Common use of Line of Credit Advances Clause in Contracts

Line of Credit Advances. (i) Upon Borrower’s execution of this Agreement and a Line of Credit Note and compliance with the terms of this Agreement, and subject to Bank’s confirmation if requested by Aaron’s that Bank has a first priority security interest in the Collateral, Bank shall notify Borrower that Borrower may request Advances pursuant to the Line of Credit Commitment. Bank shall make such Advances into the DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) for the sole purposes of (x) honoring requests from Borrower, made through the Aaron’s Proprietary System, for ACH transfers (or such other method approved in writing by Aaron’s) to suppliers of Merchandise in payment of Approved Invoices, including any freight charges to the extent Aaron’s consents thereto, or with Aaron’s consent, to Borrower’s own account for the payment of sales use taxes or (y) honoring requests from any Borrower for Advances made via ACH transfers to an operating account or other location specified by such Borrower (and granted a vendor identification number by Aaron’s) and, to the extent permitted by Aaron’s, for working capital and for other purposes to the extent approved by Aaron’s. The maximum principal amount of Advances under the Line of Credit Commitment at any time outstanding shall not exceed the committed amount of the Line of Credit Commitment. Each Advance shall be in the amount of not less than $500. (ii) Borrower shall submit purchase order requests for Merchandise to Aaron’s from time to time. In the event that the purchase order is authorized pursuant to the Franchise Agreement, Aaron’s will prepare the purchase order and submit the same to the appropriate supplier requested by Borrower. The supplier will be instructed to ship all Merchandise directly to Borrower and Borrower will be responsible for (i) inspecting all Merchandise and resolving all disputes regarding the Merchandise with such supplier and (ii) paying all freight and other shipping and/or insurance charges arising in connection therewith with funds other than Loan proceeds, unless otherwise agreed by Aaron’s. The supplier will invoice Borrower for such Merchandise in accordance with normal industry practice. When Borrower wishes to pay such invoice, Borrower, subject to availability of the Line of Credit Commitment, shall pay such invoice by directing the Bank, through the Aaron’s Proprietary System, to pay such invoice by means of an ACH transfer from its DDA Account (or such other method approved in writing by Aaron’s). Any directions for ACH transfers correctly inputted into the Aaron’s Proprietary System prior to 12:00 Midnight (Charlotte, North Carolina time) on any Business Day, shall be paid by the Bank no later than the third Business Day thereafter, unless Borrower is otherwise notified by Aaron’s or the Bank. (iii) Upon receipt of the request for an ACH transfer (provided that such request relates to an Approved Invoice), the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to the supplier by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s). Upon receipt of any request to deposit funds into an account in the name of Borrower and receipt of Aaron’s approval thereof, the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to such account of the Borrower by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s). In the event that a request for an ACH transfer is presented for payment and Borrower’s availability pursuant to the Line of Credit Commitment is insufficient to honor such request, the Bank may, but shall have no obligation to, make such overadvance, which shall be an Advance for all purposes hereunder, but shall be due and payable upon demand. At the end of each calendar month, Bank shall provide Borrower with a monthly DDA Account statement in the form customarily used by Bank for its commercial customers and a loan account statement. (iv) The aggregate amount of Advances made to the Borrower during such month shall be amortized into eighteen (18) or twenty-four (24) (as designated by Aaron’s in writing from time to time) equal payments of principal due and payable on the next succeeding Payment Dates; provided that, in the event that the Bank terminates the Line of Credit Commitment as provided in Section 2.8 below, all outstanding amounts shall be due and payable on the 24th Payment Date following such termination.

