of acceleration of maturity
         has been made and before a judgment or decree for payment of the money
         due has been obtained by the Indenture Trustee as hereinafter in this
         Article V provided, the Insurer, so long as it is the Controlling
         Party, and otherwise, the Majority Noteholders, by written notice to
         the Issuer and the Indenture Trustee, may rescind and annul such
         declaration and its consequences if:

                           (i) the Issuer has paid or deposited with the
                  Indenture Trustee a sum sufficient to pay:

                                    (A) all payments of principal on the Class A
                           Notes and interest on all 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, which funds shall be
                           deposited into the Collection Account;

                                    (B) all sums paid or advanced by the
                           Indenture Trustee hereunder and the reasonable
                           compensation, expenses and disbursements of the
                           Indenture Trustee and its agents and counsel, which
                           funds shall be deposited into the Collection Account;
                           and

                                    (C) all sums paid or advanced by or due to
                           the Insurer and any unpaid Insurance Premium, which
                           funds shall be paid to the Insurer; and

                           (ii) all Events of Default, other than the nonpayment
                  of the interest on or the principal of the Notes that has
                  become due solely by such acceleration, have been cured or
                  waived as provided in Section 5.13.

         No such rescission shall affect any subsequent default or impair any
right consequent thereto.

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Indenture
<PAGE>

         SECTION 5.03 COLLECTION OF INDEBTEDNESS AND SUITS FOR ENFORCEMENT BY
INDENTURE TRUSTEE.

                  (a) The Issuer covenants that, if the Notes are accelerated
         following the occurrence of an Event of Default, the Issuer will, upon
         demand of the Indenture Trustee, pay to the Indenture Trustee, for the
         benefit of the Noteholders, the whole amount then due and payable on
         such Notes for principal and interest, with interest upon the overdue
         principal, and, to the extent payment at such rate of interest shall be
         legally enforceable, upon overdue installments of interest, at the
         applicable interest rates and in addition thereto such further amount
         as shall be sufficient to cover the costs and expenses of collection,
         including the reasonable compensation, expenses and disbursements of
         the Insurer and the Indenture Trustee and their respective agents and
         counsel. In furtherance of the foregoing, the Issuer hereby irrevocably
         and unconditionally appoints the Indenture Trustee as the true and
         lawful attorney-in-fact of the Issuer, with full power of substitution,
         to execute, acknowledge and deliver any notice, document, certificate,
         paper, pleading or instrument and to do in the name of the Indenture
         Trustee as well as in the name, place and stead of the Issuer such
         acts, things and deeds for or on behalf of and in the name of the
         Issuer under this Indenture (including specifically under Section 5.04)
         and under the Basic Documents which the Issuer could or might do or
         which may be necessary, desirable or convenient in the Indenture
         Trustee's sole discretion to effect the purposes contemplated hereunder
         and under the Basic Documents and, without limitation, following the
         occurrence of an Event of Default, so long as the Insurer is the
         Controlling Party, acting at the instruction or with the consent of the
         Insurer, and thereafter acting at the instruction or with the consent
         of the Majority Noteholders, exercise full right, power and authority
         to take, or defer from taking, any and all acts with respect to the
         administration, maintenance or disposition of the Pledged Assets.

                  (b) If an Event of Default shall have occurred and be
         continuing, the Indenture Trustee shall (i) if the Insurer is the
         Controlling Party, at the direction of the Insurer, or (ii) if the
         Insurer is not the Controlling Party, at the direction of the Majority
         Noteholders, as more particularly provided in Section 5.04, proceed to
         protect and enforce the rights of the Noteholders, by such appropriate
         Proceedings as the Indenture Trustee shall deem most effective 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 to enforce any other
         proper remedy or legal or equitable right vested in the Indenture
         Trustee by this Indenture or by law.

                  (c) In case there shall be pending, relative to the Issuer or
         any other obligor upon the Notes or any Person having or claiming an
         ownership interest in the Pledged Assets, Proceedings under Title 11 of
         the United States Code or any other applicable federal or state
         bankruptcy, insolvency or other similar law, or in case a receiver,
         assignee or trustee in bankruptcy or reorganization, liquidator,
         sequestrator or similar official shall have been appointed for or taken
         possession of the Issuer or its property or such other obligor or
         Person, or in case of any other comparable judicial Proceedings
         relative to the Issuer, Insurer or Servicer or other obligor upon the
         Notes, or to the creditors or property of the Issuer or such other
         obligor, the Indenture Trustee, irrespective of whether the principal
         of any Notes shall then be due and payable as

                                       40
Indenture
<PAGE>

         therein expressed or by declaration or otherwise and irrespective of
         whether the Indenture Trustee shall have made any demand pursuant to
         the provisions of this Section, shall be entitled and empowered, by
         intervention in such Proceedings or otherwise:

                           (i) to file and prove a claim or claims for the whole
                  amount of principal and interest owing and unpaid in respect
                  of the Notes and to 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 reasonable
                  compensation to the Indenture Trustee and each predecessor
                  Indenture Trustee, and their respective agents, attorneys and
                  counsel, and for reimbursement of all expenses and liabilities
                  incurred by the Indenture Trustee and each predecessor
                  Indenture Trustee, except as a result of negligence or bad
                  faith) and of the Noteholders allowed in such Proceedings;

                           (ii) unless prohibited by applicable law and
                  regulations, to vote on behalf of the Noteholders in any
                  election of a trustee, a standby trustee or Person performing
                  similar functions in any such Proceedings;

                           (iii) to collect and receive any monies or other
                  property payable or deliverable on any such claims and to
                  distribute all amounts received with respect to the claims of
                  the Noteholders and of the Indenture Trustee on their behalf;
                  and

                           (iv) to file such proofs of claim and other papers or
                  documents as may be necessary or advisable in order to have
                  the claims of the Indenture Trustee or the Noteholders allowed
                  in any judicial Proceedings relative to the Issuer, the
                  Insurer or the Servicer, or any of their respective creditors
                  and their respective properties; and any trustee, receiver,
                  liquidator, custodian or other similar official in any such
                  Proceeding is hereby authorized by each of such Noteholders to
                  make payments to the Indenture Trustee, and, in the event that
                  the Indenture Trustee shall consent to the making of payments
                  directly to such Noteholders, to pay to the Indenture Trustee
                  such amounts as shall be sufficient to cover reasonable
                  compensation to the Indenture Trustee, each predecessor
                  Indenture Trustee and their respective agents, attorneys and
                  counsel, and all other expenses and liabilities incurred by
                  the Indenture Trustee and each predecessor Indenture Trustee
                  except as a result of negligence or bad faith.

         (d) Nothing herein contained shall be deemed to authorize the Indenture
Trustee to authorize or consent to or vote for or accept or adopt on behalf of
any Noteholder any plan of reorganization, arrangement, adjustment or
composition affecting the Notes or the rights of any Holder thereof or to
authorize the Indenture Trustee to vote in respect of the claim of any
Noteholder in any such proceeding except, as aforesaid, to vote for the election
of a trustee in bankruptcy or similar Person.

         (e) All rights of action and of asserting claims under this Indenture,
or under any of the Notes, may be enforced by the Indenture Trustee without the
possession of any of the Notes or the production thereof in any trial or other
Proceedings relative thereto, and any such action or Proceedings instituted by
the Indenture Trustee shall be brought in

                                       41
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<PAGE>

its own name as trustee of an express trust, and any recovery of judgment,
subject to the payment of the expenses, disbursements and compensation of the
Indenture Trustee, each predecessor Indenture Trustee and their respective
agents and attorneys, shall be for the ratable benefit of the Noteholders.

         (f) In any Proceedings brought by the Indenture Trustee (including any
Proceedings involving the interpretation of any provision of this Indenture),
the Indenture Trustee shall be held to represent all the Noteholders, and it
shall not be necessary to make any Noteholder a party to any such Proceedings.

         SECTION 5.04 REMEDIES.

                  (a) If (i) an Event of Default shall have occurred and be
         continuing and the Notes have been declared due and payable under
         Section 5.02, the Indenture Trustee shall (subject to Section 5.04(b)
         below and Section 5.05), if the Insurer is the Controlling Party, at
         the direction of the Insurer, or (ii) if an Event of Default shall have
         occurred and be continuing and the Notes have been declared due and
         payable under Section 5.02, the Indenture Trustee shall (subject to
         Section 5.04(b) below and Section 5.05), if the Insurer is no longer
         the Controlling Party, at the direction of the Majority Noteholders,
         take one or more of the following actions as so directed:

                           (i) institute Proceedings in its own name and as or
                  on behalf of a trustee of an express trust for the collection
                  of all amounts then payable on the Notes, or to the Insurer
                  under this Indenture or any other Basic Document with respect
                  thereto, whether by declaration or otherwise, enforce any
                  judgment obtained, and collect from the Issuer and any other
                  obligor upon such Notes monies adjudged due;

                           (ii) institute Proceedings from time to time for the
                  complete or partial foreclosure of this Indenture with respect
                  to the Pledged Assets;

                           (iii) exercise any remedies of a secured party under
                  the UCC and any other remedy available to the Indenture
                  Trustee and take any other appropriate action to protect and
                  enforce the rights and remedies of the Indenture Trustee on
                  behalf of the Noteholders and the Insurer under this Indenture
                  or the Notes;

                           (iv) sell or cause the Servicer to otherwise
                  liquidate the Pledged Assets or any portion thereof or rights
                  or interests therein, at one or more public or private sales
                  called and conducted in any manner permitted by law and
                  deliver the proceeds of such sale or liquidation to the
                  Indenture Trustee for distribution in accordance with the
                  terms of this Indenture; and

                           (v) maintain possession of the Pledged Assets

                  (b) Notwithstanding the foregoing,

                           (i) in the event that the Indenture Trustee is acting
                  at the direction of the Insurer, so long as the Insurer is the
                  Controlling Party, if an Event of Default

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<PAGE>

                  specified in Section 5.01(a)(i), (ii), (iii) or (iv) shall
                  have occurred and be continuing, the Insurer shall not have
                  the right to cause the Indenture Trustee or the Servicer to,
                  and neither the Indenture Trustee nor the Servicer shall,
                  liquidate the Pledged Assets in whole or in part if the
                  proceeds of such sale or liquidation would not be sufficient
                  to pay, subject to Section 5.02(d), all outstanding principal
                  of and accrued interest on the Notes; and

                           (ii) in the event that the Indenture Trustee is
                  acting at the direction of the Majority Noteholders (so long
                  as an Insurer Default shall have occurred and be continuing or
                  the Insurance Agreement has terminated), the Noteholders shall
                  not have the right to direct the Indenture Trustee or the
                  Servicer to, and neither the Indenture Trustee nor the
                  Servicer shall, liquidate the Pledged Assets in whole or in
                  part unless an Event of Default as specified in Section
                  5.01(a)(v) or (vi) shall have occurred and be continuing.

                  (c) In determining the sufficiency or insufficiency of the
         proceeds of a sale or liquidation of the Pledged Assets to pay all
         amounts required pursuant to Section 5.04(b)(i) above, the Indenture
         Trustee may, but need not, at the sole expense of the Issuer obtain and
         rely upon an opinion of an Independent investment banking or accounting
         firm of national reputation as to the feasibility of such proposed
         action and as to the sufficiency of the Pledged Assets for such
         purpose.

         SECTION 5.05 OPTIONAL PRESERVATION OF THE RECEIVABLES. If the Notes
have been declared to be due and payable under Section 5.02 following an Event
of Default and such declaration and its consequences have not been rescinded and
annulled, the Indenture Trustee shall, absent direction to the contrary from the
Insurer or the Noteholders pursuant to Section 5.04, maintain possession of the
Pledged Assets.

         SECTION 5.06 PRIORITIES.

                           (i) If the Notes have been declared to be due and
                  payable under Section 5.02 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 the Pledged Assets, the Notes or the
                  Certificates pursuant to this Article or otherwise and any
                  money that may then be held or thereafter received by the
                  Indenture Trustee with respect to the Pledged Assets, the
                  Notes or the Certificates (excluding any payments made under
                  the Policy), shall be applied pursuant to Section 8.05(g).

                           (ii) The Indenture Trustee may fix a record date and
                  payment date for any payment to Noteholders pursuant to this
                  Section. At least 15 days before such record date, the Issuer
                  shall mail to each Noteholder and the Indenture Trustee a
                  notice that states the record date, the payment date and the
                  amount to be paid.

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<PAGE>

         SECTION 5.07 LIMITATION OF SUITS.

                  (a) No Holder of any Note shall have any right to institute
         any Proceeding, judicial or otherwise, with respect to this Indenture,
         or for the appointment of a receiver or trustee, or for any other
         remedy hereunder, unless:

                           (i) such Holder has previously given written notice
                  to the Indenture Trustee of a continuing Event of Default;

                           (ii) the Holders of not less than 25% of the Note
                  Balances have made written request to the Indenture Trustee to
                  institute such Proceeding in respect of such Event of Default
                  in its own name as Indenture Trustee hereunder;

                           (iii) such Holder or Holders have offered to the
                  Indenture Trustee reasonable indemnity against the costs,
                  expenses and liabilities to be incurred in complying with such
                  request;

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

                           (v) no direction inconsistent with such written
                  request shall have been given to the Indenture Trustee during
                  such 60-day period by the Holders of a majority of the Class A
                  Note Balances, voting together as a single class; and

                           (vi) the Insurer is no longer the Controlling Party.

It is understood and intended that no one or more Noteholders 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
Noteholders 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.

                  (b) In the event the Indenture Trustee shall receive
         conflicting or inconsistent requests and indemnity from two or more
         groups of Noteholders, each representing less than a majority of the
         Note Balances (voting as a single Class), the Indenture Trustee in its
         sole discretion may determine that action, if any, shall be taken,
         notwithstanding any other provisions of this Indenture and any such
         action shall be binding on all parties.

         SECTION 5.08 UNCONDITIONAL RIGHTS OF NOTEHOLDERS TO RECEIVE PRINCIPAL
AND INTEREST. Notwithstanding any other provisions in this Indenture, the Holder
of any Note shall have the right, which is absolute and unconditional, to
receive payments of Monthly Interest and (in the case of Class A Notes) Monthly
Principal on such Note on or after the respective due dates thereof expressed in
such Note or in this Indenture (or, in the case of redemption, on or after the
Redemption Date) 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 5.09 RESTORATION OF RIGHTS AND REMEDIES. If the Indenture
Trustee, the Insurer or any Noteholder shall have instituted any Proceeding to
enforce any right or remedy

                                       44
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<PAGE>

under this Indenture and such Proceeding shall have been discontinued or
abandoned for any reason or shall have been determined adversely to the
Indenture Trustee, the Insurer or to such Noteholder, then and in every such
case the Issuer, the Indenture Trustee, the 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 and the Noteholders shall continue as though
no such Proceeding had been instituted.

         SECTION 5.10 RIGHTS AND REMEDIES CUMULATIVE. No right or remedy herein
conferred upon or reserved to the Indenture Trustee, the Insurer or to the
Noteholders is intended to be exclusive of any other right or remedy, and every
right and remedy shall, to the extent permitted by law, be cumulative and in
addition to every other right and remedy given hereunder or now or hereafter
existing at law or in equity or otherwise. The assertion or employment of any
right or remedy hereunder, or otherwise, shall not prevent the concurrent
assertion or employment of any other appropriate right or remedy.

         SECTION 5.11 DELAY OR OMISSION NOT A WAIVER. No delay or omission of
the Indenture Trustee, the Insurer or any Holder of any Note to exercise any
right or remedy accruing upon any Default or Event of Default shall impair any
such right or remedy or constitute a waiver of any such Default or Event of
Default or an acquiescence therein. Every right and remedy given by this Article
Five or by law to the Indenture Trustee, the 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 Insurer or by the Noteholders, as the case may be.

         SECTION 5.12 CONTROL BY CONTROLLING PARTY. The Insurer, if the Insurer
is the Controlling Party, and otherwise the Indenture Trustee at the direction
of the Majority Noteholders shall have the right to direct the time, method and
place of conducting any Proceeding for any remedy available to the Indenture
Trustee with respect to the Notes or exercising any trust or power conferred on
the Indenture Trustee; provided that:

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

                           (ii) any direction to the Indenture Trustee to sell
                  or liquidate the Pledged Assets shall be subject to the terms
                  of Section 5.04; and

                           (iii) the Indenture Trustee shall have been provided
                  with indemnification satisfactory to it in connection with
                  such direction.

Notwithstanding the rights of Noteholders set forth in this Section, subject to
Section 6.01, the Indenture Trustee need not take any action that it determines,
in its sole discretion, might involve it in liability or might materially
adversely affect the rights of any Noteholders not consenting to such action.

         SECTION 5.13 WAIVER OF PAST DEFAULTS.

                  (a) Prior to the declaration of the acceleration of the
         maturity of the Notes as provided in Section 5.02, the Insurer so long
         as it is the Controlling Party and otherwise

                                       45
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<PAGE>

         the Indenture Trustee, at the direction of Holders holding in the
         aggregate more than 50% of the outstanding Class A Note Balance, may
         waive any past Default and/or Event of Default and its consequences
         except a Default (a) in the payment of principal of or interest on any
         of the Notes or (b) in respect of a covenant or provision hereof that
         cannot be modified or amended without the consent of the Holder of each
         Note, as applicable. In the case of any such waiver, the Issuer, the
         Indenture Trustee, the Insurer and the Noteholders shall be restored to
         their former positions and rights hereunder, respectively; but no such
         waiver shall extend to any subsequent or other Default or impair any
         right consequent thereto.

                  (b) Upon any such waiver, such Default shall cease to exist
         and be deemed to have been cured and not to have occurred, and any
         Event of Default arising therefrom shall be deemed to have been cured
         and not to have occurred, for every purpose of this Indenture; but no
         such waiver shall extend to any subsequent or other Default or Event of
         Default or impair any right consequent thereto.

         SECTION 5.14 UNDERTAKING FOR COSTS. All parties to this Indenture
agree, and each Holder of any Note by such Holder's 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 attorneys' fees and expenses,
against any party litigant in such suit, in the manner and to the extent
provided by the Trust Indenture Act; but the provisions of this Section shall
not apply to (i) any suit instituted by the Indenture Trustee, (ii) any suit
instituted by any Noteholder, or group of Noteholders, in each case holding in
the aggregate more than 10% of the Note Balances or (iii) any suit instituted by
any Noteholder for the enforcement of the payment of principal of or interest on
any Note on or after the respective due dates expressed in such Note and in this
Indenture (or, in the case of redemption, on or after the Redemption Date).

