AUTO FUNDING II L P, 10-Q, 1998-11-06

AUTO FUNDING II L P
10-Q, 1998-11-06
ASSET-BACKED SECURITIES

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<PAGE>

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

(Mark One)

[X] Quarterly report pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934

For the quarterly period ended September 30, 1998

[ ] Transition report pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934

For the transition period from

Commission file number
---------------------
NYLIFE SFD Holding Inc. as Master Administrator For
NAFCO Auto Trust-1, NAFCO Auto Trust-2, and NAFCO Auto Trust-3
(Exact name of registrant as specified in its charter)

Delaware 13-3475905
(State or other jurisdiction (I.R.S. Employer
of incorporation or organization) Identification No.)

51 Madison Avenue, New York, New York 10010
------------------------------------- -----
(Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code (212) 576-6456

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.

Yes [X] No [ ]

<PAGE>

TABLE OF CONTENTS

Page No.
--------
Part I Financial Information

Item 1. Financial Statements 3
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations Properties 3
Item 3. Quantitative and Qualitative Disclosures About Market Risk 3

Part II Other Information

Item 1. Legal Proceedings 4
Item 2. Changes in Securities 4
Item 3. Defaults Upon Senior Securities 4
Item 4. Submission of Matters to a Vote of Security Holders 4
Item 5. Other Information 4
Item 6. Exhibits and Reports on Form 8-K 4-5

Signatures 6

<PAGE>

PART I

Item 1. Financial Statements

Not applicable.

Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations

Not applicable.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Not applicable.

<PAGE>

PART II

Item 1. Legal Proceedings

None.

Item 2. Changes in Securities

None.

Item 3. Defaults on Senior Securities

None.

Item 4. Submission of Matters to a Vote of Security Holders

None.

Item 5. Other Information

A "NOTICE OF PURCHASE OF AUTO LOANS BY THE MASTER ADMINISTRATOR AND FINAL
PAYMENT TO THE INVESTOR CERTIFICATEHOLDERS OF 8.45% CERTIFICATES OF NAFCO
AUTO TRUST-1" dated August 5, 1998 has been issued by the Trustee, Bankers
Trust Company. Such notice states that pursuant to Section 11.01(b) of that
certain Amended and Restated Pooling and Servicing Agreement dated as of
August 1, 1994 among NAFCO Auto Funding, L.P. (now known as Auto Funding II,
L.P.), as Seller, NAFCO Inc. (now known as NYLIFE SFD Holding, Inc.), as
Master Administrator, Electronic Data Systems Corporation, as Servicer, and
Bankers Trust Company, as Trustee, that the Master Administrator will
purchase all Auto Loans from NAFCO Auto Trust-1 (the "Trust") as of July 31,
1998 (the "Purchase Date").

On August 20, 1998, the Master Administrator deposited the aggregate
Principal Balance of all outstanding Auto Loans and all accrued interest
through the Purchase Date into the Trust Collection Account. On such date,
the Distribution Date immediately following the Purchase Date, the Trustee
distributed such amounts in payment of the principal and accrued interest on
the Investor Certificates to the Investor Certificateholders. The
distribution to Investor Certificateholders on August 20, 1998 constituted
the final payment of monies due and owing to Investor Certificateholders
pursuant to the Trust.

This Quarterly Report on Form 10-Q should be read in conjunction with the
Company's Annual Report on Form 10-K for the year ended December 31, 1997.

Item 6. Exhibits and Reports on Form 8-K

(a) Exhibits

The following reflects all applicable Exhibits required under Item 601
of Regulation S-K;

(99) Additional Exhibits

(99.1) Trust - 1

Master Administrator Report dated August 20, 1998 for the Due
Period beginning on May 1, 1998 and ending on July 31, 1998.

(99.2) Trust - 2

Master Administrator Reports dated (i) August 20, 1998 for the Due
Period beginning on July 1, 1998 and ending on July 31, 1998, (ii)
September 21, 1998 for the Due period beginning on August 1, 1998
and ending on August 31, 1998, (iii) October 20, 1998 for the Due
Period beginning on September 1, 1998 and ending on September 30,
1998.

<PAGE>

(99.3) Trust - 3

Master Administrator Reports dated (i) August 20, 1998 for the Due
Period beginning on July 1, 1998 and ending on July 31, 1998, (ii)
September 21, 1998 for the Due Period beginning on August 1, 1998
and ending on August 31, 1998, (iii) October 20, 1998 for the Due
Period beginning on September 1, 1998 and ending on September 30,
1998.

(b) Reports on Form 8-K

The Compnay filed a report on Form 8-K dated August 31, 1998, which
is incorporated by reference. The contents of the report are as
follows:

Pursuant to a Consent and Settlement Agreement dated as of August
31, 1998, among NYLIFE SFD Holding Inc. ("SFD Holding"), NYLIFE
Depositary Corporation ("Depositary"), Electronic Data Systems
Corporation ("EDS") and Bankers Trust Company (the "Trustee"), EDS
resigned as Servicer of the NAFCO Auto Trust securitization program
effective August 31, 1998. Concurrently, American Lenders
Facilities, Inc. ("ALFI") was appointed Successor Servicer of the
program effective August 31, 1998.

The Trustee and Duff & Phelps Credit Rating Co., the rating agency
for the trusts, consented to the appointment. As a routine
consequence of the change in program servicers, Duff & Phelps has
placed the NAFCO Auto Trust securities on the precautionary status
of "Rating Watch-Down." Duff & Phelps has informed SFD Holding
that the appointment of ALFI as Successor Servicer, in and of
itself, will not result in the downgrade or withdrawal of the
current outstanding rating of the NAFCO Auto Trust securities.

<PAGE>

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized on November 6, 1998.

NYLIFE SFD Holding Inc., on behalf of
NAFCO Auto Trust-1, NAFCO Auto Trust-2, and
NAFCO Auto Trust-3

By: NYLIFE Depositary Corporation
General Partner

By: /s/ Kevin M. Micucci
-----------------------------------
Kevin M. Micucci
Principal Executive Officer

By: /s/ Scott J. Drath
-----------------------------------
Scott J. Drath
VP and Controller of the
General Partner

<PAGE>

INDEX TO EXHIBITS

Exhibit No. Description Page #

99.1 Master Administrator Reports 8-31
for Trust - 1
99.2 Master Administrator Reports 32-67
for Trust - 2
99.3 Master Administrator Reports 68-103
for Trust - 3

<PAGE>

MASTER ADMINISTRATOR REPORT

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

NAFCO AUTO TRUST - 1

For the August 20, 1998 Distribution Date

For period beginning on May 1, 1998
and ending on July 31, 1998 (the "Due Period")

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

The undersigned, a duly authorized officer of NYLIFE SFD Holding Inc., as
Master Administrator (the "Master Administrator"), pursuant to Section 5.11 of
the Amended and Restated Pooling and Servicing Agreement (the "Pooling and
Servicing Agreement") dated as of August 1, 1994, as amended, by and among Auto
Funding II L.P., as Seller, the Master Administrator, Electronic Data Systems
Corporation, as Servicer and Bankers Trust Company, as Trustee, does hereby
certify as follows:

1. Capitalized terms used in this Master Administrator Report and not
otherwise defined herein shall have the respective meanings set forth
in the Pooling and Servicing Agreement.
1.

2. NYLIFE SFD Holding Inc. is, as of the date hereof, the Master
Administrator under the Pooling and Servicing Agreement.

3. The undersigned is a Officer of the Master Administrator.

4. The date of this Report is August 17, 1998.

5. POOL FACTOR.

(a) The Pool Factor with respect to
May 1, 1998 was. . . . . . . . . . . . . . . . . . 0.08253477
----------

(b) The Pool Factor with respect to
July 31, 1998 was . . . . . . . . . . . . . . . . . 0.06320102
----------

6. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (BEGINNING OF DUE
PERIOD).

(a) The Investor Certificate Principal
Balance as of May 1, 1998
(after giving effect to the disbursements
in reduction of principal, if any,
on the immediately preceding
Distribution Date) was. . . . . . . . . . . . . .$ 845,073.50
-------------

1
<PAGE>

(b) The Seller Certificate Principal
Balance as of May 1, 1998
(after giving effect to the
disbursements in reduction
of principal, if any, on the
immediately preceding Distribution
Date) was . . . . . . . . . . . . . . . . . . . .$ 78,310.08
-------------

7. COMPUTATION OF THE AVAILABLE SUBORDINATION AMOUNT.

(a) The Maximum Subordination Amount
in respect of such Distribution
Date is . . . . . . . . . . . . . . . . . . . . .$ 831,078.15
-------------

(b) The Cumulative Subordination
Payments with respect to such
Distribution Date is. . . . . . . . . . . . . . .$ -0-
-------------

(c) The Available Subordination Amount
with respect to such Distribution
Date [a - b] is . . . . . . . . . . . . . . . . .$ 831,078.15
-------------
8. THE CASH RESERVE ACCOUNT.

(a) The Required Cash Reserve Amount
(assuming all withdrawals or deposits
to be made with respect to the current
Distribution Date are made) is . . . . . . . . .$ 42,253.68
-------------

(b) The Available Cash Reserve Amount
available for deposit to the Collection
Account on the related Deposit Date
(prior to any withdrawals or deposits
to be made with respect to the current
Distribution Date are made) is. . . . . . . . . .$ 55,906.32
-------------

(c) The amount to be deposited to
(withdrawn from) the Available
Cash Reserve Amount with respect
to the current Distribution Date
was . . . . . . . . . . . . . . . . . . . . . . .$ (13,652.64)
-------------

(d) The Available Cash Reserve Amount
available for deposit to the Collection
Account on the related Deposit Date
(after any withdrawals or deposits to
be made with respect to the current
Distribution Date are made) is. . . . . . . . . .$ 42,253.68
-------------

2
<PAGE>

9. AGGREGATE MONTHLY SERVICING FEE.

(a) The aggregate Monthly Servicing Fee
paid to the Servicer on the June 19,
1998 Monthly Fee Date and the July 17,
1998 Monthly Fee Date was . . . . . . . . . . . .$ 18,748.60
-------------

(b) The Monthly Servicing Fee owing
to the Servicer on the related
Distribution Date is . . . . . . . . . . . . . .$ 5,379.23
-------------

(c) The total Monthly Servicing Fee paid
or payable to the Servicer in respect
of such Due Period [a+b] is . . . . . . . . . . .$ 24,127.83
-------------

10. AGGREGATE MONTHLY SUBROGATION AMOUNT.

(a) The aggregate Monthly Subrogation
Amount paid to the Master
Administrator on the June 19, 1998
Monthly Fee Date and the July 17,
1998 Monthly Fee Date was . . . . . . . . . . . .$ -0-
-------------

(b) The Monthly Subrogation Amount
owing on the related Distribution
Date is . . . . . . . . . . . . . . . . . . . . .$ -0-
-------------

