SERVICE OBJECTIVES

The strategy underlying Colson's Loan Accounting Services solutions is three-fold:

I. Enables clients to apply their existing resources to loan sales growth, borrower relationship management, and technical assistance programs.

II. Eliminates the need for clients to operate or invest in limiting commercial software to meet reporting requirements.

III. Eliminates the need for clients to employ specialized personnel or retrain staff when turnover occurs.

    SERVICE FEATURES

 Payment notices to borrowers
 Posting payments received to borrowers' loans
 Payment disbursement to designated parties
 Follow-up notices to borrowers on past-due payments
 Payment/portfolio status reporting
 Re-amortization of variable rate loans to reflect interest rate changes
 Online access to loan payment details and portfolio reports
 Payment remittance accepted by check, wire transfer, and via ACH
 Annual tax reporting to borrowers and the IRS, if applicable
 Annual audit confirmations

    SERVICE BENEFITS

 Zero loan accounting performed by client for borrower loans:
    a) Accurate allocation of payments in accordance with interest rate changes
    b) Efficient handling of monthly borrower billings, rate changes and re-amortization

 Outsourcing of labor-intensive and costly administrative functions:
    a) Enables client to develop and preserve relationships with borrowers
    b) Reduces need to retrain back office staff in the event of turnovers
    c) Allows client to use existing resources and personnel to make more loans
    d) Increases accountability, leading to reduced delinquencies

 Compliance with reporting requirements to regulatory agencies and funding sources
    a) Comprehensive data on loan portfolio performance for tracking and statistical reporting purposes