Line of Credit Advances. (i) Upon Borrower’s execution of this Agreement and a Line of Credit Note and compliance with the terms of this Agreement, Agreement ,and subject to Bank’s confirmation if requested by Aaron’s A▇▇▇▇ that Bank has a first priority security interest in the Collateral, Bank shall notify Borrower that Borrower may request Advances pursuant to the Line of Credit Commitment. Bank shall make such Advances into the DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) for the sole purposes of (x) honoring requests from Borrower, made through the Aaron’s Proprietary System, for ACH transfers (or such other method approved in writing by Aaron’s) to suppliers of Merchandise in payment of Approved Invoices, including any freight charges to the extent Aaron’s A▇▇▇▇ consents thereto, or with Aaron’s consent, to Borrower’s own account for the payment of sales use taxes or (y) honoring requests from taxes. Borrower shall not use the DDA Account for any Borrower for Advances made via ACH transfers to an operating account or other location specified by such Borrower (and granted a vendor identification number by Aaron’s) and, to the extent permitted by Aaron’s, for working capital and for other purposes to the extent approved by Aaron’spurpose. The maximum principal amount of Advances under the Line of Credit Commitment at any time outstanding shall not exceed the committed amount of the Line of Credit Commitment. Each Advance shall be in the amount of not less than $500. (ii) Borrower shall submit purchase order requests for Merchandise to Aaron’s A▇▇▇▇ from time to time. In the event that the purchase order is authorized pursuant to the Franchise Agreement, Aaron’s A▇▇▇▇ will prepare the purchase order and submit the same to the appropriate supplier requested by Borrower. The supplier will be instructed to ship all Merchandise directly to Borrower and Borrower will be responsible for (i) inspecting all Merchandise and resolving all disputes regarding the Merchandise with such supplier and (ii) paying all freight and other shipping and/or insurance charges arising in connection therewith with funds other than Loan proceedsProceeds, unless otherwise agreed by Aaron’sA▇▇▇▇. The supplier will invoice Borrower for such Merchandise in accordance with normal industry practice. When Borrower wishes to pay such invoice, Borrower, subject to availability of the Line of Credit Commitment, shall pay such invoice by directing the Bank, through the Aaron’s Proprietary System, to pay such invoice by means of an ACH transfer from its DDA Account (or such other method approved in writing by Aaron’s)Account. Any directions for ACH transfers correctly inputted into the Aaron’s Proprietary System prior to 12:00 Midnight (CharlotteAtlanta, North Carolina Georgia time) on any Business Day, shall be paid by the Bank no later than the third Business Day thereafter, unless Borrower is otherwise notified by Aaron’s A▇▇▇▇ or the Bank. (iii) Upon receipt of the request for an ACH transfer (provided that such request relates to an Approved Invoice), the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to the supplier by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s)Borrower. Upon receipt of any request to deposit funds into an account in the name of Borrower and receipt of Aaron’s approval thereof, the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to such account of the Borrower by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s)Borrower. In the event that a request for an ACH transfer is presented for payment and Borrower’s availability pursuant to the Line of Credit Commitment is insufficient to honor such request, the Bank may, but shall have no obligation to, make such overadvance, which shall be an Advance for all purposes hereunder, but shall be due and payable upon demand. At the end of each calendar month, Bank shall provide Borrower with a monthly DDA Account statement in the form customarily used by Bank for its commercial customers and a loan account statement. (iv) The aggregate amount of Advances made to the Borrower during such month shall be amortized into eighteen (18) or twenty-four (24) (as designated by Aaron’s A▇▇▇▇ in writing from time to time) equal payments of principal due and payable on the next succeeding Payment Dates; provided that, in the event that the Bank terminates the Line of Credit Commitment as provided in Section 2.8 below, all outstanding amounts shall be due and payable on the 24th Payment Date following such termination.