(c) The total Monthly Subrogation Amount
paid or payable to the Master
Administrator in respect of such
Due Period [a+b] is . . . . . . . . . . . . . . .$ -0-
-------------

11. AGGREGATE MONTHLY ADMINISTRATOR FEE.

(a) The aggregate Monthly Administrator
Fee paid to the Master Administrator
on the June 19, 1998 Monthly
Fee Date and the July 17, 1998
Monthly Fee Date was . . . . . . . . . . . . . .$ 3,542.83
-------------

(b) The Monthly Administrator Fee owing
on the related Distribution Date is . . . . . . .$ 2,254.85
-------------

(c) The total Monthly Administrator Fee
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is . . . . .$ 5,797.68
-------------

3
<PAGE>

12. AVAILABLE FUNDS.

(a) The amount of Available Funds with
respect to the related Due Period was . . . . . .$ 317,483.24
-------------

(b) The amount of Available Funds with
respect to the immediately preceding
Due Period that were retained in the
Collection Account was. . . . . . . . . . . . . .$ 11,136.56
-------------

(c) Interest earned on and retained in the
Collection Account for the Due Period
and interest earned on the Cash Reserve
Account for the Due Period and
transferred to the Collection Account
on the related Deposit Date was . . . . . . . . .$ 3,711.17
-------------

(d) Total distributable funds with
respect to the related Due Period
[a+b+c] was . . . . . . . . . . . . . . . . . . .$ 332,330.97
-------------

(e) The amount of Available Funds used
to purchase additional Auto Loans during
the related Due Period was . . . . . . . . . . .$ - 0 -
-------------

(f) The amount of Available Funds and
interest earned on the Collection Account
and the Cash Reserve Account used to pay
the Monthly Servicing Fee and the Monthly
Administrator Fee on the June 19,
1998 Monthly Fee Date and the July
17, 1998 Monthly Fee Date was . . . . . . . . . .$ 22,291.43
-------------

(g) The amount of Available Funds and
interest earned on the Collection Account
and the Cash Reserve Account remaining
after the purchase of additional Auto
Loans and the payment of the Monthly
Servicing Fee and the Monthly
Administrator Fee with respect to the
related Due Period [d-e-f] is . . . . . . . . . .$ 310,039.54
-------------

(h) Repurchase of Auto Loans by the Master
Administrator pursuant to Section 11.01(b)
of the Pooling and Servicing Agreement. . . . . .$ 647,115.28
-------------

4
<PAGE>

13. DISBURSEMENTS TO BE MADE ON THE RELATED DISTRIBUTION DATE.
The Certificate Rate is 8.75%.

(a) The amount of the aggregate Monthly
Servicing Fee to be paid to the
Servicer on such Distribution Date
is . . . . . . . . . . . . . . . . . . . . . . .$ 5,379.23
-------------

(b) The amount of the aggregate Monthly
Subrogation Amount to be paid to the
Master Administrator on such
Distribution Date is . . . . . . . . . . . . . .$ -0-
-------------

(c) The amount of the Monthly
Administrator Fee to be paid to the
Master Administrator on such
Distribution Date is . . . . . . . . . . . . . .$ 2,254.85
-------------

(d) The amount of the aggregate
distribution to be made on such
Distribution Date which constitutes
interest on the Investor Certificates
at the Certificate Rate, including
any Shortfall so allocable is . . . . . . . . . .$ 18,485.98
-------------

(e) The amount of the aggregate
distribution to be made on such
Distribution Date which constitutes
payments in reduction of principal
with respect to the Investor
Certificates is . . . . . . . . . . . . . . . . .$ 197,958.22
-------------

(e)(1)Final principal payment to the Investor
Certificateholders pursuant to the purchase
of auto loans by the Master Administrator. . . .$ 647,115.28
-------------

(f) The total amount of the
distribution to be made on such
Distribution Date to the Investor
Certificateholders [d+e+e(1)] is . . . . . . . .$ 863,559.48
-------------

(g) The amount of the aggregate
distribution to be made on such
Distribution Date which constitutes
interest on the Seller Certificate
at the Certificate Rate is . . . . . . . . . . .$ 1,713.03
-------------

5
<PAGE>

(h) The amount of the aggregate
distribution to be made on such
Distribution Date which constitutes a
reduction of principal with respect to
the Seller Certificate is . . . . . . . . . . . .$ 25,765.63
-------------

(i) The amount to be deposited(withdrawn) from
the Cash Reserve Account is . . . . . . . . . . .$ (13,652.64)
-------------

(j) The amount to be retained in
the Collection Account with the
respect to the Partial Payment
Amount is . . . . . . . . . . . . . . . . . . . .$ 9,239.96
-------------

(k) The amount to be disbursed to
the Seller Certificateholder
(other than the amounts referred
to in clauses (g) and (h) is . . . . . . . . . .$ 62,895.28
-------------

(l) The total amount of the
distribution to be made to the
Seller Certificateholders [g+h+k] is. . . . . . .$ 90,373.94
-------------

14. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (END OF DUE PERIOD).

(a) The Investor Certificate Principal
Balance as of July 31, 1998
(after giving effect to the
disbursements in reduction of
principal, if any, made on the
related Distribution Date) is . . . . . . . . . .$ -0-
-------------

(b) The Seller Certificate Principal
Balance as of July 31, 1998
(after giving effect to the
disbursements in reduction
of principal, if any, on the
related Distribution Date) is . . . . . . . . . .$ 52,544.45
-------------

15. EVENTS OF ADMINISTRATOR TERMINATION.

No event has occurred and is continuing which constitutes an Event of
Administrator Termination or would constitute an Event of Administrator
Termination but for the requirement that notice be given or time elapse or
both [except as disclosed on the attached Annex A.]

6
<PAGE>

IN WITNESS WHEREOF, the undersigned has duly executed and delivered
this certificate this 17th day of August 1998.

NYLIFE SFD Holding INC.
as Master Administrator

By: /s/ Scott Drath
-----------------------------
Name: Scott Drath
Title: Vice President

7
<PAGE>

ANNEX A
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

EVENT OF ADMINISTRATOR TERMINATION

None

8
<PAGE>

ANNEX B
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

In addition to the information required by items 4-16 of the Master
Administrator Report the following information is to be included in the report
delivered to Investor Certificateholders pursuant to Section 7.05 of the Pooling
and Servicing Agreement:

1. AGGREGATE PRINCIPAL BALANCE OF THE AUTO LOANS.

As of July 31, 1998 [the close of business on the last day of the Due
Period]

Number of Days Number of Aggregate Principal
Delinquent Auto Loans Balance of Auto Loans
--------------- ---------- ---------------------
<S> <C> <C>
current (0-29) 135 $ 504,579
30 - 59 10 38,052
60 - 89 3 16,369
90 - 120 1 173
over 120 136 493,699
---------- -------------
Totals: 285 $ 1,052,872
----------
----------
</TABLE>

Aggregate Principal Balance of Defaulted
Auto Loans at July 31, 1998 (353,213)
-------------

Aggregate Principal Balance allocable
to Certificateholders $ 699,659
------------
------------

2. TOTAL AMOUNTS COLLECTED FOR THE DUE PERIOD
AND DEPOSITED INTO THE COLLECTION ACCOUNT.

(a) The total amount of Payments collected on
the Auto Loans and deposited into the
Collection Account for the Due Period was . . . .$ 246,420.76
-------------

(b) The total amount of Recoveries on Defaulted
Auto Loans collected on the Auto Loans and
deposited into the Collection Account for the
for the Due Period was . . . . . . . . . . . . .$ 71,062.48
-------------

(c) The total amounts collected on the Auto Loans
and deposited into the Collection Account for the
Due Period was. . . . . . . . . . . . . . . . . .$ 317,483.24
-------------

9
<PAGE>

3. DEFAULTED AUTO LOANS.

Auto Loans that became Defaulted Auto Loans during the Due Period:
<TABLE>
<CAPTION>

Number of Aggregate Principal
Auto Loans Balance of Auto Loans
---------- ---------------------
<S> <C>
6 $24,135.60

</TABLE>

4. THE INFORMATION SPECIFIED IN ITEM 13(d) THROUGH (f)
STATED ON THE BASIS OF $1,000 INITIAL PRINCIPAL AMOUNT.
The Certificate Rate is 8.75%.

(a) The amount of the aggregate distribution to
be made on such Distribution Date which
constitutes interest on the Investor Certificates
at the Certificate Rate, including any
Shortfall so allocable stated on the basis of
$1,000 Initial Principal Amount is . . . . . . .$ 1.805448
-------------

(b) The amount of the aggregate distribution
to be made on such Distribution Date which
constitutes payments in reduction of principal
with respect to the Investor Certificate on the
basis of $1,000 Initial Principal Amount is . . .$ 19.333745
-------------

(c) The total amount of the distribution to be
made on such Distribution Date to the Investor
Certificateholders on the basis of $1,000
Initial Principal Amount is . . . . . . . . . . .$ 21.139193
-------------

<PAGE>

MASTER ADMINISTRATOR REPORT

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

NAFCO AUTO TRUST - 2

For the August 20, 1998 Distribution Date

For the period beginning on July 1, 1998
and ending on July 31, 1998 (the "Due Period")

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

The undersigned, a duly authorized officer of NYLIFE SFD Holding Inc., as
Master Administrator (the "Master Administrator"), pursuant to Section 5.11 of
the Amended and Restated Pooling and Servicing Agreement (the "Pooling and
Servicing Agreement") dated as of June 1, 1995, by and among Auto Funding II,
L.P., as Seller, the Master Administrator, Electronic Data Systems Corporation,
as Servicer and Bankers Trust Company, as Trustee, does hereby certify as
follows:

1. Capitalized terms used in this Master Administrator Report and
not otherwise defined herein shall have the respective meanings set
forth in the Pooling and Servicing Agreement.

2. NYLIFE SFD Holding Inc. is, as of the date hereof, the Master
Administrator under the Pooling and Servicing Agreement.

3. The undersigned is an Officer of the Master Administrator.

4. The date of this Report is August 17, 1998.

5. POOL FACTOR.

(a) The Pool Factor with respect to
July 1, 1998 was. . . . . . . . . . . . . . . .17327343
---------

(b) The Pool Factor with respect to
July 31, 1998 was . . . . . . . . . . . . . . .16214481
---------

6. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (BEGINNING OF DUE
PERIOD).