         SECTION 5.15 WAIVER OF STAY OR EXTENSION LAWS. The Issuer 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 law wherever enacted, now or at any time hereafter in
force, that may affect the covenants or the performance of this Indenture; and
the Issuer (to the extent that it may lawfully do so) hereby expressly waives
all benefit or advantages 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 5.16 ACTION ON NOTES. The Indenture Trustee's right to seek and
recover judgment on the Notes or 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 or the Noteholders shall be impaired by the recovery of
any judgment by the Indenture Trustee against the Issuer or by the levy of any
execution under such judgment upon any portion of the Pledged Assets or upon

                                       46
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<PAGE>

any of the assets of the Issuer. Any money or property collected by the
Indenture Trustee shall be applied in accordance with Section 5.06.

         SECTION 5.17 PERFORMANCE AND ENFORCEMENT OF CERTAIN OBLIGATIONS.

                  (a) Promptly following a request from the Indenture Trustee
         or, so long as it is the Controlling Party, the Insurer, to do so and
         at the Administrator's expense, the Issuer shall take all such lawful
         action as the Indenture Trustee or the Insurer may request to compel or
         secure the performance and observance by the Transferor and the
         Servicer as applicable, of each of their obligations to the Issuer
         under or in connection with the Trust Agreement in accordance with the
         terms thereof, and to exercise any and all rights, remedies, powers and
         privileges lawfully available to the Issuer under or in connection with
         the Trust Agreement to the extent and in the manner directed by the
         Indenture Trustee or, the Insurer, so long as it is the Controlling
         Party, including the transmission of notices of default on the part of
         the Transferor, the Servicer, the Back-up Servicer or the Standby
         Servicer thereunder and the institution of legal or administrative
         actions or Proceedings to compel or secure performance by the
         Transferor, the Servicer, the Back-up Servicer or the Standby Servicer
         of each of their obligations under the Trust Agreement.

                  (b) If the Indenture Trustee is the Controlling Party and if
         an Event of Default has occurred and is continuing, the Indenture
         Trustee may, and at the direction (which direction shall be given in
         writing and may include a facsimile) of the Majority Noteholders shall,
         exercise all rights, remedies, powers, privileges and claims of the
         Issuer against the Transferor or the Servicer under or in connection
         with the Trust Agreement, including the right or power to take any
         action to compel or secure performance or observance by the Transferor,
         the Servicer, the Back-up Servicer or the Standby Servicer of each of
         their obligations to the Issuer thereunder and to give any consent,
         request, notice, direction, approval, extension or waiver under the
         Trust Agreement, and any right of the Issuer to take such action shall
         be suspended.

         SECTION 5.18 OPTIONAL DEPOSITS BY THE INSURER. The Insurer shall at any
time, and from time to time, with respect to a Payment Date, have the option to
deliver amounts (any such amount, an "Insurer Optional Deposit") to the
Indenture Trustee for deposit into the Collection Account for any of the
following purposes: (i) to provide funds in respect of the payment of fees or
expenses of any provider of services to the Trust with respect to such Payment
Date, (ii) to pay Class A Monthly Principal or (iii) to include such amount as
part of the Monthly Interest for such Payment Date to the extent that without
such amount a draw would be required to be made on the Policy.

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<PAGE>

                                   ARTICLE VI

                              THE INDENTURE TRUSTEE

         SECTION 6.01 DUTIES OF INDENTURE TRUSTEE.

                  (a) If an Event of Default shall have occurred and be
         continuing, and of which the Indenture Trustee shall have actual
         knowledge, the Indenture Trustee shall exercise the rights and powers
         vested in it by this Indenture and with the same degree of care and
         skill in its exercise as a prudent person would exercise or use under
         the circumstances in the conduct of such person's own affairs;
         provided, however, that if the Indenture Trustee shall assume the
         duties of the Servicer pursuant to Section 3.07(e), the Indenture
         Trustee in performing such duties shall use the degree of care and
         skill customarily exercised by a prudent institutional servicer with
         respect to automobile retail installment sales contracts that it
         services for itself or others.

                  (b) Except during the continuance of an Event of Default of
         which a Responsible Officer of the Indenture Trustee shall have actual
         knowledge or written notice:

                           (i) the Indenture Trustee undertakes to perform such
                  duties and only such duties as are specifically set forth in
                  this Indenture 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 conclusively rely, as to the truth of
                  the statements and the correctness of the opinions expressed
                  therein, upon certificates or opinions furnished to the
                  Indenture Trustee and conforming to the requirements of this
                  Indenture; provided, however, the Indenture Trustee shall
                  examine the certificates and opinions to determine whether or
                  not they conform on their face to the requirements of this
                  Indenture and the other Basic Documents to which the Indenture
                  Trustee is a party; provided, however, that the Indenture
                  Trustee shall not be responsible for the accuracy or content
                  of any of the aforementioned documents and the Indenture
                  Trustee shall have no obligation to verify, re-compute or
                  recalculate any numerical information provided to it pursuant
                  to the Basic Documents.

                  (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) this paragraph does not limit the effect of
                  Section 6.01(b);

                           (ii) 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; and

                                       48
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<PAGE>

                           (iii) 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 received by it pursuant to
                  Section 5.12.

                  (d) Every provision of this Indenture that in any way relates
         to the Indenture Trustee is subject to paragraphs (a), (b) and (c) of
         this Section.

                  (e) The Indenture Trustee shall not be liable for interest on
         any money received by it.

                  (f) Money held in trust by the Indenture Trustee need not be
         segregated from other funds except to the extent required by law or the
         terms of this Indenture or the Trust Agreement.

                  (g) No provision of this Indenture shall require the Indenture
         Trustee to expend or risk its own funds or otherwise incur 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 to believe that repayments of such funds or adequate indemnity
         against such risk or liability is not reasonably assured to it.

                  (h) Every provision of this Indenture relating to the conduct
         or affecting the liability of or affording protection to the Indenture
         Trustee shall be subject to the provisions of this Section and to the
         provisions of the Trust Indenture Act.

                  (i) The Indenture Trustee shall, and hereby agrees that it
         will hold the Policy in trust, and will hold any proceeds of any claim
         on the Policy in trust solely for application as provided in the Trust
         Agreement and this Indenture.

                  (j) The Indenture Trustee shall not be liable in its
         individual capacity with respect to any action taken, suffered or
         omitted to be taken by it in good faith in accordance with this
         Indenture or at the direction of the Majority Noteholders, relating to
         the time, method and place of conducting any Proceeding for any remedy
         available to the Indenture Trustee, or exercising or omitting to
         exercise any trust or power conferred upon the Indenture Trustee, under
         this Indenture.

                  (k) The Indenture Trustee shall not be required to take notice
         or be deemed to have notice or knowledge of any Default, Insurer
         Default, Servicer Default or Event of Default unless a Responsible
         Officer of the Indenture Trustee shall have received written notice
         thereof. In the absence of receipt of such notice, the Indenture
         Trustee may conclusively assume that there is no Default, Insurer
         Default, Servicer Default or Event of Default.

                  (l) Subject to the other provisions of this Indenture, the
         Indenture Trustee shall have no duty (i) 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
         or filing or depositing or to any rerecording, refiling or redepositing
         of any thereof, (ii) to see to any insurance, (iii) to see to the
         payment or discharge of any tax, assessment, or other

                                       49
Indenture
<PAGE>

         governmental charge or any lien or encumbrance of any kind owing with
         respect to, assessed or levied against, any part of the Pledged Assets,
         or (iv) to confirm or verify the contents of any reports or
         certificates 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.

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

         SECTION 6.02 RIGHTS OF INDENTURE TRUSTEE.

                  (a) Except as otherwise provided in the second succeeding
         sentence, the Indenture Trustee may conclusively rely and shall be
         protected in acting upon or refraining from acting upon any resolution,
         certificate, statement, instrument, opinion, report, notice, request,
         consent, order, note, direction, demand, election or other paper or
         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 the document. Notwithstanding
         the foregoing, the Indenture Trustee, subject to Section 6.01(b)(ii)
         upon receipt of all resolutions, certificates, statements, opinions,
         reports, documents, orders or other instruments furnished to the
         Indenture Trustee that shall be specifically required to be furnished
         pursuant to any provision of this Indenture, shall examine them to
         determine whether they comply as to form to the requirements of this
         Indenture.

                  (b) Before the Indenture Trustee acts or refrains from acting,
         it may require an Officer's Certificate (with respect to factual
         matters) or an Opinion of Counsel, as applicable. The Indenture Trustee
         shall not be liable for any action it takes or omits to take in good
         faith in reliance on the Officer's Certificate or Opinion of Counsel.

                  (c) The Indenture Trustee may execute any of the trusts or
         powers hereunder or perform any duties hereunder either directly or by
         or through agents or attorneys or a custodian or nominee and the
         Indenture Trustee shall not be responsible for any misconduct or
         negligence on the part of any such agent, attorney, custodian or
         nominee appointed by the Indenture Trustee with due care.

                  (d) The Indenture Trustee shall not be liable for any action
         it takes or omits to take in good faith which it believes to be
         authorized or within its rights or powers; provided, however, that the
         Indenture Trustee's conduct does not constitute willful misconduct,
         negligence or bad faith.

                  (e) The Indenture Trustee may consult with counsel, and the
         advice or opinion of counsel with respect to legal matters relating to
         this Indenture and the Notes shall be full and complete authorization
         and protection from liability in respect to any action

                                       50
Indenture
<PAGE>

         taken, omitted or suffered by it hereunder in good faith and in
         accordance with the advice or opinion of such counsel.

                  (f) Subject to Section 6.01(a), 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 Controlling Party, as the case may be,
         pursuant to the provisions of this Indenture, unless such Noteholders
         shall have offered to the Indenture Trustee security or indemnity
         satisfactory to it against the costs, expenses and liabilities which
         may be incurred therein or thereby.

                  (g) The Indenture Trustee shall not be bound to make any
         investigation into the facts or matters stated in any resolution,
         certificate, statement, instrument, opinion, report, notice, request,
         consent, order, approval, bond or other paper or document, unless
         requested in writing to do so by the Majority Noteholders or the
         Insurer; provided, however, that if the payment within a reasonable
         time to the Indenture Trustee of the costs, expenses or liabilities
         likely to be incurred by it in the making of such investigation is, in
         the opinion of the Indenture Trustee, not reasonably assured to the
         Indenture Trustee by the security afforded to it by the terms of this
         Indenture, the Indenture Trustee may require reasonable indemnity
         against such cost, expense or liability as a condition to taking any
         such action.

                  (h) 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 other
         than its willful misconduct, negligence or bad faith in the performance
         of such act.

                  (i) The rights and privileges pertaining to the Indenture
         Trustee set forth in Section 6.01 and 6.02 hereof shall apply to the
         Indenture Trustee in all of the Basic Documents.

                  (j) 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 and which are not
         contemplated by this Indenture for (i) serving as investment adviser,
         administrator, shareholder servicing agent, custodian or sub-custodian
         with respect to certain of the Eligible Investments, (ii) using
         Affiliates to effect transactions in certain Permitted Investments and
         (iii) effecting transactions in certain Eligible Investments; provided
         that this Section 6.02(j) shall not entitle the Indenture Trustee or
         any of its Affiliates to any such additional compensation or permit the
         payment of any such additional compensation pursuant to Section 8.05(a)
         or any other provision of this Indenture unless, in each case,
         otherwise expressly permitted pursuant to the terms of this Indenture
         or the Trust Agreement.

         SECTION 6.03 INDIVIDUAL RIGHTS OF INDENTURE TRUSTEE. The Indenture
Trustee in its individual or any other capacity may become the owner or pledgee
of Notes and may otherwise deal with the Issuer or its Affiliates with the same
rights it would have if it were not Indenture Trustee. Any Paying Agent, Note
Registrar, co-registrar or co-paying agent may do

                                       51
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<PAGE>

the same with like rights. However, the Indenture Trustee is required to comply
with Sections 6.11 and 6.12.

         SECTION 6.04 INDENTURE TRUSTEE'S DISCLAIMER. The Indenture Trustee
shall not be responsible for and makes no representation as to the validity or
adequacy of this Indenture, the Pledged Assets or the Notes, it shall not be
accountable for the Issuer's use of the proceeds from the Notes, and it shall
not be responsible for any statement of the Issuer in this Indenture or in any
document issued in connection with the sale of the Notes or in the Notes other
than the Indenture Trustee's certificate of authentication.

         SECTION 6.05 NOTICE OF DEFAULTS. If a Default shall have occurred and
be continuing and a Responsible Officer of the Indenture Trustee shall have
actual knowledge or shall have received written notice thereof, the Indenture
Trustee shall mail to each Noteholder, the Insurer and the Rating Agency notice
of the Default within 5 days after such knowledge or notice occurs.

         SECTION 6.06 REPORTS BY INDENTURE TRUSTEE TO HOLDERS. The Indenture
Trustee shall deliver to each Noteholder such information as may be required to
enable such holder to prepare its federal and state income tax returns.

         SECTION 6.07 COMPENSATION AND INDEMNITY. Pursuant to Section 8.05(a)
hereof, the Indenture Trustee shall receive compensation on each Payment Date
for its services, in its capacities as Indenture Trustee, Collateral Agent and
Back-up Servicer under the Basic Documents. The Indenture Trustee's compensation
shall not be limited by any law on compensation of a trustee of an express
trust. Pursuant to Section 8.05(a) hereof, the Indenture Trustee shall also be
entitled to receive reimbursement for all reasonable out-of-pocket expenses
incurred or made by it in its capacities as Indenture Trustee, Collateral Agent
and Back-up Servicer, including costs of collection, in addition to the
compensation for its services. Such expenses shall include the reasonable
compensation and expenses and disbursements and advances of the Indenture
Trustee's agents, counsel, accountants and experts. The Issuer shall, or shall
cause the Administrator to, indemnify the Indenture Trustee against any and all
loss, liability or expense (including attorneys' fees) incurred by it in
connection with the administration of this trust and the performance of its
duties hereunder. The Indenture Trustee shall notify the Issuer, the
Administrator and the Insurer promptly of any claim for which it may seek
indemnity but failure to do so shall not constitute a waiver of any rights
hereunder. Failure by the Indenture Trustee to so notify the Issuer and the
Administrator shall not relieve the Issuer or the Administrator of its
obligations hereunder. The Issuer shall, or shall cause the Administrator to,
defend any such claim, and the Indenture Trustee may have separate counsel and
the Issuer shall, or shall cause the Administrator to, pay the fees and expenses
of such counsel. Neither the Issuer nor the Administrator need reimburse any
expense or indemnify against any loss, liability or expense incurred by the
Indenture Trustee through the Indenture Trustee's own willful misconduct,
negligence or bad faith.

         The Issuer's obligations to the Indenture Trustee pursuant to this
Section shall survive the resignation or removal of the Indenture Trustee,
Collateral Agent and Back-up Servicer and the discharge of this Indenture. When
the Indenture Trustee incurs expenses after the occurrence of an Event of
Default specified in Section 5.01(a)(v) or (vi) with respect to the Issuer, the
expenses

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are intended to constitute expenses of administration under Title 11 of the
United States Code or any other applicable federal or state bankruptcy,
insolvency or similar law. The Indenture Trustee shall have a lien prior to the
Noteholders on the Pledged Assets for amounts due to it under this Section 6.07;
provided, however, the Indenture Trustee agrees that no amounts owed or paid
under the Policy shall be paid to the Indenture Trustee.

         SECTION 6.08 REPLACEMENT OF INDENTURE TRUSTEE.

                  (a) The Indenture Trustee may resign at any time by so
         notifying the Issuer, the Servicer and the Insurer. The Issuer, may,
         with the consent of the Insurer (unless an Insurer Default shall have
         occurred and be continuing), and, at the request of the Insurer shall,
         remove the Indenture Trustee, if:

                           (i) the Indenture Trustee fails to comply with
                  Section 6.11;

                           (ii) a court having jurisdiction in the premises in
                  respect of the Indenture Trustee in an involuntary case or
                  proceeding under federal or state banking or bankruptcy laws,
                  as now or hereafter constituted, or any other applicable
                  federal or state bankruptcy, insolvency or other similar law,
                  shall have entered a decree or order granting relief or
                  appointing a receiver, liquidator, assignee, custodian,
                  trustee, conservator, sequestrator (or similar official) for
                  the Indenture Trustee or for any substantial part of the
                  Indenture Trustee's property, or ordering the winding-up or
                  liquidation of the Indenture Trustee's affairs, provided any
                  such decree or order shall have continued unstayed and in
                  effect for a period of 30 consecutive days;

                           (iii) the Indenture Trustee commences a voluntary
                  case under any federal or state banking or bankruptcy laws, as
                  now or hereafter constituted, or any other applicable federal
                  or state bankruptcy, insolvency or other similar law, or
                  consents to the appointment of or taking possession by a
                  receiver, liquidator, assignee, custodian, trustee,
                  conservator, sequestrator or other similar official for the
                  Indenture Trustee or for any substantial part of the Indenture
                  Trustee's property, or makes any assignment for the benefit of
                  creditors or fails generally to pay its debts as such debts
                  become due or takes any corporate action in furtherance of any
                  of the foregoing; or

                           (iv) the Indenture Trustee otherwise becomes
                  incapable of acting.

                  (b) The Insurer, so long as it is the Controlling Party, may
         remove the Indenture Trustee for any reason upon 30 days' written
         notice.

                  (c) If the Indenture Trustee resigns or is removed or if a
         vacancy exists in the office of Indenture Trustee for any reason (the
         Indenture Trustee in such event being referred to herein as the
         retiring Indenture Trustee), the Issuer shall promptly appoint a
         successor Indenture Trustee acceptable to the Insurer (so long as the
         Insurer is the Controlling Party).

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<PAGE>

                  (d) A successor Indenture Trustee shall deliver a written
         acceptance of its appointment to the retiring Indenture Trustee, the
         Insurer and to the Issuer. Thereupon the resignation or removal of the
         retiring Indenture Trustee shall become effective, and the successor
         Indenture Trustee shall have all the rights, powers and duties of the
         Indenture Trustee under this Indenture. The Issuer or the successor
         Indenture Trustee shall mail a notice of its succession to Noteholders,
         the Insurer and the Rating Agencies. The retiring Indenture Trustee
         shall promptly transfer all property held by it as Indenture Trustee to
         the successor Indenture Trustee.

                  (e) If a successor Indenture Trustee does not take office
         within 30 days after the retiring Indenture Trustee resigns or is
         removed, the retiring Indenture Trustee, the Issuer or the Majority
         Noteholders may petition any court of competent jurisdiction for the
         appointment of a successor Indenture Trustee that is acceptable to the
         Insurer so long as it is the Controlling Party.