Line of Credit Advances. (i) Upon Borrower’s execution of this Agreement and a Line of Credit Note and compliance with the terms of this Agreement, Agreement ,and subject to Bank’s confirmation if requested by Aaron’s ▇▇▇▇▇ that Bank has a first priority security interest in the Collateral, Bank shall notify Borrower that Borrower may request Advances pursuant to the Line of Credit Commitment. Bank shall make such Advances into the DDA Account (or, with the written consent of Aaron’s▇▇▇▇▇, such other account for which wiring instructions have been provided to the Bank) for the sole purposes of (x) honoring requests from Borrower, made through the Aaron’s Proprietary System, for ACH transfers (or such other method approved in writing by Aaron’s) to suppliers of Merchandise in payment of Approved Invoices, including any freight charges to the extent Aaron’s ▇▇▇▇▇ consents thereto, or with Aaron’s consent, to Borrower’s own account for the payment of sales use taxes or taxes, and (y) honoring requests from any Borrower for Advances made via ACH wire transfers (or such other method approved in writing by ▇▇▇▇▇ and acceptable to an operating account or other location specified by such Borrower (and granted a vendor identification number by Aaron’sBank) and, to the extent permitted by Aaron’sDDA Account (or, with the written consent of ▇▇▇▇▇, such other account of Borrower or of a third party for which wiring instructions have been provided to Bank) for working capital and for any other purposes lawful purposes, in each case, to the extent approved in writing by Aaron’s▇▇▇▇▇. Borrower shall not use the DDA Account for any other purpose. The maximum principal amount of Advances under the Line of Credit Commitment at any time outstanding shall not exceed the committed amount of the Line of Credit Commitment. Each Advance shall be in the amount of not less than $500. (ii) Borrower shall submit purchase order requests for Merchandise to Aaron’s ▇▇▇▇▇ from time to time. In the event that the purchase order is authorized pursuant to the Franchise Agreement, Aaron’s ▇▇▇▇▇ will prepare the purchase order and submit the same to the appropriate supplier requested by Borrower. The supplier will be instructed to ship all Merchandise directly to Borrower and Borrower will be responsible for (i) inspecting all Merchandise and resolving all disputes regarding the Merchandise with such supplier and (ii) paying all freight and other shipping and/or insurance charges arising in connection therewith with funds other than Loan proceeds, unless otherwise agreed by Aaron’s▇▇▇▇▇. The supplier will invoice Borrower for such Merchandise in accordance with normal industry practice. When Borrower wishes to pay such invoice, Borrower, subject to availability of the Line of Credit Commitment, shall pay such invoice by directing the Bank, through the Aaron’s Proprietary System, to pay such invoice by means of an ACH transfer from its DDA Account (or such other method approved in writing by Aaron’s)▇▇▇▇▇ and acceptable to Bank) from its DDA Account. Any directions for ACH transfers correctly inputted into the Aaron’s Proprietary System prior to 12:00 Midnight (CharlotteAtlanta, North Carolina Georgia time) on any Business Day, shall be paid by the Bank no later than the third Business Day thereafter, unless Borrower is otherwise notified by Aaron’s ▇▇▇▇▇ or the Bank. (iii) Upon receipt of the request for an ACH transfer (provided that such request relates to an Approved Invoice), the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to the supplier by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s)Borrower. Upon receipt of any request by Borrower to deposit funds into an another account in the name of Borrower or in the name of a third party, and receipt of Aaron’s written approval thereof, the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account (or, with the written consent of Aaron’s▇▇▇▇▇, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to such account of the Borrower by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s). In the event that a request for an ACH transfer (or other method of transfer approved in writing by ▇▇▇▇▇ and acceptable to Bank) is presented for payment and Borrower’s availability pursuant to the Line of Credit Commitment is insufficient to honor such request, the Bank may, but shall have no obligation to, make such overadvance, which shall be an Advance for all purposes hereunder, but shall be due and payable upon demand. At the end of each calendar month, Bank shall provide Borrower with a monthly DDA Account statement in the form customarily used by Bank for its commercial customers and a loan account statement. (iv) The aggregate amount of Advances made to the Borrower during such month shall be amortized into eighteen (18) or twenty-four (24) (as designated by Aaron’s ▇▇▇▇▇ in writing from time to time) equal payments of principal due and payable on the next succeeding Payment Dates; provided that, in the event that the Bank terminates the Line of Credit Commitment as provided in Section 2.8 below, all outstanding amounts shall be due and payable on the 24th Payment Date following such termination.