(a) The Investor Certificate Principal
Balance as of July 1, 1998
(after giving effect to the disbursements
in reduction of principal, if any,
on the immediately preceding
Distribution Date) was . . . . . . . . $ 6,446,291.55
--------------

1
<PAGE>

(b) The Seller Certificate Principal
Balance as of July 1, 1998 (after
giving effect to the disbursements
in reduction of principal, if any, on
the immediately preceding Distribution
Date) was . . . . . . . . . . . . . . . . . . $ 716,254.62
--------------

7. OCCURRENCE OF A REQUIRED RESERVE EVENT

(a) The Delinquency Ratio is. . . . . . . . . . . 0.05%
--------------

(b) The Three Month Delinquency Ratio is. . . . . 0.70%
--------------

(d) The Three Month Gross Loss Ratio is . . . . . 12.77%
--------------

(e) The percentage of eligible claims on the
ALPI policy not paid in a timely manner
is(*) . . . . . . . . . . . . . . . . . . . . *45.15%
--------------

(f) The Required Reserve Percentage . . . . . . . 10.00%
--------------

(g) *Indicates which Required Reserve Event has occured.

SEE ANNEX C.1 FOR RATIO CALCULATIONS

(*) The percentage of claims on the ALPI policy not paid in a timely manner
includes $355,018.57 of claims which are currently in dispute. Such disputed
claims represent 23.33% of all eligible claims.

8. AGGREGATE MONTHLY SERVICING FEE.

(a) The Monthly Servicing Fee owing
to the Servicer on the related
Distribution Date is . . . . . . . . . . . . $ 44,206.17
--------------

(b) The amount of accrued and unpaid
Monthly Servicing Fees in respect of
prior Due Periods is. . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Servicing Fee paid
or payable to the Servicer in respect
of such Due Period [a+b] is . . . . . . . . . $ 44,206.17
--------------

2
<PAGE>

9. AGGREGATE MONTHLY SUBROGATION AMOUNT.

(a) The Monthly Subrogation Amount
owing on the related Distribution
Date is . . . . . . . . . . . . . . . . . . . $ -0-
--------------

(b) The amount of accrued and unpaid Monthly
Subrogation Amount in respect of prior
Due Periods is . . . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Subrogation Amount
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is. . . . $ -0-
--------------

10. AGGREGATE MONTHLY ADMINISTRATOR FEE.

(a) The Monthly Administrator Fee owing
on the related Distribution Date is . . . . . $ 11,486.22
--------------

(b) The amount of accrued and unpaid
Monthly Administrator Fees in respect
of prior Due Periods is . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Administrator Fee
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is . . . $ 11,486.22
--------------

11. THE CASH RESERVE ACCOUNT.

(a) The Insurance Reserve Amount/The Insurance
Deductible

(i) The Insurance Reserve Amount as
of the first day of the Due Period. . . $ 20,637.35
--------------

(ii) The aggregate amount to be withdrawn
from the Insurance Reserve Amount,
deposited into the Collection Account
and applied against the aggregate
amount of the Insurance Deductible. . . $ 19,116.93
--------------

(iii) The aggregate Insurance Deductible
deposited by the Seller into the Cash
Reserve Account with respect to Auto
Loans acquired. . . . . . . . . . . . . $ 0
--------------

(iv) The Insurance Reserve Amount as of
the end of the Due Period
is. . . . . . . . . . . . . . . . . . . $ 1,520.42
--------------

(b) The Available Cash Reserve Amount

3
<PAGE>

(i) The Required Cash Reserve Amount
(assuming all withdrawals or deposits to
be made with respect to the current
Distribution Date are made) is. . . . . $ 644,629.16
--------------

(ii) The Available Cash Reserve Amount
available for deposit to the Collection
Account on the related Deposit Date
(prior to any withdrawals or deposits
to be made with respect to the current
Distribution Date are made) is. . . . . $ 695,026.04
--------------

(iii) The amount to be deposited to
(withdrawn from) the Available Cash
Reserve Amount with respect to the
current Distribution Date is. . . . . . $ (50,396.88)
--------------

(iv) The Available Cash Reserve Amount
available for deposit to the Collection
Account on the related Deposit Date
(after any withdrawals or deposits to be
made with respect to the current
Distribution Date are made) is. . . . . $ 644,629.16
--------------

(c) The total Cash Reserve Account as of the
end of the Due Period (after giving effect
to the deposits and withdrawals in (a) and
(b) above) is . . . . . . . . . . . . . . . . $ 646,149.58
--------------

12. AVAILABLE FUNDS.

(a) The amount of Available Funds with
respect to the related Due Period was . . . . $ 741,126.65
--------------

(b) The amount of Available Funds with
respect to the immediately preceding
Due Period that were retained in the
Collection Account was. . . . . . . . . . . . $ 73,709.03
--------------

(c) Interest earned on and retained in the
Collection Account for the Due Period
and interest earned on the Cash Reserve
Account and transferred to the Collection
Account for the Due Period on the
related Deposit Date was. . . . . . . . . . . $ 7,149.80
--------------

(d) Total distributable funds with respect
to the related Due Period [a+b+c] was . . . . $ 821,985.48
--------------

4
<PAGE>

(e) The amount of Available Funds used
to purchase additional Auto Loans during
the related Due Period was . . . . . . . . . $ -0-
--------------

(f) The amount of Available Funds and
interest earned on the Collection
Account remaining after the purchase
of additional Auto Loans with respect
to the related Due Period [d-e] is . . . . . $ 821,985.48
--------------

13. DISBURSEMENTS TO BE MADE ON THE RELATED DISTRIBUTION DATE.
The Certificate Rate is 7.00%.

(a) The amount of the aggregate Monthly
Servicing Fee to be paid to the Servicer
on such Distribution Date is. . . . . . . . . $ 44,206.17
--------------

(b) The amount of the aggregate Monthly
Subrogation Amount to be paid to the
Master Administrator on such
Distribution date is. . . . . . . . . . . . . $ -0-
--------------

(c) The amount of the Monthly Administrator
Fee to be paid to the Master Administrator
on such Distribution Date is. . . . . . . . . $ 11,486.22
--------------

(d) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Investor
Certificates at the Certificate Rate,
including any Shortfall so allocable is . . . $ 37,603.37
--------------

(e) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes payments in
reduction of principal with respect
to the Investor Certificates is . . . . . . . $ 414,018.28
--------------

(f) The total amount of the distribution
to be made on such Distribution Date
to the Investor Certificateholders [d+e] is . $ 451,621.65
--------------

(g) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Seller
Certificate at the Certificate Rate is . . . $ 4,178.15
--------------

5
<PAGE>

(h) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes a reduction of principal
with respect to the Seller Certificate is . . $ 46,002.03
--------------

(i) The amount to be deposited (withdrawn) to
the Cash Reserve Account is . . . . . . . . . $ (50,396.88)
--------------

(j) The amount to be retained in the
Collection Account with respect to
the Partial Payment Amount is . . . . . . . . $ 73,802.62
--------------

(k) The amount to be disbursed to the
Seller Certificateholder (other than the
amounts referred to in (g) and (h)) is . . . $ 241,085.52
--------------

(l) The total amount of the
distribution to be made to the
Seller Certificateholders [g+h+k] is. . . . . $ 291,265.70
--------------

14. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (END OF DUE PERIOD).

(a) The Investor Certificate Principal Balance
as of July 31, 1998 (after giving
effect to the disbursements in reduction
of principal, if any, on the immediately
preceding Distribution Date) was. . . . . . . $ 6,032,273.27
--------------

(b) The Seller Certificate Principal
Balance as of July 31, 1998 (after
giving effect to the disbursements in
reduction of principal, if any, on the
related Distribution Date) was. . . . . . . . $ 670,252.59
--------------

15. EVENTS OF ADMINISTRATOR TERMINATION.
No event has occurred and is continuing which constitutes an
Event of Administrator Termination or would constitute an
Event of Administrator Termination but for the requirement
that notice be given or time elapse or both [except as disclosed
on the attached Annex A].

6
<PAGE>

IN WITNESS WHEREOF, the undersigned has duly executed and delivered
this certificate this 17th day of August 1998.

NYLIFE SFD Holding INC.
as Master Administrator

By: /s/ Scott Drath
-----------------------------
Name: Scott Drath
Title: Vice President

7
<PAGE>

ANNEX A
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

EVENT OF MASTER ADMINISTRATOR TERMINATION

None

8
<PAGE>

ANNEX B
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

1. AGGREGATE PRINCIPAL BALANCE OF THE AUTO LOANS.

As of July 31, 1998 [the close of business on the last day of the Due
Period]

<TABLE>
<CAPTION>
Number of Days Number of Aggregate Principal
Delinquent Auto Loans Balance of Auto Loans
-------------- ---------- ---------------------
<S> <C> <C>
current (0-29) 985 $ 5,494,774
30 - 59 64 383,498
60 - 89 25 177,848
90 - 120 10 48,215
over 120 651 3,394,198
---------- ------------
Totals: 1,735 $ 9,498,533
---------
---------
</TABLE>

Aggregate Principal Balance of Defaulted
Auto Loans at July 31, 1998 (2,796,007)
--------------

Aggregate Principal Balance allocable
to Certificateholders $ 6,702,526
--------------
--------------

2. TOTAL AMOUNTS COLLECTED DURING THE DUE
PERIOD AND DEPOSITED INTO THE COLLECTION ACCOUNT.
(a) The total amount of Payments collected
on the Auto Loans and deposited into the
Collection Account for the Due Period was . . $ 543,751.00
--------------

(b) The total amount of Recoveries on
Defaulted Auto Loans collected on the
Auto Loans and deposited into the
Collection Account for the Due Period was . . $ 178,165.13
--------------

(c) The total amounts collected on the Auto
Loans and deposited into the Collection
Account for the Due Period was [a+b]. . . . . $ 721,916.13
--------------

9
<PAGE>

3. DEFAULTED AUTO LOANS.

Auto Loans that became Defaulted Auto Loans during the Due Period:

<TABLE>
<CAPTION>
Number of Aggregate Principal
Auto Loans Balance of Auto Loans
---------- ---------------------
<S> <C>
8 $50,301.18
</TABLE>

4. THE INFORMATION SPECIFIED IN ITEM 13(d) THROUGH (f)
STATED ON THE BASIS OF $1,000 INITIAL PRINCIPAL AMOUNT.
The Certificate Rate is 7%.

(c) The total amount of the distribution to be
made on such Distribution Date to the Investor
Certificateholders on the basis of $1,000
Initial Principal Amount is . . . . . . . . . $ 12.139388
--------------

10
<PAGE>

ANNEX C
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

Calculation of Required Cash Reserve Amount as of the August 20, 1998
Distribution Date.

(i) The Investor Certificate Principal Balance equals
$6,446,291.55.

(ii) Required Reserve Percentage equals 10%.

(iii) The Required Cash Reserve Amount equals (the product of (i) and
(ii)) $644,629.16.