                  (f) If the Indenture Trustee fails to comply with Section
         6.11, any Noteholder may petition any court of competent jurisdiction
         for the removal of the Indenture Trustee and the appointment of a
         successor Indenture Trustee.

                  (g) Any resignation or removal of the Indenture Trustee and
         appointment of a successor Indenture Trustee pursuant to the provisions
         of this Section shall not become effective until acceptance of
         appointment by the successor Indenture Trustee pursuant to this Section
         and payment of all fees and expenses owed to the outgoing Indenture
         Trustee. Notwithstanding the replacement of the Indenture Trustee
         pursuant to this Section, the retiring Indenture Trustee shall be
         entitled to payment or reimbursement of such amounts as such Person is
         entitled pursuant to Section 6.07.

                  (h) Any resignation or removal of the Indenture Trustee
         hereunder shall also result in the resignation or removal of such
         Person as Back-up Servicer and Collateral Agent in accordance with the
         same terms and conditions unless otherwise directed by the Controlling
         Party.

         SECTION 6.09 SUCCESSOR INDENTURE TRUSTEE BY MERGER.

                  (a) If the Indenture Trustee consolidates with, merges or
         converts into, or transfers all or substantially all of its corporate
         trust business or assets to, another corporation or banking
         association, the resulting, surviving or transferee corporation without
         any further act shall be the successor Indenture Trustee; provided,
         that such corporation or banking association shall be otherwise
         qualified and eligible under Section 6.11. The Indenture Trustee shall
         provide the Insurer and each Rating Agency prompt notice of any such
         transaction.

                  (b) In case at the time such successor by merger, conversion
         or consolidation to the Indenture Trustee shall succeed to the trusts
         created by this Indenture any of the Notes shall have been
         authenticated but not delivered, any such successor to the Indenture
         Trustee may adopt the certificate of authentication of any predecessor
         trustee, and deliver such Notes so authenticated; and in case at that
         time any of the Notes shall

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<PAGE>

         not have been authenticated, any successor to the Indenture Trustee may
         authenticate such Notes either in the name of any predecessor hereunder
         or in the name of the successor to the Indenture Trustee; and in all
         such cases such certificates shall have the full force and effect of
         the certificate of the Indenture Trustee pursuant to the Notes or this
         Indenture.

         SECTION 6.10 APPOINTMENT OF CO-INDENTURE TRUSTEE OR SEPARATE INDENTURE
TRUSTEE.

                  (a) Notwithstanding any other provision of this Indenture, at
         any time, for the purpose of meeting any legal requirement of any
         jurisdiction in which any part of the Pledged Assets may at the time be
         located, the Indenture Trustee, with the consent of the Insurer so long
         as it is the Controlling Party, shall have the power and may execute
         and deliver all instruments to appoint one or more Persons to act as a
         co-trustee or co-trustees, jointly with the Indenture Trustee, or
         separate trustee or separate trustees, of all or any part of the Trust,
         and to vest in such Person or Persons, in such capacity and for the
         benefit of the Noteholders and to the extent expressly set forth herein
         or the other Basic Documents, and the Insurer, such title to the
         Pledged Assets, or any part hereof, and, subject to the other
         provisions of this Section, such powers, duties, obligations, rights
         and trusts as the Indenture Trustee may consider necessary or
         desirable. No co-trustee or separate trustee hereunder shall be
         required to meet the terms of eligibility as a successor Indenture
         Trustee under Section 6.11 and no notice to Noteholders of the
         appointment of any co-trustee or separate trustee shall be required
         under Section 6.08.

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

                           (i) all rights, powers, duties and obligations
                  conferred or imposed upon the Indenture Trustee shall be
                  conferred or imposed upon and exercised or performed by the
                  Indenture 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
                  Indenture 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 Indenture Trustee shall be
                  incompetent or unqualified to perform such act or acts, in
                  which event such rights, powers, duties and obligations
                  (including the holding of title to the Trust 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 Indenture Trustee;

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

                           (iii) the Indenture 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
         Indenture Trustee shall be deemed to have been given to each of the
         then separate trustees and co-trustees, as

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<PAGE>

         effectively as if given to each of them. Every instrument appointing
         any separate trustee or co-trustee shall refer to this Indenture and
         the conditions of this Article. Each separate trustee and co-trustee,
         upon its acceptance of the trusts conferred, shall be vested with the
         estates or property specified in its instrument of co-appointment,
         either jointly with the Indenture Trustee or separately, as may be
         provided therein, subject to all the provisions of this Indenture,
         specifically including every provision relating to the conduct of,
         affecting the liability of, or affording protection to, the Indenture
         Trustee. Every such instrument shall be filed with the Indenture
         Trustee.

                  (d) Any separate trustee or co-trustee may at any time
         constitute the Indenture Trustee, its agent or attorney-in-fact with
         full power and authority, to the extent not prohibited by law, to do
         any lawful act under or in respect of this Indenture 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 Indenture Trustee, to the extent permitted by law, without the
         appointment of a new or successor trustee. Notwithstanding anything to
         the contrary in this Indenture, the appointment of any separate trustee
         or co-trustee shall not relieve the Indenture Trustee of its
         obligations and duties under this Indenture.

         SECTION 6.11 ELIGIBILITY. The Indenture Trustee shall at all times
satisfy the requirements of Trust Indenture Act Section 310(a). The Indenture
Trustee hereunder shall at all times be a financial institution, acceptable to
the Insurer (so long as it is the Controlling Party) organized and doing
business under the laws of the United States of America or any state, authorized
under such laws to exercise corporate trust powers, whose long term unsecured
debt is rated at least A2 by Moody's and A by Standard & Poor's and shall have a
combined capital and surplus of at least $50,000,000 or shall be a member of a
bank holding system to the aggregate combined capital and surplus of which is
$50,000,000 and subject to supervision or examination by federal or state
authority, provided that the Indenture Trustee's separate capital and surplus
shall at all times be at least the amount required by Section 310(a) (2) of the
Trust Indenture Act. If such Person publishes reports of condition at least
annually, pursuant to law or to the requirements of a supervising or examining
authority, then for the purposes of this Section 6.11, the combined capital and
surplus of such Person 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 Indenture Trustee shall cease to be eligible in accordance with the
provisions of this Section 6.11, the Indenture Trustee shall resign immediately
in the manner and with the effect specified in Section 6.08. The Indenture
Trustee shall comply with Trust Indenture Act Section 310(b); provided, however,
that there shall be excluded from the operation of Trust Indenture Act Section
310(b)(1) any indenture or indentures under which other securities of the Issuer
are outstanding if the requirements for such exclusion set forth in Trust
Indenture Act Sections 310(b)(1) are met.

         SECTION 6.12 COLLATERAL AGENT TO FOLLOW INDENTURE TRUSTEE'S
INSTRUCTIONS. The Indenture Trustee hereby authorizes the Collateral Agent to
take such action on its behalf, and to exercise such rights, remedies, powers
and privileges hereunder, as the Indenture Trustee may direct and as are
specifically authorized to be exercised by the Collateral Agent by the terms
hereof, together with such actions, rights, remedies, powers and privileges as
are reasonably incidental thereto.

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         SECTION 6.13 PREFERENTIAL COLLECTION OF CLAIMS AGAINST ISSUER. The
Indenture Trustee shall comply with Trust Indenture Act Section 311(a),
excluding any creditor relationship listed in Trust Indenture Act Section
311(b). An Indenture Trustee who has resigned or been removed shall be subject
to Section 311(a) to the extent indicated.

         SECTION 6.14 REPRESENTATIONS AND WARRANTIES OF INDENTURE TRUSTEE. The
Indenture Trustee hereby makes the following representations and warranties on
which the Issuer and Noteholders shall rely:

                  (a) the Indenture Trustee is a corporation duly organized,
         validly existing and in good standing under the laws of its place of
         incorporation;

                  (b) the Indenture Trustee has full power, authority and legal
         right to execute, deliver, and perform this Indenture and has taken all
         necessary action to authorize the execution, delivery and performance
         by it of this Indenture;

                  (c) this Indenture shall have been duly executed and delivered
         by the Indenture Trustee; and

                  (d) this Indenture is a legal, valid and binding obligation of
         the Indenture Trustee enforceable in accordance with its terms, subject
         to the effects of bankruptcy, insolvency, reorganization, or other
         similar laws affecting the enforcement of creditors' rights generally
         and to general principles of equity.

         SECTION 6.15 DISQUALIFICATION OF THE INDENTURE TRUSTEE. If the
Indenture Trustee has or shall acquire a conflicting interest within the meaning
of the Trust Indenture Act, as amended, the Indenture Trustee shall either
eliminate such interest or resign, to the extent and in the manner provided by
and subject to, the provisions of this Indenture.

         SECTION 6.16 WAIVER OF SETOFFS. The Indenture Trustee hereby expressly
waives any and all rights of setoff that the Indenture Trustee may otherwise at
any time have under applicable law with respect to any of the Collection
Account, Payahead Account, Spread Account, Lock-Box Account or Reserve Account
and agrees that amounts in the Collection Account, Payahead Account and Lock-Box
Account shall at all times be held and applied solely in accordance with the
provisions hereof and the Trust Agreement.

         SECTION 6.17 CONTROL BY THE CONTROLLING PARTY. The Indenture Trustee
shall comply with notices and instructions given by the Issuer only if
accompanied by the written consent of the Controlling Party, except that if any
Event of Default shall have occurred and be continuing, the Indenture Trustee
shall act upon and comply with notices and instructions given by the Controlling
Party alone in the place and stead of the Issuer.

                                   ARTICLE VII

                         NOTEHOLDERS' LISTS AND REPORTS

         SECTION 7.01 ISSUER TO FURNISH INDENTURE TRUSTEE NAMES AND ADDRESSES OF
NOTEHOLDERS. The Issuer will furnish or cause to be furnished to the Indenture
Trustee (i) not

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more than five days after the earlier of (a) each Record Date and (b) three
months after the last Record Date, a list, in such form as the Indenture Trustee
may reasonably require, of the names and addresses of the Noteholders as of such
Record Date and (ii) at such other times as the Indenture Trustee may request in
writing, within 15 days after receipt by the Issuer of any such request, a list
of similar form and content as of a date not more than ten 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.
The Indenture Trustee or, if the Indenture Trustee is not the Note Registrar,
the Issuer shall furnish to the Insurer in writing at such times as the Insurer
may reasonably request a copy of the list.

         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
         Noteholders contained in the most recent list furnished to the
         Indenture Trustee as provided in Section 7.01 and the names and
         addresses of Noteholders received by the Indenture Trustee in its
         capacity as Note Registrar. The Indenture Trustee may destroy any list
         furnished to it as provided in such Section 7.01 upon receipt of a new
         list so furnished.

                  (b) Noteholders may communicate pursuant to Trust Indenture
         Act Section 312 (b) with other Noteholders with respect to their rights
         under this Indenture or under the Notes.

                  (c) The Issuer, the Indenture Trustee and the Note Registrar
         shall have the protection of Trust Indenture Act Section 312(c).

         SECTION 7.03 REPORTS BY ISSUER.

                  (a) The Issuer shall:

                           (i) file with the Indenture Trustee, within 15 days
                  after the Issuer 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 from
                  time to time by rules and regulations prescribe) which the
                  Issuer may be required to file with the Commission pursuant to
                  Section 13 or 15(d) of the Exchange Act;

                           (ii) file with the Indenture Trustee and the
                  Commission in accordance with rules and regulations prescribed
                  from time to time by the Commission such additional
                  information, documents and reports with respect to compliance
                  by the Issuer with the conditions and covenants of this
                  Indenture as may be required from time to time by such rules
                  and regulations; and

                           (iii) supply to the Indenture Trustee (and the
                  Indenture Trustee shall transmit by mail to all Noteholders
                  described in Trust Indenture Act Section 313(c)) such
                  summaries of any information, documents and reports required
                  to be filed by the Issuer pursuant to clauses (i) and (ii) of
                  this Section 7.03(a) as may be

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                  required by rules and regulations prescribed from time to time
                  by the Commission.

                  (b) Unless the Issuer otherwise determines, the fiscal year of
         the Issuer shall end on December 31 of each year.

         SECTION 7.04 REPORTS BY INDENTURE TRUSTEE. To the extent that any of
the events described in Trust Indenture Act Section 313(a) shall have occurred,
the Indenture Trustee shall, within 60 days after each December 15 beginning
with December 15, 2003, mail to the Issuer, the Insurer and each Noteholder as
required by Trust Indenture Act Section 313(c) a brief report dated as of such
date that complies with Trust Indenture Act Section 313(a). The Indenture
Trustee also shall comply with Trust Indenture Act Section 313(b).

                                  ARTICLE VIII

                  DISTRIBUTIONS; STATEMENTS TO THE NOTEHOLDERS

         SECTION 8.01 LOCK-BOX ACCOUNT. The Issuer shall cause the Servicer to
establish the Lock-Box Account as an Eligible Account with the Lock-Box Bank, in
accordance with Section 9.01 of the Trust Agreement.

         SECTION 8.02 COLLECTION ACCOUNT. The Issuer shall cause BVAC, as
initial Servicer to establish the Collection Account with the Indenture Trustee
or another Eligible Bank as a segregated non-interest bearing trust account in
the name of the Indenture Trustee for the benefit of the Secured Parties. The
amounts in the Collection Account shall be invested upon receipt of written
direction from the Servicer (provided that, if the Standby Servicer is then
acting as Servicer, such direction shall be made by the Transferor) in Eligible
Investments that mature not later than the Business Day prior to the next
succeeding Payment Date and such Eligible Investments shall be held to maturity.
The Indenture Trustee (or its custodian) shall (i) maintain possession of any
negotiable instruments or securities evidencing Eligible Investments until the
time of sale or maturity and each certificated security or negotiable instrument
evidencing an Eligible Investment shall be endorsed in blank or to the Indenture
Trustee or registered in the name of the Indenture Trustee and (ii) cause any
Eligible Investment represented by an uncertificated security to be registered
in the name of the Indenture Trustee.

         SECTION 8.03 COLLECTIONS

                  (a) The Indenture Trustee shall review the Servicer's
         Certificate prepared by the Servicer immediately upon receipt thereof
         pursuant to Section 8.12 of the Trust Agreement for purposes of making
         the distributions under Section 8.05.

                  (b) For any Payment Date on which there will not be sufficient
         Available Funds to make the distributions required pursuant to Sections
         8.05(a) (i) through (vi), the Indenture Trustee shall deliver to the
         Collateral Agent, the Insurer, the Fiscal Agent (as such term is
         defined in the Insurance Agreement) and the Servicer, by hand delivery
         or facsimile transmission, a written notice (a "Deficiency Notice")
         specifying the Deficiency Claim Amount for such Distribution Date. Any
         Deficiency Notice shall be delivered by 10:00 am., Eastern time, on the
         Determination Date and in any event no later

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         than the fourth Business Day preceding such Payment Date. Such
         Deficiency Notice shall direct the Collateral Agent to remit such
         Deficiency Claim Amount (to the extent funds are available to be
         distributed pursuant to the Spread Account Agreement) to the Indenture
         Trustee for deposit of such amount in the Collection Account. If such
         deficiency exceeds the Available Spread Amount, the Indenture Trustee
         shall submit a claim under the Policy to the Insurer pursuant to
         Section 9.03 hereof and shall comply with the requirements under the
         Policy and the Insurance Agreement for the making of a claim under the
         Policy.

                  (c) The Indenture Trustee shall, immediately upon receipt,
         deposit in the Collection Account for application in accordance with
         the Policy any funds received by the Indenture Trustee in respect of
         funds drawn under the Policy from the Insurer.

         SECTION 8.04 PURCHASE AMOUNTS. Pursuant to the Trust Agreement, the
Servicer and the Transferor have agreed to remit to the Collection Account not
later than the Determination Date, the aggregate Purchase Amount for such
Collection Period pursuant to Sections 7.02 and 8.10 of the Trust Agreement.

         SECTION 8.05 DISTRIBUTIONS TO PARTIES.

                  (a) On each Payment Date (unless the Notes shall have been
         declared to be due and payable under Section 5.02 following an Event of
         Default), the Indenture Trustee, solely in reliance on the Servicer's
         Certificate, shall apply or cause to be applied the Available Funds in
         the Collection Account for the prior Collection Period, (plus any
         amounts withdrawn from the Spread Account or drawn on the Policy
         pursuant to Section 8.03 and Section 9.03 for application in accordance
         with the terms hereof and the Policy), to make the following payments
         in the listed order of priority:

                           (i) the monthly Indenture Trustee Fee (which
                  Indenture Trustee Fee shall not exceed $50,000 in the
                  aggregate) including any overdue monthly Indenture Trustee
                  Fee, to the Indenture Trustee, as well as reasonable expense
                  reimbursements and indemnities owed to the Indenture Trustee
                  (subject to the foregoing limitation);

                           (ii) without duplication, an amount equal to the sum
                  of (y) Outstanding Advances on all Receivables that became
                  Charged-off Receivables during the prior Collection Period,
                  plus (z) Outstanding Advances which the Servicer determines to
                  be unrecoverable pursuant to Section 9.07(b) of the Trust
                  Agreement, to the Servicer;

                           (iii) the monthly Servicing Fee, including any
                  overdue monthly Servicing Fee, to the Servicer, to the extent
                  not previously distributed to the Servicer, the monthly
                  Standby Servicing Fee, (which Standby Servicing Fee shall not
                  exceed $50,000) including any overdue monthly Standby
                  Servicing Fee to the Standby Servicer to the extent not
                  previously distributed to the Standby Servicer, the monthly
                  Owner Trustee Fee (which Owner Trustee Fee shall not exceed
                  $25,000 in the aggregate), including any overdue monthly Owner
                  Trustee Fee, to

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                  the Owner Trustee, as well as expense reimbursements and
                  indemnities owed to the Servicer, Standby Servicer and Owner
                  Trustee (subject to the foregoing limitations), and, to any
                  successor Servicer, Transition Costs (which Transition Costs
                  shall not exceed $200,000 in the aggregate without the prior
                  written consent of the Insurer and the satisfaction of the
                  Rating Agency Condition), and, to the extent Available Funds
                  are insufficient on any Payment Date to make all such
                  payments, such Available Funds shall be distributed pro rata
                  with respect to the foregoing payments;

                           (iv) Class A Monthly Interest (including any overdue
                  amounts) to the Class A Noteholders and Class I Monthly
                  Interest (including any overdue amounts) to the Class I
                  Noteholders;

                           (v) Monthly Principal (including any overdue amounts)
                  to the Class A Noteholders, in accordance with the Principal
                  Payment Sequence;

                           (vi) the Insurance Premium, including any overdue
                  Insurance Premium, the aggregate amount of all unreimbursed
                  draws made on the Policy, and any other amounts payable to the
                  Insurer under the Insurance Agreement, plus accrued interest
                  thereon at the rate provided in the Insurance Agreement, to
                  the Insurer;

                           (vii) the Spread Account, up to the Requisite Amount;

                           (viii) the Servicing Fee, Standby Servicer Fee,
                  Indenture Trustee Fee, and Owner Trustee Fee, as well as
                  expense reimbursements and indemnities owed to the Servicer,
                  Standby Servicer, Indenture Trustee and Owner Trustee and
                  Transition Costs incurred by any successor Servicer (to the
                  extent not paid pursuant to (i) or (iii) above), to the
                  Servicer, Standby Servicer, Indenture Trustee, Owner Trustee
                  and any successor Servicer, respectively;

                           (ix) the amount of Recoveries of Advances, to the
                  Servicer (to the extent not applied pursuant to (ii) above on
                  or prior to such Payment Date); and

                           (x) the balance for deposit in the Spread Account for
                  application in accordance with the Spread Account Agreement.

provided, however, that in no event shall any amounts received pursuant to the
Policy be paid to any party other than pursuant to clauses (iv) and (v) above.