Line of Credit Advances. (i) Upon Borrower’s execution The Note evidences a revolving line of this Agreement and a Line of Credit Note and compliance with the terms of this Agreement, and subject to Bank’s confirmation if requested by Aaron’s that Bank has a first priority security interest in the Collateral, Bank shall notify Borrower that Borrower may request Advances pursuant to the Line of Credit Commitment. Bank shall make such Advances into the DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) for the sole purposes of (x) honoring requests from Borrower, made through the Aaron’s Proprietary System, for ACH transfers (or such other method approved in writing by Aaron’s) to suppliers of Merchandise in payment of Approved Invoices, including any freight charges to the extent Aaron’s consents thereto, or with Aaron’s consent, to Borrower’s own account for the payment of sales use taxes or (y) honoring requests from any Borrower for Advances made via ACH transfers to an operating account or other location specified by such Borrower (and granted a vendor identification number by Aaron’s) and, to the extent permitted by Aaron’s, for working capital and for other purposes to the extent approved by Aaron’scredit. The maximum principal amount of Advances under the Line of Credit Commitment at any time outstanding shall not exceed the committed amount unpaid balance of the Line of Credit Commitment. Each Advance Note shall be in the amount of not less than $500. (ii) Borrower shall submit purchase order requests for Merchandise to Aaron’s increase and decrease with advances and payments made from time to time. In Until the event that the purchase order is authorized pursuant to the Franchise Agreement, Aaron’s will prepare the purchase order and submit the same to the appropriate supplier requested by Borrower. The supplier will be instructed to ship all Merchandise directly to Borrower and Borrower will be responsible for (i) inspecting all Merchandise and resolving all disputes regarding the Merchandise with such supplier and (ii) paying all freight and other shipping and/or insurance charges arising in connection therewith with funds other than Loan proceeds, unless otherwise agreed by Aaron’s. The supplier will invoice Borrower for such Merchandise in accordance with normal industry practice. When Borrower wishes to pay such invoice, Borrower, subject to availability earlier of the Line maturity date or the occurrence of Credit Commitmentany default, shall Borrower may borrow, pay such invoice by directing down and reborrow under the BankNote. Advances under the Note, through the Aaron’s Proprietary Systemas well as directions for payment from Borrower's accounts, to pay such invoice by means of an ACH transfer from its DDA Account (may be requested orally or such other method approved in writing by Aaron’s)Borrower or by an authorized person. Any directions for ACH transfers correctly inputted into Each person or entity signing the Aaron’s Proprietary System prior to 12:00 Midnight (Charlotte, North Carolina time) Note on any Business Day, shall be paid by the Bank no later than the third Business Day thereafter, unless Borrower is otherwise notified by Aaron’s or the Bank. (iii) Upon receipt behalf of the request Borrower and each Guarantor is an authorized person. Lender may, but need not, require that all oral requests be confirmed in writing. Borrower agrees to be liable for an ACH transfer all sums either: (provided that such request relates to an Approved Invoice), the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Banka) and automatically forwarding such amount to the supplier by means of an ACH transfer advanced in accordance with the instructions of an authorized person or (b) credited to any of Borrower's accounts with Lender. The unpaid principal balance owing on the Note at any time may be evidenced by endorsements on the Note or by Lender's internal records, including daily computer printouts. Lender will have no obligation to advance funds under the Note if: (a) any Event of Default has occurred; (b) any Obligor ceases doing business or is insolvent; (c) Guarantor or any Other Guarantor seeks, claims or otherwise attempts to limit, modify or revoke their guarantee of the Note or any other loan with Lender; (d) Borrower (or such other method approved in writing by Aaron’s). Upon receipt of any request to deposit has applied funds into an account in the name of Borrower and receipt of Aaron’s approval thereof, the Bank shall honor such request by making an Advance provided pursuant to the Line of Credit Commitment Note for purposes other than those authorized by Lender; or (e) Lender in the amount of such request into the Borrower’s DDA Account or, good faith believes itself insecure. SECURITY DOCUMENT FEES. Expenses paid by Lender in processing and/or filing any security documents executed in conjunction with the written consent Indebtedness shall be paid by Borrower and may be charged directly to any line of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to such account of the Borrower by means of an ACH transfer in accordance with the instructions credit of Borrower or to any of Borrower's depository accounts at Lender ten (or such other method approved in writing by Aaron’s10) days after Lender notifies Borrower of said amount(s). In the event that a request for an ACH transfer is presented for payment and Borrower’s availability pursuant to the Line of Credit Commitment is insufficient to honor such request, the Bank may, but shall have no obligation to, make such overadvance, which shall be an Advance for all purposes hereunder, but shall be due and payable upon demand. At the end of each calendar month, Bank shall provide Borrower with a monthly DDA Account statement in the form customarily used by Bank for its commercial customers and a loan account statement. (iv) The aggregate amount of Advances made to the Borrower during such month shall be amortized into eighteen (18) or twenty-four (24) (as designated by Aaron’s in writing from time to time) equal payments of principal due and payable on the next succeeding Payment Dates; provided that, in the event that the Bank terminates the Line of Credit Commitment as provided in Section 2.8 below, all outstanding amounts shall be due and payable on the 24th Payment Date following such termination.