For purposes of this Annex C, the following term shall have the
following meaning:

"REQUIRED RESERVE PERCENTAGE" MEANS:

(a) for any Payment Date on which there is not an uncured
Reserve Requirement Event, 5%;

(b) if the Three-Month Delinquency Ratio for any Due Period
exceeds 4% (a "Three Month Delinquency Test"), the
Required Reserve Percentage on each succeeding Payment
Date shall be 10%; provided, however, that if, for any Due
Period following the third Due Period following the
occurrence of a Three Month Delinquency Test, the Three
Month Delinquency Ratio is less than 4% (a "Three Month
Delinquency Cure"), the provisions of this clause (b) shall
no longer apply until another Three Month Delinquency Test
occurs:

(c) if the Delinquency Ratio for any Due Period exceeds 6% (a
"Delinquency Test"), the Required Reserve Percentage on each
succeeding Payment Date shall be 10%; provided, however, that
if, for any Due Period following the third Due Period following
the occurrence of the less than 6% (a "Delinquency Cure"), the
provisions of this clause (c) shall no longer apply until
another Delinquency Test occurs;

(d) if the Gross Loss Ratio for any Due Period exceeds 18%
(a "Loss Test"), the Required Reserve Percentage on each
succeeding Payment Date shall be 10%; provided, however,
that if, for any Due Period following the third Due Period
following the occurrence of the Loss Test, the Three Month
Gross Ratio is less than 18% (a "Loss Cure"), the provisions
of this clause (d) shall no longer apply until another Test
occurs;

11
<PAGE>

(e) if the Three-Month Gross Loss Ratio for any Due Period exceeds
14.5% (a "Three Month Loss Test"), the Required Reserve
Percentage on each succeeding Payment Date shall be 10%;
provided however, that if, for any Due Period following the
occurrence of a Three Month Loss Test, the Three Month
Gross Loss Ratio is less than 14.5% (a "Three Month
Loss Cure"), the provisions of this clause (e) shall no
longer apply until another Three Month Loss Test
occurs; and

(f) if 20% of more of eligible claims of the Auto Loans
Protection Policy are not paid by the Insurance Companies
within the time specified therein, the Required Reserve
Percentage on each succeeding Payment Date shall
be 10% as of the close of business on the last day
of the preceding Due Period.

12
<PAGE>

ANNEX C.1

<TABLE>
<CAPTION>
RATIOS
1. DELINQUENCY RATIO: ------
<S> <C> <C>
July Principal Balance 60+ days (net) = 4,530.53 = 0.05%
-------------------------------------------- --------------
July Aggregate Principal Balance 9,498,532.87

2. THREE MONTH DELINQUENCY RATIO:

Sum of May - July Principal Balances
Balances 60+ days (net) = 213,086.26 = 0.70%
-------------------------------------------- -------------
Sum of May - July Principal Balances 30,371,898.33

3. GROSS LOSS RATIO:

Twelve times the:
July Principal Balance of Defaulted
Auto Loans repossessed = 63,344.70 = 8.00%
-------------------------------------------- -------------
July Aggregate Principal Balance 9,498,532.87

4. THREE MONTHS GROSS LOSS RATIO:

Twelve times the:
Sum of May - July Principal Balances
of Defaulted Auto Loans repossessed = 323,289.08 = 12.77%
-------------------------------------------- -------------
Sum of May - July Principal Balances 30,371,898.33

5. ALPI CLAIMS PAYMENT TEST:

Aggregate Principal Balance of
ALPI Claims not paid within timeframe = 686,991.57 = 45.15%
-------------------------------------------- -------------
Principal Balance of Eligible Claims 1,521,454.85
</TABLE>
<PAGE>

MASTER ADMINISTRATOR REPORT

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

NAFCO AUTO TRUST - 2

For the September 21, 1998 Distribution Date

For the period beginning on August 1, 1998
and ending on August 31, 1998 (the "Due Period")

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

The undersigned, a duly authorized officer of NYLIFE SFD Holding Inc., as
Master Administrator (the "Master Administrator"), pursuant to Section 5.11 of
the Amended and Restated Pooling and Servicing Agreement (the "Pooling and
Servicing Agreement") dated as of June 1, 1995, by and among Auto Funding II,
L.P., as Seller, the Master Administrator, Electronic Data Systems Corporation,
as Servicer and Bankers Trust Company, as Trustee, does hereby certify as
follows:

1. Capitalized terms used in this Master Administrator Report and
not otherwise defined herein shall have the respective meanings set
forth in the Pooling and Servicing Agreement.

2. NYLIFE SFD Holding Inc. is, as of the date hereof, the Master
Administrator under the Pooling and Servicing Agreement.

3. The undersigned is an Officer of the Master Administrator.

4. The date of this Report is September 17, 1998.

5. POOL FACTOR.

(a) The Pool Factor with respect to
August 1, 1998 was. . . . . . . . . . . . . . .16214481
--------------
(b) The Pool Factor with respect to
August 31, 1998 was . . . . . . . . . . . . . .15293797
--------------

6. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (BEGINNING OF DUE
PERIOD).

(a) The Investor Certificate Principal
Balance as of August 1, 1998
(after giving effect to the disbursements
in reduction of principal, if any,
on the immediately preceding
Distribution Date) was. . . . . . . . . . . . $ 6,032,273.27
--------------

<PAGE>

(b) The Seller Certificate Principal
Balance as of August 1, 1998 (after
giving effect to the disbursements
in reduction of principal, if any, on
the immediately preceding Distribution
Date) was . . . . . . . . . . . . . . . . . . $ 670,252.59
--------------
7. OCCURRENCE OF A REQUIRED RESERVE EVENT

(a) The Delinquency Ratio is. . . . . . . . . . . 0.02%
--------------

(b) The Three Month Delinquency Ratio is. . . . . 0.10%
--------------

(d) The Three Month Gross Loss Ratio is . . . . . 10.35%
--------------

(e) The percentage of eligible claims on the
ALPI policy not paid in a timely manner
is(*) . . . . . . . . . . . . . . . . . . . . *33.09%
--------------

(f) The Required Reserve Percentage is. . . . . . 10.00%
--------------

(g) *Indicates which Required Reserve Event has occured.

SEE ANNEX C.1 FOR RATIO CALCULATIONS

(*) The percentage of claims on the ALPI policy not paid in a timely manner
includes $124,008.58 of claims which are currently in dispute. Such disputed
claims represent 8.90% of all eligible claims.

8. AGGREGATE MONTHLY SERVICING FEE.

(a) The Monthly Servicing Fee owing
to the Servicer on the related
Distribution Date is. . . . . . . . . . . . . $ 53,901.17
--------------

(b) The amount of accrued and unpaid
Monthly Servicing Fees in respect of
prior Due Periods is. . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Servicing Fee paid
or payable to the Servicer in respect
of such Due Period [a+b] is . . . . . . . . . $ 53,901.17
--------------

<PAGE>

9. AGGREGATE MONTHLY SUBROGATION AMOUNT.

(a) The Monthly Subrogation Amount
owing on the related Distribution
Date is . . . . . . . . . . . . . . . . . . . $ -0-
--------------

(b) The amount of accrued and unpaid Monthly
Subrogation Amount in respect of prior
Due Periods is. . . . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Subrogation Amount
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is. . . . $ -0-
--------------

10. AGGREGATE MONTHLY ADMINISTRATOR FEE.

(a) The Monthly Administrator Fee owing
on the related Distribution Date is . . . . . $ 10,645.06
--------------

(b) The amount of accrued and unpaid
Monthly Administrator Fees in respect
of prior Due Periods is . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Administrator Fee
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is. . . . $ 10,645.06
--------------

11. THE CASH RESERVE ACCOUNT.

(a) The Insurance Reserve Amount/The Insurance
Deductible

(i) The Insurance Reserve Amount as
of the first day of the Due Period . . . $ 1,520.42
--------------

(iii) Additional Insurance Deductible
deposited by the Seller into the Cash
Reserve Account . . . . . . . . . . . . $ 5,979.05
--------------

(iv) The Insurance Reserve Amount as of
the end of the Due Period
is . . . . . . . . . . . . . . . . . . . $ 0
--------------

(b) The Available Cash Reserve Amount

<PAGE>

(i) The Required Cash Reserve Amount
(assuming all withdrawals or deposits to
be made with respect to the current
Distribution Date are made) is . . . . . $ 603,227.33
--------------

(iii) The amount to be deposited to
(withdrawn from) the Available Cash
Reserve Amount with respect to the
current Distribution Date is. . . . . . $ (41,401.83)
--------------

(c) The total Cash Reserve Account as of the
end of the Due Period (after giving effect
to the deposits and withdrawals in (a) and
(b) above) is . . . . . . . . . . . . . . . . $ 603,227.33
--------------

12. AVAILABLE FUNDS.

(a) The amount of Available Funds with
respect to the related Due Period was . . . . $ 1,039,361.13
--------------

(b) The amount of Available Funds with
respect to the immediately preceding
Due Period that were retained in the
Collection Account was. . . . . . . . . . . . $ 73,802.62
--------------

<PAGE>

(d) Total distributable funds with respect
to the related Due Period [a+b+c] was . . . . $ 1,119,856.11
--------------

(e) The amount of Available Funds used
to purchase additional Auto Loans during
the related Due Period was. . . . . . . . . . $ -0-
--------------

13. DISBURSEMENTS TO BE MADE ON THE RELATED DISTRIBUTION DATE.
The Certificate Rate is 7.00%.

(a) The amount of the aggregate Monthly
Servicing Fee to be paid to the Servicer
on such Distribution Date is. . . . . . . . . $ 53,901.17
--------------

(b) The amount of the aggregate Monthly
Subrogation Amount to be paid to the
Master Administrator on such
Distribution date is. . . . . . . . . . . . . $ -0-
--------------

(c) The amount of the Monthly Administrator
Fee to be paid to the Master Administrator
on such Distribution Date is. . . . . . . . . $ 10,645.06
--------------

(d) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Investor
Certificates at the Certificate Rate,
including any Shortfall so allocable is . . . $ 35,188.26
--------------

(e) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes payments in
reduction of principal with respect
to the Investor Certificates is . . . . . . . $ 342,521.84
--------------

(f) The total amount of the distribution
to be made on such Distribution Date
to the Investor Certificateholders [d+e] is . $ 377,710.10
--------------

(g) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Seller
Certificate at the Certificate Rate is. . . . $ 3,909.81
--------------

<PAGE>

(h) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes a reduction of principal
with respect to the Seller Certificate is . . $ 38,057.99
--------------

(i) The amount to be deposited (withdrawn) to
the Cash Reserve Account is . . . . . . . . . $ (41,401.83)
--------------

(j) The amount to be retained in the
Collection Account with respect to
the Partial Payment Amount is . . . . . . . . $ 72,243.92
--------------

(k) The amount to be disbursed to the
Seller Certificateholder (other than the
amounts referred to in (g) and (h)) is. . . . $ 604,789.89
--------------

(l) The total amount of the
distribution to be made to the
Seller Certificateholders [g+h+k] is. . . . . $ 646,757.69
--------------

14. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (END OF DUE PERIOD).