                  (b) If on any Payment Date there are not sufficient Available
         Funds (together with amounts withdrawn from the applicable Spread
         Account and/or the Policy) to pay the distributions required by Section
         8.05(a)(iv) and (v), the Available Funds payable under Section
         8.05(a)(iv) and (v) shall be allocated first to Class A and Class I
         Noteholders pari passu for the payment of Class A and Class I Monthly
         Interest, and second for Class A Monthly Principal in accordance with
         the proviso to the definition of Principal Payment Sequence. The amount
         of Monthly Interest allocated to Class A and Class I Noteholders shall
         be based upon the amount of interest due each class of Class A

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         Noteholders and the Class I Noteholders and the amount of Monthly
         Principal allocated to Class A Noteholders shall be based upon the
         relative outstanding Note Balance of each class of Class A Notes then
         Outstanding.

                           (i) Notwithstanding the foregoing, if on any Payment
                  Date, the Servicer exercises its option to cause a disposition
                  of the remaining corpus of the Trust pursuant to Section 16.02
                  of the Trust Agreement: (A) the Available Funds and amounts
                  withdrawn from the Spread Account or drawn on the Policy in
                  respect only of Monthly Interest and principal payable on any
                  class of Class A Notes equal to the Outstanding Note Balance
                  on the Final Maturity Date of such class of Class A Notes with
                  respect to the immediately preceding Payment Date as
                  determined in accordance with Sections 8.03 and 8.05 shall be
                  distributed to the Noteholders on such Payment Date; (B) the
                  Policy will not be available to pay any shortfall of Monthly
                  Interest or Monthly Principal after a prepayment of the Note
                  Balances pursuant to this Section 8.05(b)(ii); and (C) any
                  remaining Pledged Assets (including all remaining Available
                  Spread Amounts) shall be paid first to the Noteholders and
                  then the Insurer on such Payment Date until the Note Balances
                  shall have been reduced to zero and all amounts due and owing
                  to the Insurer under the Insurance Agreement have been paid in
                  full. Any amounts in excess thereof shall be remitted to the
                  Spread Account for application in accordance with the terms
                  thereof.

                  (c) On each Payment Date, if the Servicer has reported to the
         Indenture Trustee in the Servicer's Certificate for any Collection
         Period that an Obligor or an Obligor's representative or successor
         successfully shall have asserted a claim or defense under bankruptcy
         law or similar laws for the protection of creditors generally
         (including the avoidance of a preferential transfer under bankruptcy
         law) that results in a liability to such Obligor for monies previously
         collected and remitted to the Indenture Trustee and not otherwise
         netted against collections pursuant to this Section 8.05, the Indenture
         Trustee shall make all payments in respect of such claims or defenses
         out of the amounts on deposit in the Collection Account with respect to
         such Collection Period before making the distributions required by
         paragraph (a) of this Section 8.05.

                  (d) If the Servicer has failed to provide the Indenture
         Trustee with Servicer's Certificate required pursuant to Section 8.03,
         the Indenture Trustee may calculate Monthly Interest and Monthly
         Principal and apply funds, if any, in the Collection Account as of the
         last day of the Collection Period, to make a distribution of Monthly
         Interest and Monthly Principal to the Noteholders.

                  (e) In making such payments under this Section 8.05 the
         Indenture Trustee shall be entitled to solely rely (without
         investigation, confirmation or recalculation) upon all information and
         calculations contained in the Servicer's Certificate delivered to the
         Indenture Trustee pursuant to Section 8.12 of the Trust Agreement.

                  (f) All monthly payments shall be made by wire transfer of
         immediately available funds to the Noteholder of record on the
         preceding Record Date. Notwithstanding the foregoing, the final payment
         on the Notes shall be made only against

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         presentation and surrender of the Notes at the office or agency then
         maintained by the Indenture Trustee in accordance with Section 3.02.

                  (g) If an Event of Default occurs and the Notes have been
         accelerated, the Indenture Trustee may exercise any of the remedies
         specified in Section 5.04(a). Payments following acceleration of any
         Notes shall be applied by the Indenture Trustee:

                           (i) first, to pay any unpaid monthly Indenture
                  Trustee Fee and expense reimbursements and indemnities owed to
                  the Indenture Trustee, Collateral Agent and Backup Servicer;

                           (ii) second, pro rata, to pay any unpaid monthly
                  Servicing Fee, Standby Servicing Fee and Owner Trustee Fee, as
                  well as expense reimbursements and indemnities owed to the
                  Servicer, Standby Servicer and Owner Trustee;

                           (iii) third, to pay accrued interest on each class of
                  Class A and Class I Notes on a pro rata basis based on the
                  interest accrued (including interest accrued on past due
                  interest) on each class of Class A Notes and on Class I Notes
                  based on the interest accrued on the Class I Notes;

                           (iv) fourth, to pay principal on each class of Class
                  A Notes, on a pro rata basis based on the Class A Note
                  Balance, until the Note Balance of each Class of Class A Notes
                  is reduced to zero;

                           (v) fifth, to pay the Insurance Premium and all other
                  amounts owing the Insurer under the Insurance Agreement; and

                           (vi) sixth, to the Spread Account to be applied in
                  accordance with the Spread Account Agreement;

                  provided, however, that in no event shall any amounts received
                  pursuant to the Policy be paid to any party other than
                  pursuant to clauses (iii) and (iv) above.

         SECTION 8.06 SERVICER ADVANCES. The Servicer is required to make
certain Advances pursuant to Section 9.07 of the Trust Agreement. If the
Servicer shall determine that an Outstanding Advance with respect to any
Receivable shall not be recoverable, the Servicer shall be entitled to
reimbursement from any collections made on other Receivables pursuant to Section
8.05(a)(ii) and Outstanding Advances with respect to such Receivable shall be
reduced accordingly.

         SECTION 8.07 PAYAHEAD ACCOUNT. The Servicer shall establish the
Payahead Account with the Indenture Trustee or another Eligible Bank in the name
of the Indenture Trustee on behalf of the Obligors and the Noteholders as their
interests may appear pursuant to Section 9.10 of the Trust Agreement. Investment
income or interest earned on the Payahead Account during each Collection Period
shall be included as Available Funds. On or prior to each Payment Date, the
Indenture Trustee (as instructed in the Servicer's Certificate) shall transfer
(a) from the Collection Account to the Payahead Account, in immediately
available funds, all

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Payaheads received by the Servicer and previously deposited to the Collection
Account during the Collection Period as described in Section 8.05 of the Trust
Agreement; and (b) from the Payahead Account to the Collection Account, in
immediately available funds, the aggregate amount of previously deposited
Payaheads to be applied to the related Scheduled Receivable Payments on
Precomputed Receivables for the related Collection Period or prepayments for the
related Collection Period, pursuant to Section 8.05(b) of the Trust Agreement,
each in the amounts set forth in the Servicer's Certificate delivered on the
related Determination Date. A single, net transfer between the Payahead Account
and the Collection Account may be made. Any amount deposited in any Payahead
Account other than interest income shall not constitute Available Funds under
Section 8.03. Any amount deposited to the Collection Account from a Payahead
Account pursuant to this Section 8.07 shall be included in Available Funds under
Section 8.03. On the last scheduled payment date, for any non-delinquent
Precomputed Receivable, any remaining balance on the loan based on the actuarial
method shall be transferred (as instructed by the Servicer) from the Payahead
Account to Available Funds to be distributed as principal. On the Final
Distribution Date, any remaining money in the Payahead Account shall be released
from the Lien of this Indenture and transferred to the Servicer.

         SECTION 8.08 [RESERVED] RELEASE OF PLEDGED ASSETS.

                  (a) Subject to the payment of its fees and expenses pursuant
         to Section 6.07, the Indenture Trustee may, and when required by the
         provisions of this Indenture shall, execute instruments to release
         property from the lien of this Indenture, or convey the Indenture
         Trustee's interest in the same, in a manner and under circumstances
         that are not inconsistent with the provisions of this Indenture. No
         party relying upon an instrument executed by the Indenture Trustee as
         provided in this Article 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 monies.

                  (b) The Indenture Trustee shall, at such time as there are no
         Notes Outstanding and all sums due the Indenture Trustee pursuant to
         Section 6.07 and to the Insurer pursuant to the Insurance Agreement
         have been paid, release any remaining portion of the Pledged Assets
         that secured the Notes from the lien of this Indenture and release to
         the Issuer or any other Person entitled thereto any funds then on
         deposit in the Trust Accounts. The Indenture Trustee shall release
         property from the lien of this Indenture pursuant to this Section
         8.09(b) only upon receipt of an Issuer Request accompanied by an
         Officer's Certificate, an Opinion of Counsel and (if required by the
         Trust Indenture Act) Independent Certificates in accordance with Trust
         Indenture Act Sections 314(c) and 314(d)(1) meeting the applicable
         requirements of Section 12.01.

         SECTION 8.10 OPINION OF COUNSEL. The Indenture Trustee shall receive at
least seven days' notice when requested by the Issuer to take any action
pursuant to Section 8.09(a), accompanied by copies of any instruments involved,
and the Indenture Trustee shall also require, as a condition to such action, an
Opinion of Counsel, in form and substance satisfactory to the Indenture Trustee
(and not at the expense of 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 and such action will not materially and adversely impair the
security for the Notes or the rights of the Noteholders in

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contravention of the provisions of this Indenture; provided, however, that such
Opinion of Counsel shall not be required to express an opinion as to the fair
value of the Pledged Assets. 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 8.11 CALCULATION OF NOTIONAL PRINCIPAL AMOUNT.

                  (a) Solely for the purpose of calculating the Class I Monthly
         Interest, the aggregate Class A Note Balance will be divided into, and
         equal the sum of, two principal components: (i) the "PAC Component" and
         (ii) the "Companion Component." The PAC Component shall initially equal
         the Original Notional Principal Amount.

                  (b) On each Payment Date, solely for the purposes of
         calculating the Notional Principal Amount, the Monthly Principal will
         be allocated (i) first, to the PAC Component up to the amount necessary
         to reduce the PAC Component to its Planned Notional Principal Amount
         for such Payment Date, as specified on the Planned Notional Principal
         Amount Schedule attached as Schedule B, (ii) second, to the Companion
         Component until the balance thereof is reduced to zero, and (iii)
         third, to the PAC Component without regard to the Planned Notional
         Principal Amount for such Payment Date, until reduced to zero. If the
         amount of Available Funds (together with amounts withdrawn from the
         Spread Account) are not sufficient on any Payment Date to pay the
         required payment of Class A Monthly Principal to the Class A
         Noteholders in full on any Payment Date at any time after the
         occurrence and during the continuance of an Insurer Default, any
         shortfall in the principal payments on the Class A Notes will be
         allocated to reduce the PAC Component and the Companion Component on a
         pro rata basis. To the extent there are any recoveries on the
         Receivables creating such shortfall, such recoveries, to the extent of
         any portion thereof allocable to Class I Monthly Interest, shall be
         allocated to pay Class I Monthly Interest.

                                   ARTICLE IX

                               CREDIT ENHANCEMENT

         SECTION 9.01 SUBORDINATION. The rights of the Certificateholder shall
be subordinated to the rights of Class A Noteholders and the Class I
Noteholders.

         SECTION 9.02 SPREAD ACCOUNT.

                  (a) The Transferor, simultaneously with the execution and
         delivery of this Indenture and pursuant to Section 9.06 of the Trust
         Agreement, caused the Spread Account Depositor to execute and deliver
         the Series 2003-LJ-1 to the Spread Account Agreement and, pursuant to
         the terms thereof, to deposit the Spread Account Initial Deposit in the
         Spread Account on the Closing Date. Although the Spread Account
         Depositor as Certificateholder, has pledged the Spread Account to the
         Collateral Agent and the Insurer pursuant to the Spread Account
         Agreement, the Spread Account shall not

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         under any circumstances be deemed to be a part of or otherwise
         includible in the Issuer or the Pledge Assets.

                  (b) If on any Payment Date, as set forth in the Servicer's
         Certificate, the amount of Available Funds is insufficient to make the
         distributions required by Sections 8.05(a)(i) through (vi), the
         Indenture Trustee shall notify the Collateral Agent, in accordance with
         Section 9.05(b) of the Trust Agreement to withdraw from the Spread
         Account, for deposit in the Collection Account the lesser of (i) the
         entire Available Spread Amount and (ii) the Deficiency Claim Amount.

                  (c) On each Payment Date, all distributions made pursuant to
         Section 8.05(a)(vii) and (x) shall be deposited into the Spread
         Account.

                  (d) Provided that investments are made in compliance with the
         terms of this Indenture and the other Basic Documents, the Indenture
         Trustee shall not be liable for investments losses, including without
         limitation, losses incurred as a result of the liquidation at any
         investment prior to its stated maturity.

         SECTION 9.03 POLICY.

                  (a) In the event that the Indenture Trustee has delivered a
         Deficiency Notice with respect to any Determination Date, the Indenture
         Trustee shall determine on the Determination Date for the related Draw
         Date whether the sum of (i) the Available Funds with respect to such
         Determination Date (as stated in the Servicer's Certificate with
         respect to such Determination Date) plus (ii) the amount of the
         Deficiency Claim Amount, if any, available to be distributed pursuant
         to the Spread Account Agreement by the Collateral Agent to the
         Indenture Trustee pursuant to a Deficiency Notice delivered with
         respect to such Payment Date (as stated in the certificate delivered on
         the immediately preceding Deficiency Claim Date by the Collateral Agent
         pursuant to Section 3.03(a) of the Spread Account Agreement) plus (iii)
         the Insurer Optional Deposit, if any, with respect to such
         Determination Date, would be insufficient, after giving effect to the
         payments required by Section 8.05(a)(i), (ii) and (iii) to pay the
         Scheduled Payments (as defined in the Policy) for the related Payment
         Date, then in such event the Indenture Trustee shall furnish to the
         Insurer no later than 12:00 noon New York City time on the
         Determination Date and in no event later than the Draw Date a completed
         Notice of Claim in the amount of the shortfall in amounts so available
         to pay the Scheduled Payments with respect to such Payment Date (the
         amount of such shortfall being hereinafter referred to as the "Policy
         Claim Amount"). Amounts paid by the Insurer under the Policy shall be
         deposited by the Indenture Trustee into the Collection Account for
         payment to Noteholders on the related Payment Date (or promptly
         following payment by the Insurer on a later date as set forth in the
         Policy) solely in accordance with the terms of the Policy.

                  (b) Any notice delivered by the Indenture Trustee to the
         Insurer pursuant to Section 9.03(b) shall specify the Policy Claim
         Amount claimed under the Policy and shall constitute a "Notice of
         Claim" under the Policy. In accordance with the provisions of the
         Policy, the Insurer is required to pay to the Indenture Trustee the
         Policy Claim Amount

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         properly claimed thereunder by 12:00 noon, New York City time, on the
         later of (i) the third Business Day (as defined in the Policy)
         following receipt on a Business Day (as defined in the Policy) of the
         Notice of Claim, and (ii) the applicable Payment Date. Any payment made
         by the Insurer under the Policy shall be applied solely to the payment
         of Scheduled Payments on the Notes, and for no other purpose.

                  (c) The Indenture Trustee shall (i) receive as
         attorney-in-fact of each Noteholder any Policy Claim Amount from the
         Insurer and (ii) deposit the same in the Collection Account for
         distribution to the Noteholders solely in accordance with the terms of
         the Policy. Any and all Policy Claim Amounts disbursed by the Indenture
         Trustee from claims made under the Policy shall not be considered
         payment by the Trust or from the Spread Account with respect to such
         Notes, and shall not discharge the obligations of the Trust with
         respect thereto. The Insurer shall, to the extent it makes any payment
         with respect to the Notes, become subrogated to the rights of the
         recipients of such payments to the extent of such payments. Subject to
         and conditioned upon any payment with respect to the Notes by or on
         behalf of the Insurer, each Noteholder shall be deemed without further
         action, to have directed the Indenture Trustee to assign to the Insurer
         all rights to the payment of interest or principal with respect to the
         Notes which are then due for payment to the extent of all payments made
         by the Insurer, and the Insurer may exercise any option, vote, right,
         power or the like with respect to the Notes to the extent that it has
         made payment pursuant to the Policy. Notwithstanding the foregoing, the
         order of priority of payments to be made pursuant to Section 8.05(a)
         shall not be modified by this Section 9.03. To evidence such
         subrogation, the Note Registrar shall note the Insurer's rights as
         subrogee upon the register of Noteholders upon receipt from the Insurer
         of proof of payment by the Insurer of any Scheduled Payments (as
         defined in the Policy). The foregoing subrogation shall in all cases be
         subject to the rights of the Noteholders to receive all Scheduled
         Payments (as defined in the Policy) in respect of the Notes.

                  (d) The Indenture Trustee shall keep a complete and accurate
         record of all funds received by it from the Insurer, amounts deposited
         by the Indenture Trustee into the Collection Account and the allocation
         of such funds to payment of interest on and principal paid in respect
         of any Note. The Insurer shall have the right to inspect such records
         at reasonable times upon one Business Day's prior notice to the
         Indenture Trustee.