Line of Credit Advances. (i) Upon Borrower’s execution of this Agreement and a Line of Credit Note and compliance with the its terms of this Agreement, and subject to Bank’s confirmation if requested by Aaron’s ▇▇▇▇▇ that Bank has a first priority security interest in the Collateral, Bank shall notify Borrower that Borrower may request Advances pursuant to the Line of Credit Loan Commitment. Bank shall make such Advances into the DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) for the sole purposes of (x) honoring requests from Borrower, made through the Aaron’s Proprietary System, for ACH transfers to (or such other method approved in writing by Aaron’sx) to suppliers of Merchandise in payment of Approved Invoices, including any freight charges to the extent Aaron’s consents thereto, or with Aaron’s consent, to Borrower’s own account for the payment of sales use taxes or and (y) honoring requests from any to other accounts as may be specified by Borrower for Advances made via ACH transfers for working capital purposes, subject to an operating account or other location specified the approval of ▇▇▇▇▇, such approval to be evidenced by such Borrower (and granted the granting of a vendor identification number by Aaron’s) and, to the extent permitted by Aaron’s, for Borrower to use in requesting such working capital and Advance through the Aaron’s Proprietary System. Borrower shall not use the DDA Account for any other purposes to the extent approved by Aaron’spurpose. The maximum principal amount of Advances under the Line of Credit Commitment at any time outstanding pursuant to this Agreement shall not exceed the committed lesser of (A) ($ ) (the “Line of Credit Loan Commitment”) and (B) [the sum of] the Borrowing Base [minus, the outstanding principal amount of the Line of Credit CommitmentTerm Loan], as most recently reported by ▇▇▇▇▇ to Bank pursuant to Section 2.2(iv) hereof (such lesser amount herein referred to as the “Revolver Availability”). Each Advance shall be in the amount of not less than $500. (ii) Borrower shall submit purchase order requests for Merchandise to Aaron’s from time to time▇▇▇▇▇. In the event that the purchase order is authorized pursuant to the Franchise Agreement, Aaron’s ▇▇▇▇▇ will prepare the purchase order and submit the same to the appropriate supplier requested by Borrower. The supplier will be instructed to ship all Merchandise directly to Borrower and Borrower will be responsible for (ix) inspecting all Merchandise and resolving all disputes regarding the Merchandise with such supplier and (iiy) paying all freight and other shipping and/or insurance charges arising in connection therewith with funds other than Loan proceeds, unless otherwise agreed by Aaron’sProceeds. The supplier will invoice Borrower for such Merchandise in accordance with normal industry practice. When Borrower wishes to pay such invoice, Borrower, subject to availability the Revolver Availability of the Line of Credit Loan Commitment, shall pay such invoice by directing the Bank, through the Aaron’s Proprietary System, to pay such invoice by means of an ACH transfer from its DDA Account (or such other method approved in writing by Aaron’s)Account. Any directions for ACH transfers correctly inputted into the Aaron’s Proprietary System prior to 12:00 Midnight (CharlotteAtlanta, North Carolina Georgia time) on any Business Day, shall be paid by the Bank no later than the third Business Day thereafter, unless Borrower is otherwise notified by Aaron’s ▇▇▇▇▇ or the Bank. (iii) Upon receipt of the request for an ACH transfer (provided that such request relates to an Approved Invoice), the Bank shall honor such request by making an Advance pursuant to the Line of Credit Loan Commitment in the amount of such request into the Borrower’s DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to the supplier by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s). Upon receipt of any request to deposit funds into an account in the name of Borrower and receipt of Aaron’s approval thereof, the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to such account of the Borrower by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s). In the event that a request for an ACH transfer is presented for payment and Borrower’s availability pursuant to the Line of Credit Loan Commitment is insufficient to honor such request, the Bank may, but shall have no obligation to, make such overadvance, which shall be an Advance for all purposes hereunder, but shall be due and payable upon demand. At the end of each calendar month, Bank shall provide Borrower with a monthly DDA Account statement in the form customarily used by Bank for its commercial customers and a loan account statement. (iv) The aggregate On the fifth Business Day of each month (as determined on the last day of the preceding calendar month), ▇▇▇▇▇ shall calculate the Borrowing Base and report