(a) The Investor Certificate Principal Balance
as of August 31, 1998 (after giving
effect to the disbursements in reduction
of principal, if any, on the immediately
preceding Distribution Date) was. . . . . . . $ 5,689,751.43
--------------

(b) The Seller Certificate Principal
Balance as of August 31, 1998 (after
giving effect to the disbursements in
reduction of principal, if any, on the
related Distribution Date) was. . . . . . . . $ 632,194.60
--------------

<PAGE>

IN WITNESS WHEREOF, the undersigned has duly executed and delivered
this certificate this 17th day of September 1998.

NYLIFE SFD Holding INC.
as Master Administrator

By: /s/ Scott Drath
--------------------------
Name: Scott Drath
Title: Vice President

<PAGE>

ANNEX A
TO
MASTER ADMINISTRATOR REPORT
DATED September 17, 1998

EVENT OF MASTER ADMINISTRATOR TERMINATION

None

<PAGE>

ANNEX B
TO
MASTER ADMINISTRATOR REPORT
DATED September 17, 1998

1. AGGREGATE PRINCIPAL BALANCE OF THE AUTO LOANS.

As of August 31, 1998 [the close of business on the last day of the
Due Period]

<TABLE>
<CAPTION>
Number of Days Number of Aggregate Principal
Delinquent Auto Loans Balance of Auto Loans
---------------- -------------- -------------------------
<S> <C> <C>
current (0-29) 935 $ 4,991,590
30 - 59 82 466,500
60 - 89 22 131,075
90 - 120 19 132,187
over 120 649 3,348,272
------- ------------
Totals: 1,707 $ 9,069,624
-------
-------

</TABLE>
Aggregate Principal Balance of Defaulted
Auto Loans at August 31, 1998 . . . . . . . . . . (2,747,678)
------------

Aggregate Principal Balance allocable
to Certificateholders . . . . . . . . . . . . . . $ 6,321,946
------------
------------

2. TOTAL AMOUNTS COLLECTED DURING THE DUE
PERIOD AND DEPOSITED INTO THE COLLECTION ACCOUNT.

(a) The total amount of Payments collected
on the Auto Loans and deposited into the
Collection Account for the Due Period was . . $ 935,602.68
-------------

(b) The total amount of Recoveries on
Defaulted Auto Loans collected on the
Auto Loans and deposited into the
Collection Account for the Due Period was . . $ 97,817.68
-------------

(c) The total amounts collected on the Auto
Loans and deposited into the Collection
Account for the Due Period was [a+b]. . . . . $1,033,420.36
-------------

<PAGE>

3. DEFAULTED AUTO LOANS.

Auto Loans that became Defaulted Auto Loans during the Due Period:

<TABLE>
<CAPTION>
Number of Aggregate Principal
Auto Loans Balance of Auto Loans
---------- ---------------------
<S> <C>
7 $51,361.99

</TABLE>

4. THE INFORMATION SPECIFIED IN ITEM 13(d) THROUGH (f)
STATED ON THE BASIS OF $1,000 INITIAL PRINCIPAL AMOUNT.
The Certificate Rate is 7%.

(c) The total amount of the distribution to be
made on such Distribution Date to the Investor
Certificateholders on the basis of $1,000
Initial Principal Amount is . . . . . . . . . $ 10.152679
--------------

<PAGE>

ANNEX C
TO
MASTER ADMINISTRATOR REPORT
DATED September 17, 1998

Calculation of Required Cash Reserve Amount as of the September 21,
1998 Distribution Date.

(i) The Investor Certificate Principal Balance equals
$6,032,273.27.

(ii) Required Reserve Percentage equals 10%.

(iii) The Required Cash Reserve Amount equals (the product of (i) and
(ii)) $603,227.33.

For purposes of this Annex C, the following term shall have the
following meaning:

"REQUIRED RESERVE PERCENTAGE" MEANS:

(a) for any Payment Date on which there is not an uncured
Reserve Requirement Event, 5%;

<PAGE>

12
<PAGE>

ANNEX C.1
<TABLE>
<CAPTION>
Ratios
------
<S> <C> <C>
1. DELINQUENCY RATIO:

August Principal Balance 60 + days (net) = 1,385.34 = 0.02%
----------------------------------------- ------------
August Aggregate Principal Balance 9,069,623.78

2. THREE MONTH DELIQUENCY RATIO:

Sum of June - August Principal Balances
Balances 60 + days (net) = 27,560.62 = 0.10%
----------------------------------------- -------------
Sum of June - August Principal Balances 28,685,750.56

3. GROSS LOSS RATIO:

Twelve times the:
August Principal Balance of Defaulted
Auto Loans repossessed = 51,361.99 = 6.80%
----------------------------------------- -------------
August Aggregate Principal Balance 9,069,623.78

4. THREE MONTH GROSS LOSS RATIO:

Twelve times the:
Sum of June - August Principal Balances
of Defaulted Auto Loans repossessed = 247,318.63 = 10.35%
----------------------------------------- -------------
Sum of June - August Principal Balances 28,685,750.56

5. ALPI CLAIMS PAYMENT TEST:

Aggregate Principal Balance of
ALPI Claims not paid within timeframe = 461,357.31 = 33.09%
----------------------------------------- -------------
Principal Balance of Eligible Claims 1,394,049.34
</TABLE>

<PAGE>

MASTER ADMINISTRATOR REPORT

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

NAFCO AUTO TRUST - 2

For the October 20, 1998 Distribution Date

For the period beginning on September 1, 1998
and ending on September 30, 1998 (the "Due Period")

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

The undersigned, a duly authorized officer of NYLIFE SFD Holding Inc., as
Master Administrator (the "Master Administrator"), pursuant to Section 5.11 of
the Amended and Restated Pooling and Servicing Agreement (the "Pooling and
Servicing Agreement") dated as of June 1, 1995, by and among Auto Funding II,
L.P., as Seller, the Master Administrator, American Lenders Facilities Inc., as
Servicer and Bankers Trust Company, as Trustee, does hereby certify as follows:

1. Capitalized terms used in this Master Administrator Report and
not otherwise defined herein shall have the respective meanings set
forth in the Pooling and Servicing Agreement.

2. NYLIFE SFD Holding Inc. is, as of the date hereof, the Master
Administrator under the Pooling and Servicing Agreement.

3. The undersigned is an Officer of the Master Administrator.

4. The date of this Report is October 16, 1998.

5. POOL FACTOR.

(a) The Pool Factor with respect to
September 1, 1998 was . . . . . . . . . . . . .15293797
---------------

(b) The Pool Factor with respect to
September 30, 1998 was. . . . . . . . . . . . .13728362
---------------

6. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (BEGINNING OF DUE
PERIOD).

(a) The Investor Certificate Principal
Balance as of September 1, 1998
(after giving effect to the disbursements
in reduction of principal, if any,
on the immediately preceding
Distribution Date) was. . . . . . . . . . . . $ 5,689,751.43
---------------

1
<PAGE>

(b) The Seller Certificate Principal
Balance as of September 1, 1998 (after
giving effect to the disbursements
in reduction of principal, if any, on
the immediately preceding Distribution
Date) was . . . . . . . . . . . . . . . . . . $ 632,194.60
---------------

7. OCCURRENCE OF A REQUIRED RESERVE EVENT

(a) The Delinquency Ratio is. . . . . . . . . . . *13.48%
---------------

(b) The Three Month Delinquency Ratio is. . . . . *4.18%
---------------

(d) The Three Month Gross Loss Ratio is . . . . . 6.70%
---------------

(e) The percentage of eligible claims on the
ALPI policy not paid in a timely manner
is(*) . . . . . . . . . . . . . . . . . . . . *33.09%
---------------

(f) The Required Reserve Percentage is. . . . . . 10.00%
---------------

(g) *Indicates which Required Reserve Event
has occurred.

SEE ANNEX C.1 FOR RATIO CALCULATIONS

(*) The percentage of claims on the ALPI policy not paid in a timely manner
includes $124,008.58 of claims which are currently in dispute. Such disputed
claims represent 8.90% of all eligible claims.

8. AGGREGATE MONTHLY SERVICING FEE.

(a) The Monthly Servicing Fee owing
to the Servicer on the related
Distribution Date is. . . . . . . . . . . . . $ 36,721.85
---------------

(b) The amount of accrued and unpaid
Monthly Servicing Fees in respect of
prior Due Periods is. . . . . . . . . . . . . $ -0-
---------------

(c) The total Monthly Servicing Fee paid
or payable to the Servicer in respect
of such Due Period [a+b] is . . . . . . . . . $ 36,721.85
---------------

2
<PAGE>

9. AGGREGATE MONTHLY SUBROGATION AMOUNT.

(a) The Monthly Subrogation Amount
owing on the related Distribution
Date is . . . . . . . . . . . . . . . . . . . $ -0-
---------------

(b) The amount of accrued and unpaid Monthly
Subrogation Amount in respect of prior
Due Periods is. . . . . . . . . . . . . . . . $ -0-
---------------

(c) The total Monthly Subrogation Amount
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is. . . . $ -0-
---------------

10. AGGREGATE MONTHLY ADMINISTRATOR FEE.

(a) The Monthly Administrator Fee owing
on the related Distribution Date is . . . . . $ 6,825.77
---------------

(b) The amount of accrued and unpaid
Monthly Administrator Fees in respect
of prior Due Periods is . . . . . . . . . . . $ -0-
---------------

(c) The total Monthly Administrator Fee
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is. . . . $ 6,825.77
---------------

11. THE CASH RESERVE ACCOUNT.

(a) The Insurance Reserve Amount/The Insurance
Deductible

(i) The Insurance Reserve Amount as
of the first day of the Due Period . . . $ 0
---------------

(iii) Additional Insurance Deductible
deposited by the Seller into the Cash
Reserve Account. . . . . . . . . . . . . $ 0
---------------

(iv) The Insurance Reserve Amount as of
the end of the Due Period
is . . . . . . . . . . . . . . . . . . . $ 0
---------------

(b) The Available Cash Reserve Amount

(i) The Required Cash Reserve Amount
(assuming all withdrawals or deposits to

3
<PAGE>

be made with respect to the current
Distribution Date are made) is . . . . . $ 568,975.14
---------------

(iii) The amount to be deposited to
(withdrawn from) the Available Cash
Reserve Amount with respect to the
current Distribution Date is . . . . . . $ (73,637.40)
---------------

(c) The total Cash Reserve Account as of the
end of the Due Period (after giving effect
to the deposits and withdrawals in (a) and
(b) above) is . . . . . . . . . . . . . . . . $ 529,589.93
---------------

12. AVAILABLE FUNDS.

(a) The amount of Available Funds with
respect to the related Due Period was . . . . $ 650,907.65
---------------

(b) The amount of Available Funds with
respect to the immediately preceding
Due Period that were retained in the
Collection Account was. . . . . . . . . . . . $ (72,243.92)
---------------

(d) Total distributable funds with respect
to the related Due Period [a+b+c] was . . . . $ 585,489.50
---------------

4
<PAGE>

(e) The amount of Available Funds used
to purchase additional Auto Loans during
the related Due Period was . . . . . . . . . $ -0-
---------------