                  (e) The Indenture Trustee shall be entitled, but not
         obligated, to enforce on behalf of the Noteholders the obligations of
         the Insurer under the Policy. Notwithstanding any other provision of
         this Agreement or any Basic Document, the Noteholders are not entitled
         to institute proceedings directly against the Insurer.

                  (f) In the event that the Indenture Trustee has received a
         certified copy of an order of the appropriate court that any Scheduled
         Payment (as defined in the Policy) paid on a Note has been avoided in
         whole or in part as a preference payment under applicable bankruptcy
         law, the Indenture Trustee shall so notify the Insurer, shall comply
         with the provisions of the Policy to obtain payment by the Insurer of
         such avoided payment, and shall, at the time it provides notice to the
         Insurer, notify Holders of the Notes by mail

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         that, in the event that any Noteholder's payment is so recoverable,
         such Noteholder will be entitled to payment pursuant to the terms of
         the Policy. The Indenture Trustee shall furnish to the Insurer its
         records evidencing the payments of principal and interest on Notes, if
         any, which have been made by the Indenture Trustee and subsequently
         recovered from Noteholders, and the dates on which such payments were
         made. Pursuant to the terms of the Policy, the Insurer will make such
         payment on behalf of the Noteholder to the receiver, conservator,
         debtor-in-possession or trustee in bankruptcy named in the Order (as
         defined in the Policy) and not to the Indenture Trustee or any
         Noteholder directly (unless a Noteholder has previously paid such
         payment to the receiver, conservator, debtor-in-possession or trustee
         in bankruptcy, in which case the Insurer will make such payment to the
         Indenture Trustee for distribution in accordance with the instructions
         to be provided by the Insurer, to such Noteholder upon proof of such
         payment reasonably satisfactory to the Insurer).

                  (g) Each Notice of Claim shall provide that the Indenture
         Trustee, on its behalf and on behalf of the Noteholders, thereby
         appoints the Insurer as agent and attorney-in-fact for the Indenture
         Trustee and each Noteholder in any legal proceeding with respect to the
         Notes. The Indenture Trustee shall promptly notify the 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, rehabilitation or similar law (a "Preference
         Claim") of any distribution made with respect to the Notes. Each
         Holder, by its purchase of Notes, and the Indenture Trustee hereby
         agree that so long as the Insurer is the Controlling Party the Insurer
         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 any Preference Claim and (ii) the posting of any
         surety, supersedeas or performance bond pending any such appeal at the
         expense of the Insurer, but subject to reimbursement as provided in the
         Insurance Agreement. In addition, and without limitation of the
         foregoing, as set forth in Section 9.03(c), the Insurer shall be
         subrogated to, and each Noteholder and the Indenture Trustee hereby
         delegate and assign, to the fullest extent permitted by law, the rights
         of the Indenture Trustee and each Noteholder in the conduct of any
         proceeding with respect to a Preference Claim, including, without
         limitation, all rights of any party to an adversary proceeding action
         with respect to any court order issued in connection with any such
         Preference Claim. Any right of the Insurer to receive payments in
         respect of the subrogation resulting from payments made pursuant to the
         Policy shall be subject in every case to (i) the priority of payment
         set forth in the Indenture and (ii) the prior payment in full to
         Noteholders of all payments by the Policy that are then due.

         SECTION 9.04 SURRENDER OF THE POLICY. The Indenture Trustee shall
surrender the Policy to the Insurer for cancellation upon its expiration in
accordance with the terms thereof and payment of all amounts due thereunder.

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                                    ARTICLE X

                             SUPPLEMENTAL INDENTURES

         SECTION 10.01 SUPPLEMENTAL INDENTURES WITHOUT CONSENT OF NOTEHOLDERS.

                  (a) Without the consent of the Holders of any Notes but with
         the consent of the Insurer (so long as it is the Controlling Party) and
         with prior notice to each Rating Agency, the Issuer and the Indenture
         Trustee, when authorized by an Issuer Order, and the other parties
         hereto at any time and from time to time, may enter into one or more
         indentures supplemental hereto (which shall conform to the provisions
         of the Trust Indenture Act as in force at the date of the execution
         thereof), in form satisfactory to the Indenture Trustee, for any of the
         following purposes:

                           (i) 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 created by this Indenture, or to subject to the lien
                  created by this Indenture additional property;

                           (ii) to evidence the succession, in compliance with
                  the applicable provisions hereof, of another Person to the
                  Issuer, and the assumption by any such successor of the
                  covenants of the Issuer herein and in the Notes contained;

                           (iii) to add to the covenants of the Issuer, for the
                  benefit of the Noteholders, or to surrender any right or power
                  herein conferred upon the Issuer;

                           (iv) to convey, transfer, assign, mortgage or pledge
                  any property to or with the Indenture Trustee;

                           (v) to cure any ambiguity, to correct or supplement
                  any provision herein or in any supplemental indenture which
                  may be inconsistent with any other provision herein or in any
                  supplemental indenture or the Basic Documents or to make any
                  other provisions with respect to matters or questions arising
                  under this Indenture or in any supplemental indenture;
                  provided that such action shall not adversely affect the
                  interests of the Noteholders;

                           (vi) to evidence and provide for the acceptance of
                  the appointment hereunder by successor trustee with respect to
                  the Notes and to add to or change any of the provisions of
                  this Indenture as shall be necessary to facilitate the
                  administration of the trusts hereunder by more than one
                  trustee, pursuant to the requirements of Article VI; or

                           (vii) 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 Trust
                  Indenture Act or under any similar federal statute hereafter
                  enacted and to add to this Indenture such other provisions as
                  may be expressly required by the Trust Indenture Act.

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         The Indenture Trustee is hereby authorized to join in the execution of
any such supplemental indenture and to make any further appropriate agreements
and stipulations that may be therein contained.

                  (b) The Issuer and the Indenture Trustee, when authorized by
         an Issuer Order, may, also without the consent of any of the
         Noteholders but with the consent of the Insurer so long as it is the
         Controlling Party and with prior notice to each Rating Agency, 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 Noteholders under this Indenture; provided, however, that
         such action shall not, as evidenced by an Opinion of Counsel, adversely
         affect in any material respect the interests of any Noteholder.

         SECTION 10.02 SUPPLEMENTAL INDENTURES WITH CONSENT OF NOTEHOLDERS.

                  (a) The Issuer and the Indenture Trustee, when authorized by
         an Issuer Order, also may, with prior notice to each Rating Agency,
         with the consent of the Insurer (so long as it is the Controlling
         Party) and with the consent of the Holders of not less than a majority
         of the Note Balances, by Act of such Holders delivered to the Issuer
         and the Indenture Trustee, 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 Noteholders
         under this Indenture; provided, however, that, subject to the express
         rights of the Insurer under the Basic Documents, no such supplemental
         indenture shall, without the consent of the Holder of each Outstanding
         Note affected thereby:

                           (i) change the date of payment of any installment of
                  principal of or interest on any Note, or reduce the principal
                  amount thereof, the interest rate thereon or the Redemption
                  Price with respect thereto, or change any place of payment
                  where, or the coin or currency in which, any Note or the
                  interest thereon is payable;

                           (ii) impair the right to institute suit for the
                  enforcement of the provisions of this Indenture requiring the
                  application of funds available therefor, as provided in
                  Article V, to the payment of any such amount due on the Notes
                  on or after the respective due dates thereof (or, in the case
                  of redemption, on or after the Redemption Date);

                           (iii) reduce the percentage of the Note Balances, 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 certain
                  provisions of this Indenture or certain defaults hereunder and
                  their consequences provided for in this Indenture;

                           (iv) modify or alter the provisions of the second
                  proviso to the definition of the term "Outstanding";

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                           (v) reduce the percentage of the Note Balances, the
                  consent of the Holders of which is required to direct the
                  Indenture Trustee to sell or liquidate the Pledged Assets
                  pursuant to Section 5.04;

                           (vi) decrease the percentage of the Note Balances
                  required to amend this Indenture or the other Basic Documents;

                           (vii) permit the creation of any lien ranking prior
                  to or on a parity with the lien created by this Indenture with
                  respect to any part of the Pledged Assets or, except as
                  otherwise permitted or contemplated herein, terminate the lien
                  created by this Indenture on any property at any time subject
                  hereto or deprive the Holder of any Note of the security
                  provided by the lien created by this Indenture.

                  (b) 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.

                  (c) It shall not be necessary for any act of Noteholders under
         this Section 10.02 to approve the particular form of any proposed
         supplemental indenture, but it shall be sufficient if such act shall
         approve the substance thereof.

                  (d) Promptly after the execution by the parties hereto of any
         supplemental indenture pursuant to this Section 10.02, the Indenture
         Trustee shall mail to the Noteholders to which such amendment or
         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 10.03 EXECUTION OF SUPPLEMENTAL INDENTURES. In executing, or
permitting the additional trusts created by, any supplemental indenture
permitted by this Article or the modifications thereby of the trusts created by
this Indenture, the Insurer and the Indenture Trustee shall be entitled to
receive, and subject to Sections 6.01 and 6.02 shall be fully protected in
relying upon, an Opinion of Counsel and an Officers' Certificate stating that
the execution of such supplemental indenture is authorized or permitted by this
Indenture. 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, liabilities or immunities under this Indenture or otherwise.

         SECTION 10.04 EFFECT OF SUPPLEMENTAL INDENTURE. Upon the execution of
any supplemental indenture pursuant to the provisions hereof, this Indenture
shall be and be deemed to be modified and amended in accordance therewith with
respect to the Notes affected thereby, and the respective rights, limitations of
rights, obligations, duties, liabilities and immunities under this Indenture of
the parties hereto and the Noteholders shall thereafter be determined, exercised
and enforced hereunder subject in all respects to such modifications and
amendments,

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and all the terms and conditions of any such supplemental indenture shall be and
be deemed to be part of the terms and conditions of this Indenture for any and
all purposes.

         SECTION 10.05 CONFORMITY WITH TRUST INDENTURE ACT. Every amendment of
this Indenture and every supplemental indenture executed pursuant to this
Article shall conform to the requirements of the Trust Indenture Act as then in
effect so long as this Indenture shall then be qualified under the Trust
Indenture Act.

         SECTION 10.06 REFERENCE IN NOTES TO SUPPLEMENTAL INDENTURES. Notes
authenticated and delivered after the execution of any supplemental indenture
pursuant to this Article 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 Issuer or the Indenture
Trustee shall so determine, new notes so modified as to conform, in the opinion
of the Indenture Trustee and the Issuer, to any such supplemental indenture may
be prepared and executed by the Issuer and authenticated and delivered by the
Indenture Trustee in exchange for Outstanding Notes.

                                   ARTICLE XI

                               REDEMPTION OF NOTES

         SECTION 11.01 REDEMPTION. In the event that the Servicer exercises its
right to require disposition of the corpus of the Trust pursuant to Section
16.02 of the Trust Agreement, the Notes are subject to redemption in whole, but
not in part, on the Payment Date on which such repurchase occurs, for a purchase
price equal to the Redemption Price; provided, however, that the Issuer has
available funds sufficient to pay the Redemption Price. The Servicer or the
Issuer shall furnish the Insurer and each Rating Agency notice of such
redemption. If the Notes are to be redeemed pursuant to this Section 11.01, the
Servicer or the Issuer shall furnish notice of such election to the Insurer and
Indenture Trustee not later than ten (10) days prior to the Redemption Date and
the Issuer shall deposit with the Indenture Trustee in the Collection Account
the Redemption Price of the Notes to be redeemed whereupon all such Notes shall
be due and payable on the Redemption Date upon the furnishing of a notice
complying with Section 11.02 to each Holder of the Notes.

         SECTION 11.02 FORM OF REDEMPTION NOTICE. Notice of redemption under
Section 11.01 shall be given by the Indenture Trustee by first-class mail,
postage prepaid, mailed not less than five days prior to the applicable
Redemption Date to each Holder of Notes, as of the close of business on the
Record Date preceding the applicable Redemption Date, at such Holder's address
appearing in the Note Register. In addition, the Administrator shall notify the
Insurer and Rating Agencies upon the redemption of any Class of Notes, pursuant
to Section 2.06(b).

                  All notices of redemption shall state:

                           (i) the Redemption Date;

                           (ii) the Redemption Price;

                           (iii) CUSIP numbers; and

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<PAGE>

                           (iv) the place where such Notes are to be surrendered
                  for payment of the Redemption Price (which shall be the office
                  or agency of the Issuer to be maintained as provided in
                  Section 3.02).

         Notice of redemption of the Notes shall be given by the Indenture
Trustee in the name and at the expense of the Issuer. Failure to give notice of
redemption, or any defect therein, to any Holder of any Note shall not impair or
affect the validity of the redemption of any other Note.

         SECTION 11.03 NOTES PAYABLE ON REDEMPTION DATE. The Notes or portions
thereof to be redeemed shall, following notice of redemption (if any) as
required by Section 11.02, on the Redemption Date become due and payable at the
Redemption Price and (unless the Issuer shall default in the payment of the
Redemption Price) no interest shall accrue on the Redemption Price for any
period after the date to which accrued interest is calculated for purposes of
calculating the Redemption Price.

                                   ARTICLE XII

                                  MISCELLANEOUS

         SECTION 12.01 COMPLIANCE CERTIFICATES AND OPINIONS, ETC.

                  (a) Upon any application or request by the Issuer or the
         Insurer (so long as it is the Controlling Party) to the Indenture
         Trustee to take any action under any provision of this Indenture, the
         Issuer or the Insurer, as applicable, shall furnish to the Indenture
         Trustee (i) 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, (ii) an Opinion of Counsel
         stating that in the opinion of such counsel all such conditions
         precedent, if any, have been complied with and (iii) (if required by
         the Trust Indenture Act) an Independent Certificate from a firm of
         certified public accountants meeting the applicable requirements of
         this Section and Trust Indenture Act Sections 314(c) and 314(d) (1).
         Notwithstanding the foregoing, 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, no additional certificate
         or opinion need be furnished.

         Every certificate or opinion with respect to compliance with a
condition or covenant provided for in this Indenture shall include:

                           (i) a statement that each signatory of such
                  certificate or opinion has read or has caused to be 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 or opinion are based;

                           (iii) a statement that, in the opinion of each such
                  signatory, such signatory has made such examination or
                  investigation as is necessary to enable

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                  such signatory 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 signatory, such condition or covenant has been
                  complied with.

                  (b) (i) Prior to the deposit of any Pledged Assets or other
         property or securities with the Indenture Trustee that is to be made
         the basis for the release of any property subject to the lien created
         by this Indenture, the Issuer shall, in addition to any obligation
         imposed in Section 12.01(a) or elsewhere in this Indenture, furnish to
         the Indenture Trustee and the Insurer an Officer's Certificate
         certifying or stating the opinion of the signer thereof as to the fair
         value (within 90 days of such deposit) to the Issuer of the Pledged
         Assets or other property or securities to be so deposited.

                           (ii) Whenever the Issuer is required to furnish to
                  the Indenture Trustee and the Insurer an Officer's Certificate
                  certifying or stating the opinion of any signer thereof as to
                  the matters described in clause (i) above, the Issuer shall
                  also deliver to the Indenture Trustee and the Insurer an
                  Independent Certificate as to the named matters, if the fair
                  value to the Issuer of the property to be so deposited and of
                  all other such property made the basis of any such withdrawal
                  or release since the commencement of the then-current fiscal
                  year of the Issuer, as set forth in the Officer's Certificates
                  delivered pursuant to clause (i) above and this clause (ii),
                  is 10% or more of the Note Balances, but such Officer's
                  Certificate need not be furnished with respect to any property
                  so deposited, if the fair value thereof to the Issuer as set
                  forth in the related Officer's Certificate is less than
                  $25,000 or less than one percent of the Note Balances.

                           (iii) Whenever any property or securities are to be
                  released from the lien created by this Indenture, the Issuer
                  shall also furnish to the Indenture Trustee and the Insurer 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
                  created by this Indenture in contravention of the provisions
                  hereof.

                           (iv) Whenever the Issuer is required to furnish to
                  the Indenture Trustee and the Insurer an Officer's Certificate
                  certifying or stating the opinion of any signer thereof as to
                  the matters described in clause (iii) above, the Issuer shall
                  also furnish to the Indenture Trustee and the Insurer an
                  Independent Certificate as to the same matters if the fair
                  value of the property or securities and of all other property
                  or securities released from the lien created by this Indenture
                  since the commencement of the then current fiscal year, as set
                  forth in the Officer's Certificate required by clause (iii)
                  above and this clause (iv), equals 10% or more of the Note
                  Balances, but such Officer's 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 one percent of
                  the then Note Balances.

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         SECTION 12.02 FORM OF DOCUMENTS DELIVERED TO INDENTURE TRUSTEE.

                           (a) 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.

                           (b) Any certificate or opinion of an Authorized
                  Officer of the Issuer may be based, insofar as it relates to
                  legal matters, upon a certificate or opinion of, or
                  representations by, counsel, unless such officer 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 such certificate of an Authorized Officer or
                  Opinion of Counsel may be based, insofar as it relates to
                  factual matters, upon a certificate or opinion of, or
                  representations by, an officer or officers of the Servicer,
                  the Transferor or the Issuer, stating that the information
                  with respect to such factual matters is in the possession of
                  the Servicer, the Transferor or the Issuer, unless such
                  officer or counsel knows, or in the exercise of reasonable
                  care should know, that the certificate or opinion or
                  representations with respect to such matters are erroneous.

                           (c) 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.

                           (d) Whenever in this Indenture, in connection with
                  any application or certificate or report to the Indenture
                  Trustee, it is provided that the Issuer shall deliver any
                  document as a condition of the granting of such application,
                  or as evidence of the Issuer'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 Issuer 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 Article Six.

         SECTION 12.03 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 agents 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

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<PAGE>

         expressly required, to the Issuer. 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) conclusive in favor of the
         Indenture Trustee and the Issuer, if made in the manner provided in
         this Section 12.03.

                  (b) The fact and date of the execution by any Person of any
         such instrument or writing may be proved in any manner that the
         Indenture Trustee deems sufficient.

                  (c) The ownership of Notes shall be proved by the Note
         Register and the record date applicable to any solicitation for an Act
         of the Noteholders shall comply with Section 316(c) of the Trust
         Indenture Act.

                  (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 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 Issuer
         in reliance thereon, whether or not notation of such action is made
         upon such Note.

         SECTION 12.04 NOTICES, ETC., TO INDENTURE TRUSTEE, ISSUER, INSURER AND
RATING AGENCIES.