the same to Bank in writing (the “Borrowing Base Report”), and Bank shall be entitled to rely conclusively upon such information. Upon receipt of the Borrowing Base Report, Bank shall input such information into Bank’s loan records to be effective as of the date which is two Business Days after receipt of such information. On the 10th day of each calendar month, Bank shall mail to Borrower a ▇▇▇▇ setting forth the total amount of Advances made principal (to the Borrower during such month shall be amortized into eighteen (18extent that the outstanding principal amount of the Loans exceeds the Borrowing Base as set forth in the most recent Borrowing Base Report) or twenty-four (24) (as designated by Aaron’s in writing from time to time) equal payments of principal and interest due and payable on the next succeeding Payment Dates; provided thatDate which ▇▇▇▇ shall be considered correct, and accepted by and conclusively binding upon Borrower, unless Borrower notifies Bank to the contrary within thirty (30) days after Bank’s sending of said ▇▇▇▇ to Borrower. In addition, Bank, on the date which is two Business Days after receipt of the Borrowing Base Report from ▇▇▇▇▇, shall notify Borrower in writing (including facsimile) of the new Borrowing Base for Borrower and shall require that Borrower repay on the next Payment Date any additional Advances made since the date of the preparation of the statement for such Payment Date if necessary to avoid any overadvance as of such date and such amount (in addition to any amounts set forth in the event that the Bank terminates the Line of Credit Commitment as provided in Section 2.8 below, all outstanding amounts ▇▇▇▇ to Borrower) shall be due and payable on the 24th next Payment Date following such terminationDate.]

Line of Credit Advances. (ia) Upon Borrower’s The Lender hereby establishes, subject to the terms and conditions hereof and relying upon the representations and warranties herein set forth, and upon and subject to the terms and conditions hereof, the Lender agrees to make from time to time on and after the date hereof and until February 28, 1998, upon the request of the Borrower therefor, Line of Credit Loans (each, a "Line of Credit Advance") as it in its sole and absolute discretion elects to make in an aggregate amount outstanding, which shall not exceed $6,000,000. The Lender forthwith shall inform the Borrower whether or not it elects to make such Line of Credit Advance. (b) The Line of Credit shall be evidenced by a promissory note (the "Line of Credit Note") to be executed and delivered by the Borrower immediately following its execution of this Agreement and a in form satisfactory to the Lender. The Line of Credit Note and compliance with the terms of this Agreement, and subject to Bank’s confirmation if requested by Aaron’s that Bank has a first priority security interest in the Collateral, Bank shall notify Borrower that Borrower may request Advances pursuant be payable to the Line order of Credit Commitment. Bank the Lender and shall make such Advances into represent the DDA Account (or, with obligation of the written consent of Aaron’s, such other account for which wiring instructions have been provided Borrower to repay the Bank) for the sole purposes of (x) honoring requests from Borrower, made through the Aaron’s Proprietary System, for ACH transfers (or such other method approved in writing by Aaron’s) to suppliers of Merchandise in payment of Approved Invoices, including any freight charges to the extent Aaron’s consents thereto, or with Aaron’s consent, to Borrower’s own account for the payment of sales use taxes or (y) honoring requests from any Borrower for Advances made via ACH transfers to an operating account or other location specified by such Borrower (and granted a vendor identification number by Aaron’s) and, to the extent permitted by Aaron’s, for working capital and for other purposes to the extent approved by Aaron’s. The maximum principal amount of Advances under the Line of Credit Commitment at any time outstanding shall not exceed the committed amount of the Line of Credit Commitmentor, if less, the aggregate unpaid principal amount of all Line of Credit Advances made by the Lender to the Borrower with interest thereon as prescribed in Section 2.3 hereof. Each The date and amount of each Line of Credit Advance by the Lender and the payment of principal with respect thereto shall be in recorded on the amount books and records of not less than $500the Lender, which books and records shall constitute prima facie evidence of the accuracy of the information therein recorded. (iic) Borrower shall submit purchase order requests for Merchandise to Aaron’s from time to time. In the event that the purchase order is authorized pursuant to the Franchise Agreement, Aaron’s will prepare the purchase order and submit the same to the appropriate supplier requested by