13. DISBURSEMENTS TO BE MADE ON THE RELATED DISTRIBUTION DATE.
The Certificate Rate is 7.00%.

(a) The amount of the aggregate Monthly
Servicing Fee to be paid to the Servicer
on such Distribution Date is. . . . . . . . . $ 36,721.85
---------------

(b) The amount of the aggregate Monthly
Subrogation Amount to be paid to the
Master Administrator on such
Distribution date is. . . . . . . . . . . . . $ -0-
---------------

(c) The amount of the Monthly Administrator
Fee to be paid to the Master Administrator
on such Distribution Date is. . . . . . . . . $ 6,825.77
---------------

(d) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Investor
Certificates at the Certificate Rate,
including any Shortfall so allocable is . . . $ 33,190.22
---------------

(e) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes payments in
reduction of principal with respect
to the Investor Certificates is . . . . . . . $ 582,389.06
---------------

(f) The total amount of the distribution
to be made on such Distribution Date
to the Investor Certificateholders [d+e] is . $ 615,579.28
---------------

(g) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Seller
Certificate at the Certificate Rate is . . . $ 0
---------------

5
<PAGE>

(h) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes a reduction of principal
with respect to the Seller Certificate is . . $ 0
---------------

(i) The amount to be deposited (withdrawn) to
the Cash Reserve Account is . . . . . . . . . $ (73,637.40)
---------------

(j) The amount to be retained in the
Collection Account with respect to
the Partial Payment Amount is . . . . . . . . $ 0
---------------

(k) The amount to be disbursed to the
Seller Certificateholder (other than the
amounts referred to in (g) and (h)) is. . . . $ 0
---------------

(l) The total amount of the
distribution to be made to the
Seller Certificateholders [g+h+k] is. . . . . $ 0
---------------

14. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (END OF DUE PERIOD).

(a) The Investor Certificate Principal Balance
as of September 30, 1998 (after giving
effect to the disbursements in reduction
of principal, if any, on the immediately
preceding Distribution Date) was. . . . . . . $ 5,107,362.37
---------------

(b) The Seller Certificate Principal
Balance as of September 30, 1998 (after
giving effect to the disbursements in
reduction of principal, if any, on the
related Distribution Date) was. . . . . . . . $ 632,194.60
---------------

6
<PAGE>

IN WITNESS WHEREOF, the undersigned has duly executed and delivered
this certificate this 16th day of October 1998.

NYLIFE SFD Holding INC.
as Master Administrator

By: /s/ Scott Drath
-------------------------------------
Name: Scott Drath
Title: Vice President

7
<PAGE>

ANNEX A
TO
MASTER ADMINISTRATOR REPORT
DATED October 16, 1998

EVENT OF MASTER ADMINISTRATOR TERMINATION
-----------------------------------------

None

8
<PAGE>

ANNEX B
TO
MASTER ADMINISTRATOR REPORT
DATED October 16, 1998

1. AGGREGATE PRINCIPAL BALANCE OF PERFORMING ACTIVE LOANS.

As of September 30, 1998 [the close of business on the last day of the
Due Period]
<TABLE>
<CAPTION>
Number of Days Number of Aggregate Principal
Delinquent Auto Loans Balance of Auto Loans
--------------- --------------- ---------------------
<S> <C> <C>
current (0-9) 770 $ 3,554,994
10 - 29 150 804,258
30 - 59 64 361,424
60 - 89 23 137,156
90 - 119 6 40,364
120 - 179 10 1,861
180 and over 98 774,790
----------- -----------
Totals: 1,121 $ 5,674,847
----------- -----------
----------- -----------
</TABLE>
Aggregate Principal Balance of Defaulted
Auto Loans at September 30, 1998 2,617,818
---------------
2. TOTAL AMOUNTS COLLECTED DURING THE DUE
PERIOD AND DEPOSITED INTO THE COLLECTION ACCOUNT.

(a) The total amount of Payments collected
on the Auto Loans and deposited into the
Collection Account for the Due Period was . . $ 520,620.67
---------------

(b) The total amount of Recoveries on
Defaulted Auto Loans collected on the
Auto Loans and deposited into the
Collection Account for the Due Period was . . $ 58,043.06
---------------

(c) The total amounts collected on the Auto
Loans and deposited into the Collection
Account for the Due Period was [a+b]. . . . . $ 578,663.73
---------------

9
<PAGE>

3. DEFAULTED AUTO LOANS.

Auto Loans that became Defaulted Auto Loans during the Due Period:
<TABLE>
<CAPTION>
Number of Aggregate Principal
Auto Loans Balance of Auto Loans
---------- ---------------------
<S> <C>
34 $218,593.67
</TABLE>

4. THE INFORMATION SPECIFIED IN ITEM 13(d) THROUGH (f)
STATED ON THE BASIS OF $1,000 INITIAL PRINCIPAL AMOUNT.
The Certificate Rate is 7%.

(c) The total amount of the distribution to be
made on such Distribution Date to the Investor
Certificateholders on the basis of $1,000
Initial Principal Amount is . . . . . . . . . $ 16.546495
---------------

10
<PAGE>

ANNEX C
TO
MASTER ADMINISTRATOR REPORT
DATED October 16, 1998

Calculation of Required Cash Reserve Amount as of the October 20, 1998
Distribution Date.

(i) The Investor Certificate Principal Balance equals $5,689,751.43.

(ii) Required Reserve Percentage equals 10%.

(iii)The Required Cash Reserve Amount equals (the product of (i)
and (ii)) $568,975.14.

For purposes of this Annex C, the following term shall have the
following meaning:

"REQUIRED RESERVE PERCENTAGE" MEANS:

(a) for any Payment Date on which there is not an uncured
Reserve Requirement Event, 5%;

11
<PAGE>

12
<PAGE>

ANNEX C.1

1. DELINQUENCY RATIO: Ratios
------
September Principal Balance 60+ days (net) = 1,117,669.45 = 13.48%
--------------------------------------------- -------------
September Aggregate Principal Balance 8,292,664.91

2. THREE MONTH DELINQUENCY RATIO:

Sum of July - September Principal Balances =
Balances 60+ days (net) 1,123,585.32 = 4.18%
--------------------------------------------- -------------
Sum of July - September Principal Balances 26,860,821.56

3. GROSS LOSS RATIO:

Twelve times the:
September Principal Balance of Defaulted
Auto Loans repossessed = 35,171.03 = 5.09%
--------------------------------------------- -------------
September Aggregate Principal Balance 8,292,664.91

4. THREE MONTH GROSS LOSS RATIO:

Twelve times the:
Sum of July - September Principal Balances
of Defaulted Auto Loans repossessed = 149,877.72 = 6.70%
--------------------------------------------- -------------
Sum of July - September Principal Balances 26,860,821.56

5. ALPI CLAIMS PAYMENT TEST:

Aggregate Principal Balance of
ALPI Claims not paid within timeframe = 461,357.31 = 33.09%
--------------------------------------------- ------------
Principal Balance of Eligible Claims 1,394,049.34

<PAGE>

MASTER ADMINISTRATOR REPORT

---------------------------------------------------------
NAFCO AUTO TRUST - 3

For the August 20, 1998 Distribution Date

For the period beginning on July 1, 1998
and ending on July 31, 1998 (the "Due Period")

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

The undersigned, a duly authorized officer of NYLIFE SFD Holding Inc., as
Master Administrator (the "Master Administrator"), pursuant to Section 5.11 of
the Amended and Restated Pooling and Servicing Agreement (the "Pooling and
Servicing Agreement") dated as of October 1, 1995, by and among Auto Funding II,
L.P., as Seller, the Master Administrator, Electronic Data Systems Corporation,
as Servicer and Bankers Trust Company, as Trustee, does hereby certify as
follows:

1. Capitalized terms used in this Master Administrator Report and not
otherwise defined herein shall have the respective meanings set forth
in the Pooling and Servicing Agreement.

2. NYLIFE SFD Holding Inc. is, as of the date hereof, the Master
Administrator under the Pooling and Servicing Agreement.

3. The undersigned is an Officer of the Master Administrator.

4. The date of this Report is August 17, 1998.

5. POOL FACTOR.

(a) The Pool Factor with respect to
July 1, 1998 was. . . . . . . . . . . . . . . . . . .27185883
----------

(b) The Pool Factor with respect to
July 31, 1998 was . . . . . . . . . . . . . . . . . .25530889
----------

6. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (BEGINNING OF DUE
PERIOD).

1
<PAGE>

Balance as of July 1, 1998 (after
giving effect to the disbursements
in reduction of principal, if any, on
the immediately preceding Distribution
Date) was . . . . . . . . . . . . . . . . . . . $ 1,064,258.23

--------------
7. OCCURRENCE OF A REQUIRED RESERVE EVENT

(a) The Delinquency Ratio is . . . . . . . . . . . . . . * 17.46%
--------------

(b) The Three Month Deliquency Ratio is. . . . . . . . . * 18.20%
--------------

(d) The Three Month Gross Loss Ratio is. . . . . . . . . * 19.34%
--------------

(e) The percentage of eligible claims on the
ALPI policy not paid in a timely manner
is(*). . . . . . . . . . . . . . . . . . . . . . . . *53.08%
--------------

(f) The Required Reserve Percentage is . . . . . . . . . 10.00%
--------------

(g) * Indicates which Required Reserve Event has occurred.

(*) The percentage of claims on the ALPI policy not paid in a timely manner
includes $474,293.08 of claims which are currently in dispute. Such disputed
claims represent 21.61% of all eligible claims.

SEE ANNEX C.1 FOR RATIO CALCULATIONS.