                  (a) Any request, demand, authorization, direction, notice,
         consent, waiver or Act of Noteholders or other documents provided or
         permitted by this Indenture shall be in writing and if such request,
         demand, authorization, direction, notice, consent, waiver or Act of
         Noteholders is to be made upon, given or furnished to or filed with:

                           (i) the Indenture Trustee by any Noteholder, the
                  Insurer or by the Issuer shall be sufficient for every purpose
                  hereunder if in writing, personally delivered, sent by
                  facsimile transmission and confirmed or mailed by overnight
                  service, to or with the Indenture Trustee at its Corporate
                  Trust Office;

                           (ii) the Issuer by the Indenture Trustee, the Insurer
                  or by any Noteholder shall be sufficient for every purpose
                  hereunder if in writing, personally delivered, sent by
                  facsimile transmission and confirmed or mailed by overnight
                  service, to the Issuer addressed to: Bay View 2003-LJ-1 Owner
                  Trust in care of Wilmington Trust Company, as Owner Trustee,
                  Plaza Building, 1st Floor, 301 West 11th Street, Wilmington,
                  Delaware 19890-0001, Attention: Corporate Trust Administration
                  or at any other address furnished in writing to the Indenture
                  Trustee by the Issuer; or

                           (iii) the Insurer by the Issuer or the Indenture
                  Trustee shall be sufficient for any purpose hereunder if in
                  writing, personally delivered, sent by facsimile transmission
                  and confirmed or mailed by overnight service, to the Insurer
                  addressed to:

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Indenture
<PAGE>

                           Financial Security Assurance Inc.
                           350 Park Avenue
                           New York, New York 10022
                           Attention: Transaction Oversight
                           Re: Auto Receivables Trust 2003-LJ-1
                           Telex No:      (212) 688-3101
                           Confirmation:  (212) 826-0100
                           Telecopy Nos.: (212) 339-3518 or
                                          (212) 339-3529

(In each case in which notice or other communication to the Insurer refers to an
Event of Default, a claim on the Policy or with respect to which failure on the
part of the Insurer to respond shall be deemed to constitute consent or
acceptance, then a copy of such notice or other communication should also be
sent to the attention of the General Counsel and the Head-Financial Guaranty
Group marked "URGENT MATERIAL ENCLOSED.")

                  (b) Notices required to be given to the Rating Agencies by the
         Issuer, the Indenture Trustee or the Owner Trustee shall be in writing,
         personally delivered, sent by facsimile transmission and confirmed or
         mailed by overnight service, to (i) in the case of Moody's at the
         following address:

                           Moody's Investors Service, Inc.
                           ABS Monitoring Department
                           99 Church Street
                           New York, New York 10007

and (ii) in the case of Standard & Poor's, at the following address:

                           Standard & Poor's Ratings Services,
                           a division of the McGraw-Hill Companies, Inc.
                           55 Water Street (40th Floor)
                           New York, New York 10041-0003
                           Attention: Structured Finance/Asset Backed
                                      Surveillance Department

or as to each of the foregoing, at such other address as shall be designated by
written notice to the other parties.

         SECTION 12.05 NOTICES TO NOTEHOLDERS; WAIVER.

                  (a) Where this Indenture provides for notice to Noteholders of
         any event, such notice shall be sufficiently given (unless otherwise
         herein expressly provided) if in writing and mailed, first-class,
         postage prepaid to each Noteholder affected by such event, at his
         address 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. In any case where notice to Noteholders is given by
         mail, neither the failure to mail such notice nor

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<PAGE>

         any defect in any notice so mailed to any particular Noteholder shall
         affect the sufficiency of such notice with respect to other
         Noteholders, and any notice that is mailed in the manner herein
         provided shall conclusively be presumed to have been duly given.

                  (b) 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 a waiver.

                  (c) 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.

                  (d) Where this Indenture provides for notice to the Rating
         Agencies, failure to give such notice shall not affect any other rights
         or obligations created hereunder, and shall not under any circumstance
         constitute a Default or Event of Default.

         SECTION 12.06 ALTERNATE PAYMENT AND NOTICE PROVISIONS. Notwithstanding
any provision of this Indenture or any of the Notes to the contrary, the Issuer
may enter into any agreement with any Holder of a Note providing for a method of
payment, or notice by the Indenture Trustee or any Paying Agent to such Holder,
that is different from the methods provided for in this Indenture for such
payments or notices. The Issuer will furnish to the Indenture Trustee a copy of
each such agreement and the Indenture Trustee will cause payments to be made and
notices to be given in accordance with such agreements.

         SECTION 12.07 CONFLICT WITH TRUST INDENTURE ACT.

                  (a) 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 Trust Indenture Act, such
         required provision shall control.

                  (b) The provisions of Trust Indenture Act Sections 310 through
         317 that impose duties on any Person (including the provisions
         automatically deemed included herein unless expressly excluded by this
         Indenture) are a part of and govern this Indenture, whether or not
         physically contained herein.

         SECTION 12.08 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 12.09 SUCCESSORS AND ASSIGNS. All covenants and agreements in
this Indenture and the Notes by the Issuer shall bind its successors and
assigns, whether so expressed or not. All agreements of the Indenture Trustee in
this Indenture shall bind its successors, co-trustees and agents.

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         SECTION 12.10 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 12.11 BENEFITS OF INDENTURE. The Insurer and its successors and
assigns shall be a third-party beneficiary to the provisions of this Indenture,
and shall be entitled to rely upon and directly to enforce such provisions of
this Indenture so long as the Insurer is the Controlling Party. Nothing in this
Indenture or in the Notes, express or implied, shall give to any Person, other
than the parties hereto and their successors hereunder, and the Noteholders, and
any other party secured hereunder, and any other Person with an ownership
interest in any part of the Pledged Assets, any benefit or any legal or
equitable right, remedy or claim under this Indenture. The Insurer may disclaim
any of its rights and powers under this Indenture, but not its duties and
obligations under the Policy, upon delivery of a written notice to the Indenture
Trustee.

         SECTION 12.12 LEGAL HOLIDAYS. In any case where the date on which any
payment is due 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 date on which nominally due, and no interest shall
accrue for the period from and after any such nominal date.

         SECTION 12.13 GOVERNING LAW. This Indenture shall be construed in
accordance with the laws of the State of New York, without regard to the
conflict of laws principles thereof, (except with regard to the UCC) and the
obligations, rights, and remedies of the parties under this Indenture shall be
determined in accordance with such laws.

         SECTION 12.14 COUNTERPARTS. This Indenture may be executed in several
counterparts, each of which shall be an original and all of which shall
constitute but one and the same instrument.

         SECTION 12.15 RECORDING OF INDENTURE. If this Indenture is subject to
recording in any appropriate public recording offices, such recording is to be
effected by the Issuer and at its expense accompanied by an Opinion of Counsel
(which may be counsel to the Indenture Trustee or any other counsel reasonably
acceptable to the Indenture Trustee and the Insurer) to the effect that such
recording is necessary either for the protection of the Noteholders or any other
Person secured hereunder or for the enforcement of any right or remedy granted
to the Indenture Trustee under this Indenture.

         SECTION 12.16 TRUST OBLIGATION. No recourse may be taken, directly or
indirectly, with respect to the obligations of the Issuer, 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 or the Owner Trustee in its individual capacity, (ii) any
owner of a beneficial interest in the Issuer 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 Issuer 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

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<PAGE>

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 Issuer hereunder, the Owner Trustee shall be
subject to, and entitled to the benefits of, the terms and provisions of
Articles Six, Seven and Eight of the Trust Agreement.

         SECTION 12.17 NO PETITION. The parties hereto, by entering into this
Indenture, and each Noteholder, by accepting a Note or a beneficial interest in
a Note, hereby covenant and agree that they will not at any time institute
against the Transferor or the Issuer, or join in any institution against the
Transferor or the Issuer 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 other Basic
Documents.

         SECTION 12.18 INSPECTION. The Issuer agrees that, on reasonable prior
notice, it will permit any representative of the Indenture Trustee or of the
Insurer (so long as it is the Controlling Party), during the Issuer's normal
business hours, to examine all the books of account, records, reports and other
papers of the Issuer, to make copies and extracts therefrom, to cause such books
to be audited by independent certified public accountants, and to discuss the
Issuer's affairs, finances and accounts with the Issuer's officers, employees
and independent certified public accountants, all at such reasonable times and
as often as may be reasonably requested. The Indenture Trustee and the Insurer
shall and shall cause their respective representatives to hold in confidence all
such information except to the extent disclosure may be required by law (and all
reasonable applications for confidential treatment are unavailing) and except to
the extent that the Indenture Trustee or the Insurer may reasonably determine
that such disclosure is consistent with its obligations hereunder.

         SECTION 12.19 LIMITATION OF LIABILITY OF OWNER TRUSTEE. Notwithstanding
anything contained herein to the contrary, this instrument has been
countersigned by the Owner Trustee not in its individual capacity but solely in
its capacity as Owner Trustee of the Issuer and in no event shall the Owner
Trustee in its individual capacity or any beneficial owner of the Issuer have
any liability for the representations, warranties, covenants, agreements or
other obligations of the Issuer hereunder, as to all of which recourse shall be
had solely to the assets of the Issuer. For all purposes of this Indenture, in
the performance of any duties or obligations of the Issuer hereunder, the Owner
Trustee shall be subject to, and entitled to the benefits of, the terms and
provisions of Articles VIII, XIII and XV of the Trust Agreement.

         SECTION 12.20 CERTAIN MATTERS REGARDING THE INSURER. So long as the
Insurer is the Controlling Party, the Insurer shall have the right to exercise
all rights (other than to receive payments), including voting rights, which the
Noteholders or Certificateholders are entitled to exercise pursuant to this
Indenture, without any consent of such Noteholders or Certificateholders;
provided, however, that without the consent of each Noteholder and
Certificateholder affected thereby, the Insurer shall not exercise such rights
to amend this Indenture in any manner that would (i) reduce the amount of, or
delay the timing of, collections of payments on the Receivables or distributions
which are required to be made on any Note or

                                       80
Indenture
<PAGE>

Certificate, (ii) adversely affect in any material respect the interests of the
Holders of any Notes or Certificates, or (iii) alter the rights of any such
Holder to consent to such amendment.

         SECTION 12.21 NO LEGAL TITLE IN HOLDERS. No Holder of a Note shall have
legal title to any part of the Trust Property. No transfer, by operation of law
or otherwise, of any Note or other right, title and interest of any Holder of a
Note in and to the Trust Property or hereunder shall operate to terminate this
Indenture or the trusts hereunder or entitle any successor or transferee of such
Holder to an accounting or to the transfer to it of legal title to any part of
the Trust Property.

         SECTION 12.22 EFFECT OF TERMINATION DATE. Notwithstanding anything to
the contrary set forth herein, all references to any right of the Insurer to
direct, appoint, consent to, accept, approve of, take or omit to take any action
under this Indenture or any other Basic Document shall be inapplicable at all
times after the Termination Date or Insurer Default, and (i) if such reference
provides for another party or parties to take or omit to take such action
following an Insurer Default, such party or parties shall also be entitled to
take or omit to take such action following the Termination Date or Insurer
Default and (ii) if such reference does not provide for another party or parties
to take or omit to take such action following an Insurer Default, then the
Indenture Trustee acting at the direction of the Majority Noteholders shall have
the right to take or omit to take any such action following the Termination Date
or Insurer Default. In addition, any other provision of this Indenture or any
other Basic Document which is operative based in whole or in part on whether an
Insurer Default has or has not occurred shall, at all times on or after the
Termination Date or Insurer Default, be deemed to refer to whether or not the
Termination Date has occurred.

         SECTION 12.23 SARBANES-OXLEY CERTIFICATIONS. The certifications
required by the Sarbanes-Oxley Act of 2002 and the rules of the Securities and
Exchange Commission promulgated thereunder to be included in filings with
respect to the Issuer pursuant to the Securities Exchange Act of 1934, as
amended, shall be made by BVAC, so long as BVAC is the Servicer; if BVAC is no
longer the Servicer, such certifications shall be made by the Transferor. If
BVAC is no longer the Servicer, the successor Servicer shall provide to the
Transferor all information as the Transferor may reasonably request in order to
fulfill its obligations to make such certifications. In addition, the Indenture
Trustee shall provide to BVAC or the Transferor (whichever of the two is then
required to make such certifications) with a certification signed by a
Responsible Officer stating that such Responsible Officer is not actually aware
(without any independent duty of inquiry or investigation) of any matters which
would cause the certification to be made by BVAC or the Transferor, as the case
may be, to be incorrect.

      [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK; SIGNATURE PAGES FOLLOW]

                                       81
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<PAGE>

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

                                    BAY VIEW 2003-LJ-1 OWNER TRUST

                                    By: Wilmington Trust Company
                                        not in its individual capacity but
                                        solely on behalf of the Issuer as Owner
                                        Trustee under the Trust Agreement

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

                                    DEUTSCHE BANK TRUST COMPANY AMERICAS not in
                                    its individual capacity but solely as
                                    Indenture Trustee

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Indenture
<PAGE>

                                   SCHEDULE A

                          FORM OF DEPOSITORY AGREEMENT

Indenture
<PAGE>

                                                                     EXHIBIT A-1

                            [FORM OF CLASS A-l NOTE]

PRINCIPAL IN RESPECT OF THIS CLASS A-l NOTE IS DISTRIBUTABLE AS SET FORTH
HEREIN. ACCORDINGLY, THE UNPAID PRINCIPAL AMOUNT OF THE FRACTIONAL INTEREST
EVIDENCED HEREBY AT ANY TIME MAY BE LESS THAN THE ORIGINAL PRINCIPAL AMOUNT SET
FORTH HEREIN.

         Unless this Note is presented by an authorized representative of The
Depository Trust Company, a New York corporation ("DTC"), to the issuer 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 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 thereof, Cede & Co., has an
interest herein.

PRINCIPAL IN RESPECT OF THIS NOTE IS PAYABLE AS SET FORTH HEREIN.

                         BAY VIEW 2003-LJ-1 OWNER TRUST

                  % CLASS A-l AUTOMOBILE RECEIVABLE BACKED NOTE

                  Evidencing the indebtedness of the Bay View 2003-LJ-1 Owner
                  Trust, a Delaware statutory trust, secured by the Pledged
                  Assets, as defined below, including a pool of simple and
                  precomputed interest installment loan and security agreements
                  and installment sales contracts secured by new and used
                  automobiles, light-duty trucks, sport utility vehicles and
                  vans.

                  (This Note does not represent an interest in Bay View
                  Transaction Corporation nor an interest in or obligation of
                  any of its affiliates. Neither this Note nor the underlying
                  Receivables, as defined below, are insured or guaranteed by
                  any government agency).

NUMBER                                                               $__________
                                                                CUSIP __________

         Bay View 2003-LJ-1 Owner Trust, a Delaware statutory trust, for value
received, hereby promises to pay to the order of [__________] ("the Noteholder")
or its registered assigns, the principal sum of [____________________ dollars
($__________)], which amount shall be payable in the amounts and at the times
set forth in the Indenture dated as of August 1, 2003 (the "Indenture"; such
term to include any amendment, restatement, supplement or other modification
thereof or thereto); provided, however, that the entire unpaid amount of this
Note shall be due and payable on or before [__________]. However, principal with
respect to the Notes may be paid earlier or later under certain limited
circumstances under the Indenture. The Issuer will pay

Indenture
<PAGE>

interest on this Note at the Class A-1 Interest Rate. Such interest shall be
payable in the manner and at the times set forth in the Indenture. To the extent
not otherwise defined herein, the capitalized terms used herein have the
meanings assigned to them in the Indenture. This Note is issued under and is
subject to the terms, provisions, and conditions of the Indenture, to which the
holder of this Note by virtue of the acceptance hereof assents and by which such
holder is bound.

         This Note is secured by the Pledged Assets. The Pledged Assets consist
of (i) the Receivables listed on Schedule A to the Trust Agreement, (ii) the
security interests in the Financed Vehicles or in any other property granted by
Obligors pursuant to the Receivables, (iii) any proceeds from claims and other
amounts relating to Insurance Policies and other items financed under the
Receivables or otherwise covering an Obligor or a Financed Vehicle, (iv) any
Liquidation Proceeds, (v) all property (including the right to receive future
Liquidation Proceeds) that secures a Receivable and that has been or may be
acquired pursuant to the liquidation of the Receivable, (vi) the interest of the
Issuer in any proceeds from recourse to Dealers relating to the Receivables,
(vii) all documents contained in the Receivable Files relating to the
Receivables, (viii) all monies paid on the Receivables, and all monies due
thereon after the Cut-off Date, (ix) the rights of the Transferor pursuant to
the Purchase Agreement and the Trust Agreement and the rights of the Issuer
pursuant to the Trust Agreement, including, without limitation, a direct right
to cause BVAC to purchase Receivables from the Transferor upon the occurrence of
a breach of any of the representations and warranties contained in Section
3.02(b) of the Purchase Agreement or the failure of BVAC to timely comply with
its obligations pursuant to Section 5.06 of the Purchase Agreement and (x) all
proceeds (including, without limitation, "proceeds" as defined in the UCC of the
jurisdiction the law of which governs the perfection of the interest in such
Receivables and such other property so transferred) of any of the foregoing.
Pledged Assets shall also include (a) any and all other right, title and
interest, including any beneficial interest the Issuer may have in the
Collection Account, the Payahead Account, the Reserve Account and the Lock-Box
Account (to the extent such amounts and property in the Lock-Box Account relate
to the Receivables), (b) the funds deposited in and financial assets credited to
and from time to time on deposit in such accounts (to the extent such amounts
and property in the Lock-Box account relate to the Receivables), and all
Eligible Investments and other securities, instruments and other investments
purchased from such funds.

         Under the Indenture, the Issuer will pay, on the twenty-fifth calendar
day of each month, or if such day is not a Business Day, on the first Business
Day thereafter (the "Payment Date"), commencing September 25, 2003, to the
person in whose name this Note is registered on the Record Date, the portion of
Monthly Interest and Monthly Principal to which the Noteholder is entitled
pursuant to the Indenture.

         Payments on this Note will be made by the Indenture Trustee by wire
transfer through the facilities of the Depository Trust Company if this note is
held by Cede & Co. and otherwise by check mailed to the Person entitled thereto
without the presentation or surrender of this Note or the making of any notation
hereon. Except as otherwise provided in the Indenture and notwithstanding the
above, the final payment on this Note will be made only upon presentation and
surrender of this Note at the office or agency maintained for that purpose by
the Indenture Trustee.

Indenture
<PAGE>

         Unless the certificate of authentication hereon shall have been
executed by a Responsible Officer of the Indenture Trustee, by manual or
facsimile signature, this Note shall not entitle the holder hereof to any
benefit under the Indenture or be valid for any purpose.