Borrower. The supplier will be instructed to ship all Merchandise directly to Borrower and Borrower will be responsible for (i) inspecting all Merchandise and resolving all disputes regarding the Merchandise with such supplier and (ii) paying all freight and other shipping and/or insurance charges arising in connection therewith with funds other than Loan proceeds, unless otherwise agreed by Aaron’s. The supplier will invoice Borrower for such Merchandise in accordance with normal industry practice. When Borrower wishes to pay such invoice, Borrower, subject to availability outstanding balance of the Line of Credit Commitmentshall, shall pay at any time, exceed $6,000,000, the Borrower shall, within 2 Business Days after notice of such invoice by directing the Bank, through the Aaron’s Proprietary System, to pay such invoice by means of an ACH transfer from its DDA Account (or such other method approved in writing by Aaron’s). Any directions for ACH transfers correctly inputted into the Aaron’s Proprietary System prior to 12:00 Midnight (Charlotte, North Carolina time) on any Business Day, shall be paid determination by the Bank no later than the third Business Day thereafterLender, unless Borrower is otherwise notified by Aaron’s or the Bank. (iii) Upon receipt of the request for an ACH transfer (provided that such request relates to an Approved Invoice), the Bank shall honor such request by making an Advance pursuant to repay the Line of Credit Commitment in the amount of such request into excess. Any mandatory prepayment pursuant to this Section 2.2(c) shall be accompanied by the Borrower’s DDA Account (or, with payment of accrued and unpaid interest on the written consent amount being prepaid through the date of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to the supplier by means of an ACH transfer prepayment. No prepayment fee shall be payable in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s). Upon receipt respect of any request to deposit funds into an account in the name of Borrower and receipt of Aaron’s approval thereof, the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) and automatically forwarding such amount to such account of the Borrower by means of an ACH transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’smandatory prepayment under this Section 2.1(c). In the event that a request for an ACH transfer is presented for payment and Borrower’s availability pursuant to the Line of Credit Commitment is insufficient to honor such request, the Bank may, but shall have no obligation to, make such overadvance, which shall be an Advance for all purposes hereunder, but shall be due and payable upon demand. At the end of each calendar month, Bank shall provide Borrower with a monthly DDA Account statement in the form customarily used by Bank for its commercial customers and a loan account statement. (iv) The aggregate amount of Advances made to the Borrower during such month shall be amortized into eighteen (18) or twenty-four (24) (as designated by Aaron’s in writing from time to time) equal payments of principal due and payable on the next succeeding Payment Dates; provided that, in the event that the Bank terminates the Line of Credit Commitment as provided in Section 2.8 below, all outstanding amounts shall be due and payable on the 24th Payment Date following such termination.

Line of Credit Advances. (i) Upon Borrower’s execution of this Agreement and a Line of Credit Note and compliance with the terms of this Agreement, and subject to Bank’s confirmation if requested by Aaron’s ▇▇▇▇▇ that Bank has a first priority security interest in the Collateral, Bank shall notify Borrower that Borrower may request Advances pursuant to the Line of Credit Commitment. Bank shall make such Advances into the DDA Account FCTA (or, with the written consent of Aaron’s▇▇▇▇▇, such other account for which wiring instructions have been provided to the Bank) for the sole purposes of (x) honoring requests from Borrower, made through ▇▇▇▇▇ by fax, email or other electronic form of notification to ▇▇▇▇▇ by 12:00 noon (Atlanta, Georgia time) on the Aaron’s Proprietary Systemlast Business Day immediately prior to the 10th or the 25th day of each month, for ACH SWIFT transfers to suppliers of Merchandise in payment of Approved Invoices, and (y) honoring requests from Borrower for Advances made via wire transfers (or such other method approved in writing by Aaron’s▇▇▇▇▇ and acceptable to Bank) to suppliers the FCTA (or, with the written consent of Merchandise in payment ▇▇▇▇▇, such other account of Approved Invoices, including any freight charges Borrower or of a third party for which wiring instructions have been provided to the extent Aaron’s consents thereto, or with Aaron’s consent, to Borrower’s own account for the payment of sales use taxes or (yBank) honoring requests from any Borrower for Advances made via ACH transfers to an operating