8. AGGREGATE MONTHLY SERVICING FEE.

(a) The Monthly Servicing Fee owing
to the Servicer on the related
Distribution Date is . . . . . . . . . . . . . $ 55,736.18
--------------

(b) The amount of accrued and unpaid
Monthly Servicing Fees in respect of
prior Due Periods is. . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Servicing Fee paid
or payable to the Servicer in respect
of such Due Period [a+b] is . . . . . . . . . . $ 55,736.18
--------------

2
<PAGE>

9. AGGREGATE MONTHLY SUBROGATION AMOUNT.

(a) The Monthly Subrogation Amount
owing on the related Distribution
Date is . . . . . . . . . . . . . . . . . . . . $ -0-
--------------

(b) The amount of accrued and unpaid Monthly
Subrogation Amount in respect of prior
Due Periods is . . . . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Subrogation Amount
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is . . . . $ -0-
--------------

10. AGGREGATE MONTHLY ADMINISTRATOR FEE.

(a) The Monthly Administrator Fee owing
on the related Distribution Date is . . . . . . $ 15,145.71
--------------

(b) The amount of accrued and unpaid
Monthly Administrator Fees in respect
of prior Due Periods is . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Administrator Fee
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is. . . . . $ 15,145.71
--------------

11. THE CASH RESERVE ACCOUNT.

(a) The Insurance Reserve Amount/The Insurance
Deductible

(i) The Insurance Reserve Amount as
of the first day of the Due Period. . . . $ 258,936.39
--------------

(ii) The aggregate Insurance Deductible
deposited by the Seller into the
Cash Reserve Account with respect
to Auto Loans acquired. . . . . . . . . . $ 0.00
--------------

(iii) The aggregate amount to be withdrawn
from the Insurance Reserve Amount,
deposited into the Collection Account
and applied against the aggregate
amount of the Insurance Deductible. . . . $ 13,385.80
--------------

3
<PAGE>

(iv) The aggregate amount of Monthly
Subrogation Amount to be deposited
into the Insurance Reserve Amount
on the related Deposit Date . . . . . . . $ -0-
--------------

(v) The Insurance Reserve Amount as of
the end of the Due Period
is. . . . . . . . . . . . . . . . . . . . $ 245,550.59
--------------

(b) The Available Cash Reserve Amount

(i) The Required Cash Reserve Amount
(assuming all withdrawals or deposits to
be made with respect to the current
Distribution Date are made) is. . . . . . $ 897,677.87
--------------

(iii) The amount to be deposited to
(withdrawn from) the Available Cash
Reserve Amount with respect to the
current Distribution Date is. . . . . . . $ (66,099.22)
--------------

(c) The total Cash Reserve Account as of the
end of the Due Period (after giving effect
to the deposits and withdrawals in (a) and
(b) above) is . . . . . . . . . . . . . . . . . $ 1,143,228.46
--------------

4
<PAGE>

12. AVAILABLE FUNDS.

(a) The amount of Available Funds with
respect to the related Due Period was . . . . . $ 794,042.66
--------------

(b) The amount of Available Funds with
respect to the immediately preceding
Due Period that were retained in the
Collection Account was. . . . . . . . . . . . . $ 63,302.66
--------------
(c) Interest earned on and retained in the
Collection Account and interest earned
on the Cash Reserve Account and
transferred into the Collection Account
for the Due Period on the related
Deposit Date was . . . . . . . . . . . . . . . $ 10,162.28
--------------

(d) Total distributable funds with respect
to the related Due Period [a+b+c] was . . . . . $ 867,507.60
--------------

(e) The amount of Available Funds used
to purchase additional Auto Loans during
the related Due Period was. . . . . . . . . . . $ -0-
--------------

13. DISBURSEMENTS TO BE MADE ON THE RELATED DISTRIBUTION DATE.
The Certificate Rate is 6.50%.

(a) The amount of the aggregate Monthly
Servicing Fee to be paid to the Servicer
on such Distribution Date is. . . . . . . . . . $ 55,736.18
--------------

(b) The amount of the aggregate Monthly
Subrogation Amount to be paid to the
Master Administrator on such
Distribution date is. . . . . . . . . . . . . . $ -0-
--------------

(c) The amount of the Monthly Administrator
Fee to be paid to the Master Administrator
on such Distribution Date is. . . . . . . . . . $ 15,145.71
--------------

5
<PAGE>

(d) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Investor
Certificates at the Certificate Rate,
including any Shortfall so allocable is . . . . $ 48,624.22
--------------

(e) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes payments in
reduction of principal with respect
to the Investor Certificates is . . . . . . . . $ 546,479.29
--------------

(f) The total amount of the distribution
to be made on such Distribution Date
to the Investor Certificateholders [d+e] is . . $ 595,103.51
--------------

(g) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Seller
Certificate at the Certificate Rate is. . . . . $ 5,764.73
--------------

(h) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes a reduction of principal
with respect to the Seller Certificate is . . . $ 127,558.30
--------------

(i) The amount to be deposited (withdrawn)in
the Cash Reserve Account is . . . . . . . . . . $ (66,099.22)
--------------

(j) The amount to be retained in the
Collection Account with respect to
the Reinvestment Amount and the
Partial Payment Amount is . . . . . . . . . . . $ 63,754.54
--------------

(k) The amount to be disbursed to the
Seller Certificateholder (other than the
amounts referred to in (g) and (h) is . . . . . $ 70,543.85
--------------

(l) The total amount of the
distribution to be made to the
Seller Certificateholders [g+h+k] is. . . . . . $ 203,866.88
--------------

6
<PAGE>

14. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (END OF DUE PERIOD).

(b) The Seller Certificate Principal
Balance as of July 31, 1998 (after
giving effect to the disbursements in
reduction of principal, if any, on the
immediately preceding Distribution
Date or the effect of the computation
of the Individual Sold Balance relating
to the purchase of additional Auto
Loans during the Interest-Only Period
in accordance with the terms of the
Pooling and Servicing Agreement) was. . . . . . $ 936,699.93
--------------

15. EVENTS OF ADMINISTRATOR TERMINATION.

No event has occurred and is continuing which constitutes an
Event of Administrator Termination or would constitute an
Event of Administrator Termination but for the requirement
that notice be given or time elapse or both [except as disclosed
on the attached Annex A].

7
<PAGE>

IN WITNESS WHEREOF, the undersigned has duly executed and delivered
this certificate this 17th day of August 1998.

NYLIFE SFD Holding INC.
as Master Administrator

By:/s/ Scott Drath
-----------------------------
Name: Scott Drath
Title: Vice President

8
<PAGE>

ANNEX A
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

EVENT OF MASTER ADMINISTRATOR TERMINATION

None

9
<PAGE>

ANNEX B
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

1. AGGREGATE PRINCIPAL BALANCE OF THE AUTO LOANS.

As of July 31, 1998 [the close of business on the last day of the Due
Period]

Number of Days Number of Aggregate Principal
Delinquent Auto Loans Balance of Auto Loans
----------------- ------------- ---------------------
<S> <C> <C>
current (0-29) 1027 $ 6,848,529
30 - 59 80 567,574
60 - 89 24 175,837
90 - 120 26 190,218
over 120 787 4,430,576
------------- ---------------------
Totals: 1,944 $ 12,212,734
-------------
-------------
</TABLE>

Aggregate Principal Balance of Defaulted
Auto Loans at July 31, 1998 (2,845,735)
--------------

Aggregate Principal Balance allocable
to Certificateholders $ 9,366,999
--------------

2. TOTAL AMOUNTS COLLECTED DURING THE DUE
PERIOD AND DEPOSITED INTO THE COLLECTION ACCOUNT.

(a) The total amount of Payments collected
on the Auto Loans and deposited into the
Collection Account for the Due Period was . . . $ 604,764.32
--------------

(b) The total amount of Recoveries on
Defaulted Auto Loans collected on the
Auto Loans and deposited into the
Collection Account for the Due Period was . . . $ 175,440.66
--------------

(c) The total amounts collected on the Auto
Loans and deposited into the Collection
Account for the Due Period was [a+b]. . . . . . $ 780,204.98
--------------

10
<PAGE>

3. DEFAULTED AUTO LOANS.

Auto Loans that became Defaulted Auto Loans during the Due Period:

Number of Aggregate Principal
Auto Loans Balance of Auto Loans
---------- ---------------------
<S> <C>
20 $175,003.87
</TABLE>

4. THE INFORMATION SPECIFIED IN ITEM 13(d) THROUGH (f)
STATED ON THE BASIS OF $1,000 INITIAL PRINCIPAL AMOUNT.
The Certificate Rate is 6.5%

(c) The total amount of the distribution to be
made on such Distribution Date to the Investor
Certificateholders on the basis of $1,000
Initial Principal Amount is . . . . . . . . . . $ 18.022517
--------------

11
<PAGE>

ANNEX C
TO
MASTER ADMINISTRATOR REPORT
DATED August 17, 1998

Calculation of Required Cash Reserve Amount as of the August 20, 1998
Distribution Date.

(i) The Investor Certificate Principal Balance equals $8,976,778.69

(ii) Required Reserve Percentage equals 10%.

(iii) The Required Cash Reserve Amount equals (the product of (i) and
(ii)) $897,677.87

For purposes of this Annex C, the following term shall have the
following meaning:

"REQUIRED RESERVE PERCENTAGE" MEANS:

(a) for any Payment Date on which there is not an uncured
Reserve Requirement Event, 5%;

12
<PAGE>

13
<PAGE>

ANNEX C.1

<TABLE>
<CAPTION>
Ratios
1. DELINQUENCY RATIO: ------
<S> <C> <C>
July Principal Balance 60 + days (net) = 2,132,811.10 = 17.46%
--------------------------------------------- ------------------
July Aggregate Principal Balance 12,212,734.42

2. THREE MONTH DELIQUENCY RATIO:

Sum of May - July Principal Balances
60 + days (net) = 7,044,107.50 = 18.20%
--------------------------------------------- ------------------
Sum of May - July Principal Balances 38,695,582.66

3. GROSS LOSS RATIO:

Twelve times the:
July Principal Balance of Defaulted
Auto Loans repossessed = 222,347.97 = 21.85%
--------------------------------------------- ------------------
July Aggregate Principal Balance 12,212,734.412

4. THREE MONTH GROSS LOSS RATIO:

Twelve times the:
Sume of May - July Principal Balances
of Defaulted Auto Loans repossessed = 623,498.26 = 19.34%
--------------------------------------------- ------------------
Sum of May - July Principal Balances 38,695,582.66

5. ALPI CLAIMS PAYMENT TEST:

Aggregate Principal Balance of
ALPI Claims not paid within timeframe = 1,164,688.50 = 53.08%
--------------------------------------------- ------------------
Principal Balance of Eligible Claims 2,194,336.68
</TABLE>
<PAGE>

MASTER ADMINISTRATOR REPORT

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

NAFCO AUTO TRUST - 3

For the September 21, 1998 Distribution Date

For the period beginning on August 1, 1998
and ending on August 31, 1998 (the "Due Period")

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

The undersigned, a duly authorized officer of NYLIFE SFD Holding Inc., as
Master Administrator (the "Master Administrator"), pursuant to Section 5.11 of
the Amended and Restated Pooling and Servicing Agreement (the "Pooling and
Servicing Agreement") dated as of October 1, 1995, by and among Auto Funding II,
L.P., as Seller, the Master Administrator, Electronic Data Systems Corporation,
as Servicer and Bankers Trust Company, as Trustee, does hereby certify as
follows:

1. Capitalized terms used in this Master Administrator Report and not
otherwise defined herein shall have the respective meanings set forth
in the Pooling and Servicing Agreement.

2. NYLIFE SFD Holding Inc. is, as of the date hereof, the Master
Administrator under the Pooling and Servicing Agreement.

3. The undersigned is an Officer of the Master Administrator.

4. The date of this Report is September 17, 1998.

5. POOL FACTOR.

(a) The Pool Factor with respect to
August 1, 1998 was. . . . . . . . . . . . . . . .25530889
--------------

(b) The Pool Factor with respect to
August 31, 1998 was . . . . . . . . . . .23048257
--------------

6. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (BEGINNING OF DUE
PERIOD).