         This Note constitutes an obligation of the Issuer. The Note does not
represent an interest in the Issuer nor an interest in or obligation of any
affiliate of the Issuer, including Bay View Transaction Corporation or Bay View
Acceptance Corporation. The Note is limited in right of payment to certain
collections and recoveries respecting the Receivables, all as more specifically
set forth in the Indenture. In addition to the Class A-1 Notes, the Issuer has
also issued Class A-2 Notes, Class A-3 Notes, Class A-4 Notes and Class I Notes.
The Indenture provides for certain amounts to be deposited into the Spread
Account. In the event amounts available for withdrawal from the Spread Account
are insufficient to make payments relating to this Note and the other notes
issued by the Issuer, the Indenture Trustee will draw on the Policy to pay such
deficiency to the extent provided therein. In furtherance of and in limitation
of the foregoing, the Noteholder, by its acceptance of this Note, specifically
acknowledges that it has no right to or interest in any monies at any time held
pursuant to the Spread Account Agreement prior to the release of such monies
pursuant to the Spread Account Agreement, such monies being held in trust for
the benefit of the Secured Parties (as defined therein).

         The Indenture permits, with certain exceptions therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Noteholder under the Indenture at any time by the
Issuer and the Indenture Trustee with the consent of the Insurer and the
Noteholder. Any such consent by the holder of this Note shall be conclusive and
binding on the Noteholder.

         This Note is transferable solely in accordance with Section 2.04 of the
Indenture.

         The obligations and responsibilities to the Noteholder created by the
Indenture shall terminate upon the payment to Noteholder of all amounts required
to be paid to it pursuant to the Indenture. The Servicer may at its option cause
the Indenture Trustee to sell the Pledged Assets at a price not to be less than
the price specified in the Indenture, and such sale of the Receivables and other
property may effect early retirement of the Note.

         Although this Note summarizes certain provisions of the Indenture, this
Note does not purport to summarize the Indenture and reference is made to the
Indenture for information with respect to the interests, rights, benefits,
obligations, proceeds and duties evidenced hereby and the rights, duties and
obligations of the Indenture Trustee. In the event of any inconsistency or
conflict between the terms of this Note and the terms of the Indenture, the
terms of the Indenture shall control.

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

         IN WITNESS WHEREOF, the Issuer has caused this Note to be duly
executed.

Dated:
      ---------------

Indenture
<PAGE>

                                    BAY VIEW 2003-LJ-1 OWNER TRUST
                                    By  Wilmington Trust Company, not in its
                                    individual capacity but solely as Owner
                                    Trustee

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Indenture
<PAGE>

                          CERTIFICATE OF AUTHENTICATION

         This is the Note referred to in the within-mentioned Indenture.

    Deutsche Bank Trust Company Americas, solely in its capacity as Indenture

                                    Trustee,

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Dated:          , 2003
       ---------

Indenture
<PAGE>

                                   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.

Indenture
<PAGE>

                                                                     EXHIBIT A-2

                            [FORM OF CLASS A-2 NOTE]

PRINCIPAL IN RESPECT OF THIS CLASS A-2 NOTE IS DISTRIBUTABLE AS SET FORTH
HEREIN. ACCORDINGLY, THE UNPAID PRINCIPAL AMOUNT OF THE FRACTIONAL INTEREST
EVIDENCED HEREBY AT ANY TIME MAY BE LESS THAN THE ORIGINAL PRINCIPAL AMOUNT SET
FORTH HEREIN.

Unless this Note is presented by an authorized representative of The Depository
Trust Company, a New York corporation ("DTC"), to the issuer 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 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 thereof, Cede & Co., has an interest
herein.

PRINCIPAL IN RESPECT OF THIS NOTE IS PAYABLE AS SET FORTH HEREIN.

                         BAY VIEW 2003-LJ-1 OWNER TRUST

                  % CLASS A-2 AUTOMOBILE RECEIVABLE BACKED NOTE

                  Evidencing the indebtedness of the Bay View 2003-LJ-1 Owner
                  Trust, a Delaware statutory trust, secured by the Pledged
                  Assets, as defined below, including a pool of simple and
                  precomputed interest installment loan and security agreements
                  and installment sales contracts secured by new and used
                  automobiles, light-duty trucks, sport utility vehicles and
                  vans.

                  (This Note does not represent an interest in Bay View
                  Transaction Corporation nor an interest in or obligation of
                  any of its affiliates. Neither this Note nor the underlying
                  Receivables, as defined below, are insured or guaranteed by
                  any government agency).

NUMBER                                                               $__________
                                                                CUSIP __________

         Bay View 2003-LJ-1 Owner Trust, a Delaware statutory trust, for value
received, hereby promises to pay to the order of [__________] ("the Noteholder")
or its registered assigns, the principal sum of ____________________ dollars
($__________), which amount shall be payable in the amounts and at the times set
forth in the Indenture dated as of August 1, 2003 (the "Indenture"; such term to
include any amendment, restatement, supplement or other modification thereof or
thereto); provided, however, that the entire unpaid amount of this Note shall be
due and payable on or before ____________________. However, principal with
respect to the Notes may be paid earlier or later under certain limited
circumstances under the Indenture. The Issuer

Indenture
<PAGE>

will pay interest on this Note at the Class A-2 Interest Rate. Such interest
shall be payable in the manner and at the times set forth in the Indenture. To
the extent not otherwise defined herein, the capitalized terms used herein have
the meanings assigned to them in the Indenture. This Note is issued under and is
subject to the terms, provisions, and conditions of the Indenture, to which the
holder of this Note by virtue of the acceptance hereof assents and by which such
holder is bound.

         This Note is secured by the Pledged Assets. The Pledged Assets consist
of (i) the Receivables listed on Schedule A to the Trust Agreement, (ii) the
security interests in the Financed Vehicles or in any other property granted by
Obligors pursuant to the Receivables, (iii) any proceeds from claims and other
amounts relating to Insurance Policies and other items financed under the
Receivables or otherwise covering an Obligor or a Financed Vehicle, (iv) any
Liquidation Proceeds, (v) all property (including the right to receive future
Liquidation Proceeds) that secures a Receivable and that has been or may be
acquired pursuant to the liquidation of the Receivable, (vi) the interest of the
Issuer in any proceeds from recourse to Dealers relating to the Receivables,
(vii) all documents contained in the Receivable Files relating to the
Receivables, (viii) all monies paid on the Receivables, and all monies due
thereon after the Cut-off Date, (ix) the rights of the Transferor pursuant to
the Purchase Agreement and the Trust Agreement and the rights of the Issuer
pursuant to the Trust Agreement, including, without limitation, a direct right
to cause BVAC to purchase Receivables from the Transferor upon the occurrence of
a breach of any of the representations and warranties contained in Section
3.02(b) of the Purchase Agreement or the failure of BVAC to timely comply with
its obligations pursuant to Section 5.06 of the Purchase Agreement and (x) all
proceeds (including, without limitation, "proceeds" as defined in the UCC of the
jurisdiction the law of which governs the perfection of the interest in such
Receivables and such other property so transferred) of any of the foregoing.
Pledged Assets shall also include (a) any and all other right, title and
interest, including any beneficial interest the Issuer may have in the
Collection Account, the Payahead Account, the Reserve Account and the Lock-Box
Account (to the extent such amounts and property in the Lock-Box Account relate
to the Receivables), (b) the funds deposited in and financial assets credited to
and from time to time on deposit in such accounts (to the extent such amounts
and property in the Lock-Box account relate to the Receivables), and all
Eligible Investments and other securities, instruments and other investments
purchased from such funds.

         Under the Indenture, the Issuer will pay, on the twenty-fifth calendar
day of each month, or if such day is not a Business Day, on the first Business
Day thereafter (the "Payment Date"), commencing September 25, 2003, to the
person in whose name this Note is registered on the Record Date, the portion of
Monthly Interest and Monthly Principal to which the Noteholder is entitled
pursuant to the Indenture.

         Payments on this Note will be made by the Indenture Trustee by wire
transfer through the facilities of the Depository Trust Company if this note is
held by Cede & Co. and otherwise by check mailed to the Person entitled thereto
without the presentation or surrender of this Note or the making of any notation
hereon. Except as otherwise provided in the Indenture and notwithstanding the
above, the final payment on this Note will be made only upon presentation and
surrender of this Note at the office or agency maintained for that purpose by
the Indenture Trustee.

Indenture
<PAGE>

         Unless the certificate of authentication hereon shall have been
executed by a Responsible Officer of the Indenture Trustee, by manual or
facsimile signature, this Note shall not entitle the holder hereof to any
benefit under the Indenture or be valid for any purpose.

         This Note constitutes an obligation of the Issuer. The Note does not
represent an interest in the Issuer nor an interest in or obligation of any
affiliate of the Issuer, including Bay View Transaction Corporation or Bay View
Acceptance Corporation. The Note is limited in right of payment to certain
collections and recoveries respecting the Receivables, all as more specifically
set forth in the Indenture. In addition to the Class A-2 Notes, the Issuer has
also issued Class A-1 Notes, Class A-3 Notes, Class A-4 Notes and Class I Notes.
The Indenture provides for certain amounts to be deposited into the Spread
Account. In the event amounts available for withdrawal from the Spread Account
are insufficient to make payments relating to this Note and the other notes
issued by the Issuer, the Indenture Trustee will draw on the Policy to pay such
deficiency to the extent provided therein. In furtherance of and in limitation
of the foregoing, the Noteholder, by its acceptance of this Note, specifically
acknowledges that it has no right to or interest in any monies at any time held
pursuant to the Spread Account Agreement prior to the release of such monies
pursuant to the Spread Account Agreement, such monies being held in trust for
the benefit of the Secured Parties (as defined therein).

         The Indenture permits, with certain exceptions therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Noteholder under the Indenture at any time by the
Issuer and the Indenture Trustee with the consent of the Insurer and the
Noteholder. Any such consent by the holder of this Note shall be conclusive and
binding on the Noteholder.

         This Note is transferable solely in accordance with Section 2.04 of the
Indenture.

         The obligations and responsibilities to the Noteholder created by the
Indenture shall terminate upon the payment to Noteholder of all amounts required
to be paid to it pursuant to the Indenture. The Servicer may at its option cause
the Indenture Trustee to sell the Pledged Assets at a price not to be less than
the price specified in the Indenture, and such sale of the Receivables and other
property may effect early retirement of the Note.

         Although this Note summarizes certain provisions of the Indenture, this
Note does not purport to summarize the Indenture and reference is made to the
Indenture for information with respect to the interests, rights, benefits,
obligations, proceeds and duties evidenced hereby and the rights, duties and
obligations of the Indenture Trustee. In the event of any inconsistency or
conflict between the terms of this Note and the terms of the Indenture, the
terms of the Indenture shall control.

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

         IN WITNESS WHEREOF, the Issuer has caused this Note to be duly
executed.

Dated:_______________

Indenture
<PAGE>

                                    BAY VIEW 2003-LJ-1 OWNER TRUST
                                    By  Wilmington Trust Company, not in its
                                    individual capacity but solely as Owner
                                    Trustee

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Indenture
<PAGE>

                          CERTIFICATE OF AUTHENTICATION

         This is the Note referred to in the within-mentioned Indenture.

    Deutsche Bank Trust Company Americas, solely in its capacity as Indenture

                                    Trustee,

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Dated:
       ---------------------

Indenture
<PAGE>

                                   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.

Indenture
<PAGE>

                                                                     EXHIBIT A-3

                            [FORM OF CLASS A-3 NOTE]

PRINCIPAL IN RESPECT OF THIS CLASS A-3 NOTE IS DISTRIBUTABLE AS SET FORTH
HEREIN. ACCORDINGLY, THE UNPAID PRINCIPAL AMOUNT OF THE FRACTIONAL INTEREST
EVIDENCED HEREBY AT ANY TIME MAY BE LESS THAN THE ORIGINAL PRINCIPAL AMOUNT SET
FORTH HEREIN.

Unless this Note is presented by an authorized representative of The Depository
Trust Company, a New York corporation ("DTC"), to the issuer 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 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 thereof, Cede & Co., has an interest
herein.

PRINCIPAL IN RESPECT OF THIS NOTE IS PAYABLE AS SET FORTH HEREIN.

                         BAY VIEW 2003-LJ-1 OWNER TRUST

                  % CLASS A-3 AUTOMOBILE RECEIVABLE BACKED NOTE

                  Evidencing the indebtedness of the Bay View 2003-LJ-1 Owner
                  Trust, a Delaware statutory trust, secured by the Pledged
                  Assets, as defined below, including a pool of simple and
                  precomputed interest installment loan and security agreements
                  and installment sales contracts secured by new and used
                  automobiles, light-duty trucks, sport utility vehicles and
                  vans.

                  (This Note does not represent an interest in Bay View
                  Transaction Corporation nor an interest in or obligation of
                  any of its affiliates. Neither this Note nor the underlying
                  Receivables, as defined below, are insured or guaranteed by
                  any government agency).

NUMBER                                                               $__________
                                                                CUSIP __________

         Bay View 2003 LJ-1 Owner Trust, a Delaware statutory trust, for value
received, hereby promises to pay to the order of [__________] ("the Noteholder")
or its registered assigns, the principal sum of [____________________ dollars
($__________)], which amount shall be payable in the amounts and at the times
set forth in the Indenture dated as of August 1, 2003 (the "Indenture"; such
term to include any amendment, restatement, supplement or other modification
thereof or thereto); provided, however, that the entire unpaid amount of this
Note shall be due and payable on or before [____________________]. However,
principal with respect to the Notes may be paid earlier or later under certain
limited circumstances under the Indenture. The

Indenture
<PAGE>

Issuer will pay interest on this Note at the Class A-3 Interest Rate. Such
interest shall be payable in the manner and at the times set forth in the
Indenture. To the extent not otherwise defined herein, the capitalized terms
used herein have the meanings assigned to them in the Indenture. This Note is
issued under and is subject to the terms, provisions, and conditions of the
Indenture, to which the holder of this Note by virtue of the acceptance hereof
assents and by which such holder is bound.

         This Note is secured by the Pledged Assets. The Pledged Assets consist
of (i) the Receivables listed on Schedule A to the Trust Agreement, (ii) the
security interests in the Financed Vehicles or in any other property granted by
Obligors pursuant to the Receivables, (iii) any proceeds from claims and other
amounts relating to Insurance Policies and other items financed under the
Receivables or otherwise covering an Obligor or a Financed Vehicle, (iv) any
Liquidation Proceeds, (v) all property (including the right to receive future
Liquidation Proceeds) that secures a Receivable and that has been or may be
acquired pursuant to the liquidation of the Receivable, (vi) the interest of the
Issuer in any proceeds from recourse to Dealers relating to the Receivables,
(vii) all documents contained in the Receivable Files relating to the
Receivables, (viii) all monies paid on the Receivables, and all monies due
thereon after the Cut-off Date, (ix) the rights of the Transferor pursuant to
the Purchase Agreement and the Trust Agreement and the rights of the Issuer
pursuant to the Trust Agreement, including, without limitation, a direct right
to cause BVAC to purchase Receivables from the Transferor upon the occurrence of
a breach of any of the representations and warranties contained in Section
3.02(b) of the Purchase Agreement or the failure of BVAC to timely comply with
its obligations pursuant to Section 5.06 of the Purchase Agreement and (x) all
proceeds (including, without limitation, "proceeds" as defined in the UCC of the
jurisdiction the law of which governs the perfection of the interest in such
Receivables and such other property so transferred) of any of the foregoing.
Pledged Assets shall also include (a) any and all other right, title and
interest, including any beneficial interest the Issuer may have in the
Collection Account, the Payahead Account, the Reserve Account and the Lock-Box
Account (to the extent such amounts and property in the Lock-Box Account relate
to the Receivables), (b) the funds deposited in and financial assets credited to
and from time to time on deposit in such accounts (to the extent such amounts
and property in the Lock-Box account relate to the Receivables), and all
Eligible Investments and other securities, instruments and other investments
purchased from such funds.

         Under the Indenture, the Issuer will pay, on the twenty-fifty calendar
day of each month, or if such day is not a Business Day, on the first Business
Day thereafter (the "Payment Date"), commencing September 25, 2003, to the
person in whose name this Note is registered on the Record Date, the portion of
Monthly Interest and Monthly Principal to which the Noteholder is entitled
pursuant to the Indenture.

         Payments on this Note will be made by the Indenture Trustee by wire
transfer through the facilities of the Depository Trust Company if this note is
held by Cede & Co. and otherwise by check mailed to the Person entitled thereto
without the presentation or surrender of this Note or the making of any notation
hereon. Except as otherwise provided in the Indenture and notwithstanding the
above, the final payment on this Note will be made only upon presentation and
surrender of this Note at the office or agency maintained for that purpose by
the Indenture Trustee.

Indenture
<PAGE>

         Unless the certificate of authentication hereon shall have been
executed by a Responsible Officer of the Indenture Trustee, by manual or
facsimile signature, this Note shall not entitle the holder hereof to any
benefit under the Indenture or be valid for any purpose.

         This Note constitutes an obligation of the Issuer. The Note does not
represent an interest in the Issuer nor an interest in or obligation of any
affiliate of the Issuer, including Bay View Transaction Corporation or Bay View
Acceptance Corporation. The Note is limited in right of payment to certain
collections and recoveries respecting the Receivables, all as more specifically
set forth in the Indenture. In addition to the Class A-3 Notes, the Issuer has
also issued Class A-1 Notes, Class A-2 Notes, Class A-4 Notes and Class I Notes.
The Indenture provides for certain amounts to be deposited into the Spread
Account. In the event amounts available for withdrawal from the Spread Account
are insufficient to make payments relating to this Note and the other notes
issued by the Issuer, the Indenture Trustee will draw on the Policy to pay such
deficiency to the extent provided therein. In furtherance of and in limitation
of the foregoing, the Noteholder, by its acceptance of this Note, specifically
acknowledges that it has no right to or interest in any monies at any time held
pursuant to the Spread Account Agreement prior to the release of such monies
pursuant to the Spread Account Agreement, such monies being held in trust for
the benefit of the Secured Parties (as defined therein).

         The Indenture permits, with certain exceptions therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Noteholder under the Indenture at any time by the
Issuer and the Indenture Trustee with the consent of the Insurer and the
Noteholder. Any such consent by the holder of this Note shall be conclusive and
binding on the Noteholder.

         This Note is transferable solely in accordance with Section 2.04 of the
Indenture.