account or other location specified by such Borrower (and granted a vendor identification number by Aaron’s) and, to the extent permitted by Aaron’s, for working capital and for any other purposes lawful purposes, in each case, to the extent approved in writing by Aaron’s▇▇▇▇▇. Borrower shall not use the FCTA for any other purpose. The maximum principal amount of Advances under the Line of Credit Commitment at any time outstanding shall not exceed the committed amount of the Line of Credit Commitment. Each Advance shall be in the amount of not less than $500. (ii) Borrower shall submit purchase order requests for Merchandise to Aaron’s ▇▇▇▇▇ from time to time. In the event that the purchase order is authorized pursuant to the Franchise Agreement, Aaron’s ▇▇▇▇▇ will prepare the purchase order and submit the same to the appropriate supplier requested by Borrower. The supplier will be instructed to ship all Merchandise directly to Borrower and Borrower will be responsible for (ia) inspecting all Merchandise and resolving all disputes regarding the Merchandise with such supplier and (iib) paying all freight and other shipping and/or insurance charges arising in connection therewith with funds other than Loan proceedsthe proceeds of Loans, unless otherwise agreed by Aaron’s▇▇▇▇▇. The supplier will invoice Borrower for such Merchandise in accordance with normal industry practice. When Borrower wishes to pay such invoice, Borrower, subject to availability of the Line of Credit CommitmentCommitment and the minimum borrowing threshold, shall pay such invoice by directing requesting, by way of fax, email or other electronic form of notification by 12:00 noon (Atlanta, Georgia time) on the Banklast Business Day immediately prior to the 10th or the 25th day of each month, through the Aaron’s Proprietary System, that ▇▇▇▇▇ direct Bank to pay such invoice by means of an ACH initiating a SWIFT transfer from its DDA Account (or Borrower’s FCTA to the applicable vendor and Bank shall be entitled to rely on such other method approved in writing request from ▇▇▇▇▇ as if it had been made directly by Aaron’s)Borrower. Any directions for ACH SWIFT transfers correctly inputted into the Aaron’s Proprietary System transmitted by ▇▇▇▇▇ to Bank prior to 12:00 Midnight noon (CharlotteAtlanta, North Carolina Georgia time) on any the Business DayDay immediately preceding the 10th or the 25th day of a month, shall be paid by the Bank no later than the third next Business Day thereafter, unless Borrower is otherwise notified by Aaron’s ▇▇▇▇▇ or the Bank. (iii) Upon receipt of the request for an ACH SWIFT transfer (provided provided, however, that such request relates to an Approved Invoice), the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account (or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) FCTA and automatically forwarding such amount to the supplier by means of an ACH a SWIFT transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s)Borrower. Upon receipt of any request to deposit funds into an another account in the name of Borrower and or to an account of a third party, upon receipt of Aaron’s written approval thereof, the Bank shall honor such request by making an Advance pursuant to the Line of Credit Commitment in the amount of such request into the Borrower’s DDA Account or, with the written consent of Aaron’s, such other account for which wiring instructions have been provided to the Bank) FCTA and automatically forwarding such amount to such account of the Borrower (or such other approved account) by means of an ACH SWIFT transfer in accordance with the instructions of Borrower (or such other method approved in writing by Aaron’s)▇▇▇▇▇ and acceptable to Bank) in accordance with the instructions of Borrower. In the event that a request for an ACH a SWIFT transfer (or other method of transfer approved in writing by ▇▇▇▇▇ and acceptable to Bank) is presented for payment and Borrower’s availability pursuant to the Line of Credit Commitment is insufficient to honor such request, the Bank may, but shall have no obligation to, make such overadvance, which shall be an Advance for all purposes hereunder, but shall be due and payable upon demand. At the end of each calendar month, Bank shall provide Borrower with a monthly DDA Account FCTA statement in the form customarily used by Bank for its commercial customers and a loan account statement. (iv) The aggregate amount of Advances made to the Borrower during such month shall be amortized into eighteen (18) or twenty-four (24) (as designated by Aaron’s in writing from time to time) equal payments of principal due and payable on the next succeeding Payment Dates; provided provided, however, that, in the event that the Bank terminates the Line of Credit Commitment as provided in Section 2.8 2.6 below, all outstanding amounts shall be due and payable on the 24th Payment Date following such termination.