ADVANTAGE RENT A CAR - FDD UFOC ITEM 10 Detail

Advantage does not offer direct or indirect financing other than financing the initial fee as disclosed in Item 7. Advantage will not guarantee your note, lease or any other obligation. If we agree to finance a portion of the initial fee, we will require an initial payment in cash in an amount equal to 25% of the initial fee at the time of signing the Franchise Agreement and defer the balance on an unsecured promissory note (see Exhibit F) at simple interest.

The financing will be over a 5-year period at a floating annual rate equal to two percent (2%) in excess of the Prime Rate. (Loan Agreement, Sections 1.3, 1.4) The note can be prepaid without penalty. (Loan Agreement, Promissory Note) If you do not pay on time, Advantage can call die loan and demand immediate payment of the full outstanding balance and obtain court costs and attorneys'' fees if a collection action is necessary. (Loan Agreement, Section 2.2)

Advantage anticipates the possibility that it or an affiliate may offer franchisees the option of leasing or purchasing vehicles through Advantage or an affiliate of Advantage, We do not have any practice or intent of discounting or negotiating franchisee notes to third parties, but we may do so in the future, and we may pledge our interest in such notes to third parties to secure our own obligations.