         The obligations and responsibilities to the Noteholder created by the
Indenture shall terminate upon the payment to Noteholder of all amounts required
to be paid to it pursuant to the Indenture. The Servicer may at its option cause
the Indenture Trustee to sell the Pledged Assets at a price not to be less than
the price specified in the Indenture, and such sale of the Receivables and other
property may effect early retirement of the Note.

         Although this Note summarizes certain provisions of the Indenture, this
Note does not purport to summarize the Indenture and reference is made to the
Indenture for information with respect to the interests, rights, benefits,
obligations, proceeds and duties evidenced hereby and the rights, duties and
obligations of the Indenture Trustee. In the event of any inconsistency or
conflict between the terms of this Note and the terms of the Indenture, the
terms of the Indenture shall control.

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

         IN WITNESS WHEREOF, the Issuer has caused this Note to be duly
executed.

Dated:
      -----------------

Indenture
<PAGE>

                                    BAY VIEW 2003-LJ-1 OWNER TRUST
                                    By Wilmington Trust Company, not in its
                                    individual capacity but solely as Owner
                                    Trustee

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Indenture
<PAGE>

                          CERTIFICATE OF AUTHENTICATION

         This is the Note referred to in the within-mentioned Indenture.

    Deutsche Bank Trust Company Americas, solely in its capacity as Indenture

                                    Trustee,

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Dated:
       --------------------

Indenture
<PAGE>

                                   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.

Indenture
<PAGE>

                                                                     EXHIBIT A-4

                            [FORM OF CLASS A-4 NOTE]

PRINCIPAL IN RESPECT OF THIS CLASS A-4 NOTE IS DISTRIBUTABLE AS SET FORTH
HEREIN. ACCORDINGLY, THE UNPAID PRINCIPAL AMOUNT OF THE FRACTIONAL INTEREST
EVIDENCED HEREBY AT ANY TIME MAY BE LESS THAN THE ORIGINAL PRINCIPAL AMOUNT SET
FORTH HEREIN.

Unless this Note is presented by an authorized representative of The Depository
Trust Company, a New York corporation ("DTC"), to the issuer 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 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 thereof, Cede & Co., has an interest
herein.

PRINCIPAL IN RESPECT OF THIS NOTE IS PAYABLE AS SET FORTH HEREIN.

                         BAY VIEW 2003-LJ-1 OWNER TRUST

                  % CLASS A-4 AUTOMOBILE RECEIVABLE BACKED NOTE

                  Evidencing the indebtedness of the Bay View 2003-LJ-1 Owner
                  Trust, a Delaware statutory trust, secured by the Pledged
                  Assets, as defined below, including a pool of simple and
                  precomputed interest installment loan and security agreements
                  and installment sales contracts secured by new and used
                  automobiles, light-duty trucks, sport utility vehicles and
                  vans.

                  (This Note does not represent an interest in Bay View
                  Transaction Corporation nor an interest in or obligation of
                  any of its affiliates. Neither this Note nor the underlying
                  Receivables, as defined below, are insured or guaranteed by
                  any government agency).

NUMBER                                                               $__________
                                                                CUSIP __________

         Bay View 2003-LJ-1 Owner Trust, a Delaware statutory trust, for value
received, hereby promises to pay to the order of [__________] ("the Noteholder")
or its registered assigns, the principal sum of [____________________] dollars
($__________), which amount shall be payable in the amounts and at the times set
forth in the Indenture dated as of August 1, 2003 (the "Indenture"; such term to
include any amendment, restatement, supplement or other modification thereof or
thereto); provided, however, that the entire unpaid amount of this Note shall be
due and payable on or before [____________________]. However, principal with
respect to the Notes may be paid earlier or later under certain limited
circumstances under the Indenture. The

Indenture
<PAGE>

Issuer will pay interest on this Note at the Class A-4 Interest Rate. Such
interest shall be payable in the manner and at the times set forth in the
Indenture. To the extent not otherwise defined herein, the capitalized terms
used herein have the meanings assigned to them in the Indenture. This Note is
issued under and is subject to the terms, provisions, and conditions of the
Indenture, to which the holder of this Note by virtue of the acceptance hereof
assents and by which such holder is bound.

         This Note is secured by the Pledged Assets. The Pledged Assets consist
of (i) the Receivables listed on Schedule A to the Trust Agreement, (ii) the
security interests in the Financed Vehicles or in any other property granted by
Obligors pursuant to the Receivables, (iii) any proceeds from claims and other
amounts relating to Insurance Policies and other items financed under the
Receivables or otherwise covering an Obligor or a Financed Vehicle, (iv) any
Liquidation Proceeds, (v) all property (including the right to receive future
Liquidation Proceeds) that secures a Receivable and that has been or may be
acquired pursuant to the liquidation of the Receivable, (vi) the interest of the
Issuer in any proceeds from recourse to Dealers relating to the Receivables,
(vii) all documents contained in the Receivable Files relating to the
Receivables, (viii) all monies paid on the Receivables, and all monies due
thereon after the Cut-off Date, (ix) the rights of the Transferor pursuant to
the Purchase Agreement and the Trust Agreement and the rights of the Issuer
pursuant to the Trust Agreement, including, without limitation, a direct right
to cause BVAC to purchase Receivables from the Transferor upon the occurrence of
a breach of any of the representations and warranties contained in Section
3.02(b) of the Purchase Agreement or the failure of BVAC to timely comply with
its obligations pursuant to Section 5.06 of the Purchase Agreement and (x) all
proceeds (including, without limitation, "proceeds" as defined in the UCC of the
jurisdiction the law of which governs the perfection of the interest in such
Receivables and such other property so transferred) of any of the foregoing.
Pledged Assets shall also include (a) any and all other right, title and
interest, including any beneficial interest the Issuer may have in the
Collection Account, the Payahead Account, the Reserve Account and the Lock-Box
Account (to the extent such amounts and property in the Lock-Box Account relate
to the Receivables), (b) the funds deposited in and financial assets credited to
and from time to time on deposit in such accounts (to the extent such amounts
and property in the Lock-Box account relate to the Receivables), and all
Eligible Investments and other securities, instruments and other investments
purchased from such funds.

         Under the Indenture, the Issuer will pay, on the twenty-fifth calendar
day of each month, or if such day is not a Business Day, on the first Business
Day thereafter (the "Payment Date"), commencing September 25, 2003, to the
person in whose name this Note is registered on the Record Date, the portion of
Monthly Interest and Monthly Principal to which the Noteholder is entitled
pursuant to the Indenture.

         Payments on this Note will be made by the Indenture Trustee by wire
transfer through the facilities of the Depository Trust Company if this note is
held by Cede & Co. and otherwise by check mailed to the Person entitled thereto
without the presentation or surrender of this Note or the making of any notation
hereon. Except as otherwise provided in the Indenture and notwithstanding the
above, the final payment on this Note will be made only upon presentation and
surrender of this Note at the office or agency maintained for that purpose by
the Indenture Trustee.

Indenture
<PAGE>

         Unless the certificate of authentication hereon shall have been
executed by a Responsible Officer of the Indenture Trustee, by manual or
facsimile signature, this Note shall not entitle the holder hereof to any
benefit under the Indenture or be valid for any purpose.

         This Note constitutes an obligation of the Issuer. The Note does not
represent an interest in the Issuer nor an interest in or obligation of any
affiliate of the Issuer, including Bay View Transaction Corporation or Bay View
Acceptance Corporation. The Note is limited in right of payment to certain
collections and recoveries respecting the Receivables, all as more specifically
set forth in the Indenture. In addition to the Class A-4 Notes, the Issuer has
also issued Class A-1 Notes, Class A-2 Notes, Class A-3 Notes and Class I Notes.
The Indenture provides for certain amounts to be deposited into the Spread
Account. In the event amounts available for withdrawal from the Spread Account
are insufficient to make payments relating to this Note and the other notes
issued by the Issuer, the Indenture Trustee will draw on the Policy to pay such
deficiency to the extent provided therein. In furtherance of and in limitation
of the foregoing, the Noteholder, by its acceptance of this Note, specifically
acknowledges that it has no right to or interest in any monies at any time held
pursuant to the Spread Account Agreement prior to the release of such monies
pursuant to the Spread Account Agreement, such monies being held in trust for
the benefit of the Secured Parties (as defined therein).

         The Indenture permits, with certain exceptions therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Noteholder under the Indenture at any time by the
Issuer and the Indenture Trustee with the consent of the Insurer and the
Noteholder. Any such consent by the holder of this Note shall be conclusive and
binding on the Noteholder.

         This Note is transferable solely in accordance with Section 2.04 of the
Indenture.

         The obligations and responsibilities to the Noteholder created by the
Indenture shall terminate upon the payment to Noteholder of all amounts required
to be paid to it pursuant to the Indenture. The Servicer may at its option cause
the Indenture Trustee to sell the Pledged Assets at a price not to be less than
the price specified in the Indenture, and such sale of the Receivables and other
property may effect early retirement of the Note.

         Although this Note summarizes certain provisions of the Indenture, this
Note does not purport to summarize the Indenture and reference is made to the
Indenture for information with respect to the interests, rights, benefits,
obligations, proceeds and duties evidenced hereby and the rights, duties and
obligations of the Indenture Trustee. In the event of any inconsistency or
conflict between the terms of this Note and the terms of the Indenture, the
terms of the Indenture shall control.

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

         IN WITNESS WHEREOF, the Issuer has caused this Note to be duly
executed.

Dated:
      ---------------

Indenture
<PAGE>

                                    BAY VIEW 2003-LJ-1 OWNER TRUST
                                    By  Wilmington Trust Company, not in its
                                    individual capacity but solely as Owner
                                    Trustee

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Indenture
<PAGE>

                          CERTIFICATE OF AUTHENTICATION

         This is the Note referred to in the within-mentioned Indenture.

    Deutsche Bank Trust Company Americas, solely in its capacity as Indenture

                                    Trustee,

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Dated:         , 2003
       --------

Indenture
<PAGE>

                                   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.

Indenture
<PAGE>

                                                                     EXHIBIT A-5
                             [FORM OF CLASS I NOTE]

THIS NOTE DOES NOT ENTITLE THE HOLDER TO RECEIVE ANY PRINCIPAL BUT ONLY INTEREST
ON THE NOTIONAL PRINCIPAL AMOUNT PAYABLE MONTHLY AS SET FORTH HEREIN.
ACCORDINGLY, THE NOTIONAL PRINCIPAL AMOUNT EVIDENCED HEREBY AT ANY TIME MAY BE
LESS THAN THE INITIAL NOTIONAL PRINCIPAL AMOUNT SET FORTH BELOW.

Unless this Note is presented by an authorized representative of The Depository
Trust Company, a New York corporation ("DTC"), to the issuer 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 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 thereof, Cede & Co., has an interest
herein.

                         BAY VIEW 2003-LJ-1 OWNER TRUST

                   % CLASS I AUTOMOBILE RECEIVABLE BACKED NOTE

                  Evidencing the indebtedness of the Bay View 2003-LJ-1 Owner
                  Trust, a Delaware statutory trust, secured by the Pledged
                  Assets, as defined below, including a pool of simple and
                  precomputed interest installment loan and security agreements
                  and installment sales contracts secured by new and used
                  automobiles, light-duty trucks, sport utility vehicles and
                  vans.

                  (This Note does not represent an interest in Bay View
                  Transaction Corporation nor an interest in or obligation of
                  any of its affiliates. Neither this Note nor the underlying
                  Receivables, as defined below, are insured or guaranteed by
                  any government agency).

NUMBER                                                               $__________
                                                                CUSIP __________

         Bay View 2003-LJ-1 Owner Trust, a Delaware statutory trust, for value
received, hereby promises to pay to the order of [__________] ("the Noteholder")
or its registered assigns, the initial Notional principal amount of
[____________________ dollars ($__________)], which amount shall be payable in
the amounts and at the times set forth in the Indenture dated as of August 1,
2003 (the "Indenture"; such term to include any amendment, restatement,
supplement or other modification thereof or thereto); provided, however, that
the entire unpaid Notional principal amount of this Note shall be due and
payable on or before [____________________]. However, notional principal with
respect to the Notes may be paid earlier or later under certain limited
circumstances under the Indenture. The Issuer will pay interest on this Note at
the Class I Interest Rate. Such interest shall be payable in the manner and at
the times set forth in

Indenture
<PAGE>

the Indenture. To the extent not otherwise defined herein, the capitalized terms
used herein have the meanings assigned to them in the Indenture. This Note is
issued under and is subject to the terms, provisions, and conditions of the
Indenture, to which the holder of this Note by virtue of the acceptance hereof
assents and by which such holder is bound.

         This Note is secured by the Pledged Assets. The Pledged Assets consist
of (i) the Receivables listed on Schedule A to the Trust Agreement, (ii) the
security interests in the Financed Vehicles or in any other property granted by
Obligors pursuant to the Receivables, (iii) any proceeds from claims and other
amounts relating to Insurance Policies and other items financed under the
Receivables or otherwise covering an Obligor or a Financed Vehicle, (iv) any
Liquidation Proceeds, (v) all property (including the right to receive future
Liquidation Proceeds) that secures a Receivable and that has been or may be
acquired pursuant to the liquidation of the Receivable, (vi) the interest of the
Issuer in any proceeds from recourse to Dealers relating to the Receivables,
(vii) all documents contained in the Receivable Files relating to the
Receivables, (viii) all monies paid on the Receivables, and all monies due
thereon after the Cut-off Date, (ix) the rights of the Transferor pursuant to
the Purchase Agreement and the Trust Agreement and the rights of the Issuer
pursuant to the Trust Agreement, including, without limitation, a direct right
to cause BVAC to purchase Receivables from the Transferor upon the occurrence of
a breach of any of the representations and warranties contained in Section
3.02(b) of the Purchase Agreement or the failure of BVAC to timely comply with
its obligations pursuant to Section 5.06 of the Purchase Agreement and (x) all
proceeds (including, without limitation, "proceeds" as defined in the UCC of the
jurisdiction the law of which governs the perfection of the interest in such
Receivables and such other property so transferred) of any of the foregoing.
Pledged Assets shall also include (a) any and all other right, title and
interest, including any beneficial interest the Issuer may have in the
Collection Account, the Payahead Account, the Reserve Account and the Lock-Box
Account (to the extent such amounts and property in the Lock-Box Account relate
to the Receivables), (b) the funds deposited in and financial assets credited to
and from time to time on deposit in such accounts (to the extent such amounts
and property in the Lock-Box account relate to the Receivables), and all
Eligible Investments and other securities, instruments and other investments
purchased from such funds.

         Under the Indenture, the Issuer will pay, on the twenty-fifth calendar
day of each month, or if such day is not a Business Day, on the first Business
Day thereafter (the "Payment Date"), commencing September 25, 2003, to the
person in whose name this Note is registered on the Record Date, the portion of
Monthly Interest to which the Noteholder is entitled pursuant to the Indenture.

         Payments on this Note will be made by the Indenture Trustee by wire
transfer through the facilities of the Depository Trust Company if this note is
held by Cede & Co. and otherwise by check mailed to the Person entitled thereto
without the presentation or surrender of this Note or the making of any notation
hereon. Except as otherwise provided in the Indenture and notwithstanding the
above, the final payment on this Note will be made only upon presentation and
surrender of this Note at the office or agency maintained for that purpose by
the Indenture Trustee.

Indenture
<PAGE>

         Unless the certificate of authentication hereon shall have been
executed by a Responsible Officer of the Indenture Trustee, by manual or
facsimile signature, this Note shall not entitle the holder hereof to any
benefit under the Indenture or be valid for any purpose.

         This Note constitutes an obligation of the Issuer. The Note does not
represent an interest in the Issuer nor an interest in or obligation of any
affiliate of the Issuer, including Bay View Transaction Corporation or Bay View
Acceptance Corporation. The Note is limited in right of payment to certain
collections and recoveries respecting the Receivables, all as more specifically
set forth in the Indenture. In addition to the Class I Notes, the Issuer has
also issued Class A-1 Notes, Class A-2 Notes, Class A-3 Notes and Class A-4
Notes. The Indenture provides for certain amounts to be deposited into the
Spread Account. In the event amounts available for withdrawal from the Spread
Account are insufficient to make payments relating to this Note and the other
notes issued by the Issuer, the Indenture Trustee will draw on the Policy to pay
such deficiency to the extent provided therein. In furtherance of and in
limitation of the foregoing, the Noteholder, by its acceptance of this Note,
specifically acknowledges that it has no right to or interest in any monies at
any time held pursuant to the Spread Account Agreement prior to the release of
such monies pursuant to the Spread Account Agreement, such monies being held in
trust for the benefit of the Secured Parties (as defined therein).

         The Indenture permits, with certain exceptions therein provided, the
amendment thereof and the modification of the rights and obligations of the
Issuer and the rights of the Noteholder under the Indenture at any time by the
Issuer and the Indenture Trustee with the consent of the Insurer and the
Noteholder. Any such consent by the holder of this Note shall be conclusive and
binding on the Noteholder.

         This Note is transferable solely in accordance with Section 2.04 of the
Indenture.

         The obligations and responsibilities to the Noteholder created by the
Indenture shall terminate upon the payment to Noteholder of all amounts required
to be paid to it pursuant to the Indenture. The Servicer may at its option cause
the Indenture Trustee to sell the Pledged Assets at a price not to be less than
the price specified in the Indenture, and such sale of the Receivables and other
property may effect early retirement of the Note.

         Although this Note summarizes certain provisions of the Indenture, this
Note does not purport to summarize the Indenture and reference is made to the
Indenture for information with respect to the interests, rights, benefits,
obligations, proceeds and duties evidenced hereby and the rights, duties and
obligations of the Indenture Trustee. In the event of any inconsistency or
conflict between the terms of this Note and the terms of the Indenture, the
terms of the Indenture shall control.

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

         IN WITNESS WHEREOF, the Issuer has caused this Note to be duly
executed.

Dated:         , 2003
       --------

Indenture
<PAGE>

                                    BAY VIEW 2003-LJ-1 OWNER TRUST
                                    By Wilmington Trust Company, not in its
                                    individual capacity but solely as Owner
                                    Trustee

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Indenture
<PAGE>

                          CERTIFICATE OF AUTHENTICATION

         This is the Note referred to in the within-mentioned Indenture.

    Deutsche Bank Trust Company Americas, solely in its capacity as Indenture

                                    Trustee,

                                    By:
                                       -----------------------------------------
                                    Name:
                                         ---------------------------------------
                                    Title:
                                          --------------------------------------

Dated:         , 2003
       --------

Indenture
<PAGE>

                                   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.

Indenture

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