(b) The Seller Certificate Principal

1
<PAGE>

Balance as of August 1, 1998 (after
giving effect to the disbursements
in reduction of principal, if any, on
the immediately preceding Distribution
Date) was . . . . . . . . . . . . . . . . . . . $ 936,699.93
--------------

7. OCCURRENCE OF A REQUIRED RESERVE EVENT

(a) The Delinquency Ratio is . . . . . . . . . . . . . . *18.55%
--------------

(b) The Three Month Deliquency Ratio is. . . . . . . . . *17.69%
--------------

(d) The Three Month Gross Loss Ratio is. . . . . . . . . *16.88%
--------------

(e) The percentage of eligible claims on the
ALPI policy not paid in a timely manner
is(*). . . . . . . . . . . . . . . . . . . . . . . . *46.34%
--------------

(f) The Required Reserve Percentage is . . . . . . . . . 10.00%
--------------

(g) * Indicates which Required Reserve Event has occurred.

(*) The percentage of claims on the ALPI policy not paid in a timely manner
includes $374,672.95 of claims which are currently in dispute. Such disputed
claims represent 17.05% of all eligible claims.

SEE ANNEX C.1 FOR RATIO CALCULATIONS.

8. AGGREGATE MONTHLY SERVICING FEE.

(a) The Monthly Servicing Fee owing
to the Servicer on the related
Distribution Date is . . . . . . . . . . . . . $ 50,336.69
--------------

(b) The amount of accrued and unpaid
Monthly Servicing Fees in respect of
prior Due Periods is. . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Servicing Fee paid
or payable to the Servicer in respect
of such Due Period [a+b] is . . . . . . . . . . $ 50,336.69
--------------

2
<PAGE>

9. AGGREGATE MONTHLY SUBROGATION AMOUNT.

(a) The Monthly Subrogation Amount
owing on the related Distribution
Date is . . . . . . . . . . . . . . . . . . . . $ -0-
--------------

(b) The amount of accrued and unpaid Monthly
Subrogation Amount in respect of prior
Due Periods is . . . . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Subrogation Amount
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is. . . . . $ -0-
--------------
10. AGGREGATE MONTHLY ADMINISTRATOR FEE.

(a) The Monthly Administrator Fee owing
on the related Distribution Date is . . . . . . $ 14,239.83
--------------

(b) The amount of accrued and unpaid
Monthly Administrator Fees in respect
of prior Due Periods is . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Administrator Fee
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is . . . . $ 14,239.83
--------------

11. THE CASH RESERVE ACCOUNT.

(a) The Insurance Reserve Amount/The Insurance
Deductible

(i) The Insurance Reserve Amount as
of the first day of the Due Period. . . . $ 245,550.59
--------------
(ii) The aggregate Insurance Deductible
deposited by the Seller into the
Cash Reserve Account with respect
to Auto Loans acquired. . . . . . . . . . $ 0.00
--------------

3
<PAGE>

(iv) The aggregate amount of Monthly
Subrogation Amount to be deposited
into the Insurance Reserve Amount
on the related Deposit Date . . . . . . . $ -0-
--------------

(v) The Insurance Reserve Amount as of
the end of the Due Period
is. . . . . . . . . . . . . . . . . . . . $ 221,855.45
--------------

(b) The Available Cash Reserve Amount

(i) The Required Cash Reserve Amount
(assuming all withdrawals or deposits to
be made with respect to the current
Distribution Date are made) is. . . . . . $ 843,029.94
--------------

(iii) The amount to be deposited to
(withdrawn from) the Available Cash
Reserve Amount with respect to the
current Distribution Date is. . . . . . . $ (54,647.93)
--------------

(c) The total Cash Reserve Account as of the
end of the Due Period (after giving effect
to the deposits and withdrawals in (a) and
(b) above) is . . . . . . . . . . . . . . . . . $ 1,064,885.39
--------------

4
<PAGE>

12. AVAILABLE FUNDS.

(a) The amount of Available Funds with
respect to the related Due Period was . . . . . $ 1,040,658.97
--------------

(b) The amount of Available Funds with
respect to the immediately preceding
Due Period that were retained in the
Collection Account was. . . . . . . . . . . . . $ 63,754.54
--------------

(c) Interest earned on and retained in the
Collection Account and interest earned
on the Cash Reserve Account and
transferred into the Collection Account
for the Due Period on the related
Deposit Date was . . . . . . . . . . . . . . . $ 9,381.36
--------------

(d) Total distributable funds with respect
to the related Due Period [a+b+c] was . . . . . $ 1,113,794.87
--------------

(e) The amount of Available Funds used
to purchase additional Auto Loans during
the related Due Period was. . . . . . . . . . . $ -0-
--------------

13. DISBURSEMENTS TO BE MADE ON THE RELATED DISTRIBUTION DATE.
The Certificate Rate is 6.50%.

(a) The amount of the aggregate Monthly
Servicing Fee to be paid to the Servicer
on such Distribution Date is. . . . . . . . . . $ 50,336.69
--------------

(b) The amount of the aggregate Monthly
Subrogation Amount to be paid to the
Master Administrator on such
Distribution date is. . . . . . . . . . . . . . $ -0-
--------------

(c) The amount of the Monthly Administrator
Fee to be paid to the Master Administrator
on such Distribution Date is. . . . . . . . . . $ 14,239.83
--------------

5
<PAGE>

(d) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Investor
Certificates at the Certificate Rate,
including any Shortfall so allocable is . . . . $ 45,664.12
--------------

(e) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes payments in
reduction of principal with respect
to the Investor Certificates is . . . . . . . . $ 641,336.69
--------------

(e)(1)The amount of the aggregate distribution
to be made on the Distribution Date
which constitutes Turbo Payments . . . . . . . $ 178,428.33
--------------

(f) The total amount of the distribution
to be made on such Distribution Date
to the Investor Certificateholders
[d+e+e(1)] is . . . . . . . . . . . . . . . . . $ 865,429.14
--------------

(g) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Seller
Certificate at the Certificate Rate is. . . . . $ 5,073.79
--------------

(h) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes a reduction of principal
with respect to the Seller Certificate is . . . $ 56,520.92
--------------

(i) The amount to be deposited (withdrawn)in
the Cash Reserve Account is . . . . . . . . . . $ (54,647.93)
--------------

(j) The amount to be retained in the
Collection Account with respect to
the Reinvestment Amount and the
Partial Payment Amount is . . . . . . . . . . . $ 57,890.21
--------------

(k) The amount to be disbursed to the
Seller Certificateholder (other than the
amounts referred to in (g) and (h) is . . . . . $ 118,952.22
--------------

(l) The total amount of the
distribution to be made to the
Seller Certificateholders [g+h+k] is. . . . . . $ 180,546.93
--------------

6
<PAGE>

14. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (END OF DUE PERIOD).

(b) The Seller Certificate Principal
Balance as of August 31, 1998 (after
giving effect to the disbursements in
reduction of principal, if any, on the
immediately preceding Distribution
Date or the effect of the computation
of the Individual Sold Balance relating
to the purchase of additional Auto
Loans during the Interest-Only Period
in accordance with the terms of the
Pooling and Servicing Agreement) was. . . . . . $ 880,179.01
--------------

15. EVENTS OF ADMINISTRATOR TERMINATION.

No event has occurred and is continuing which constitutes an
Event of Administrator Termination or would constitute an
Event of Administrator Termination but for the requirement
that notice be given or time elapse or both [except as disclosed
on the attached Annex A].

7
<PAGE>

IN WITNESS WHEREOF, the undersigned has duly executed and delivered this
certificate this 17th day of September 1998.

NYLIFE SFD Holding INC.
as Master Administrator

By: /s/ Scott Drath
-----------------------------
Name: Scott Drath
Title: Vice President

8
<PAGE>

ANNEX A
TO
MASTER ADMINISTRATOR REPORT
DATED September 17, 1998

EVENT OF MASTER ADMINISTRATOR TERMINATION

None

9
<PAGE>

ANNEX B
TO
MASTER ADMINISTRATOR REPORT
DATED September 17, 1998

1. AGGREGATE PRINCIPAL BALANCE OF THE AUTO LOANS.

As of August 31, 1998 [the close of business on the last day of the
Due Period]

<TABLE>
<CAPTION>
Number of Days Number of Aggregate Principal
Delinquent Auto Loans Balance of Auto Loans
------------------ ------------ ---------------------
<S> <C> <C>
current (0-29) 966 $ 6,207,314
30 - 59 94 669,224
60 - 89 27 168,293
90 - 120 24 179,183
over 120 795 4,436,129
------------ --------------------
Totals: 1,906 $ 11,660,143
------------
------------
</TABLE>

Aggregate Principal Balance of Defaulted
Auto Loans at August 31, 1998 (2,858,353)
--------------

Aggregate Principal Balance allocable
to Certificateholders $ 8,801,790
--------------
--------------

2. TOTAL AMOUNTS COLLECTED DURING THE DUE
PERIOD AND DEPOSITED INTO THE COLLECTION ACCOUNT.

(a) The total amount of Payments collected
on the Auto Loans and deposited into the
Collection Account for the Due Period was . . . $ 904,494.42
--------------

(b) The total amount of Recoveries on
Defaulted Auto Loans collected on the
Auto Loans and deposited into the
Collection Account for the Due Period was . . . $ 118,333.74
--------------

(c) The total amounts collected on the Auto
Loans and deposited into the Collection
Account for the Due Period was [a+b]. . . . . . $ 1,022,828.16
--------------

10
<PAGE>

3. DEFAULTED AUTO LOANS.

Auto Loans that became Defaulted Auto Loans during the Due Period:

<TABLE>
<CAPTION>
Number of Aggregate Principal
Auto Loans Balance of Auto Loans
---------- ---------------------
<S> <C>
20 $147,480.57
</TABLE>

4. THE INFORMATION SPECIFIED IN ITEM 13(d) THROUGH (f)
STATED ON THE BASIS OF $1,000 INITIAL PRINCIPAL AMOUNT.
The Certificate Rate is 6.5%

(c) The total amount of the distribution to be
made on such Distribution Date to the Investor
Certificateholders on the basis of $1,000
Initial Principal Amount is . . . . . . . . . . $ 26.209241
--------------

11
<PAGE>

ANNEX C
TO
MASTER ADMINISTRATOR REPORT
DATED September 17, 1998

Calculation of Required Cash Reserve Amount as of the September 21,
1998 Distribution Date.

(i) The Investor Certificate Principal Balance equals $8,430,299.40

(ii) Required Reserve Percentage equals 10%.

(iii) The Required Cash Reserve Amount equals (the product of (i) and
(ii)) $843,029.94

For purposes of this Annex C, the following term shall have the
following meaning:

"REQUIRED RESERVE PERCENTAGE" MEANS:

(a) for any Payment Date on which there is not an uncured
Reserve Requirement Event, 5%;

12
<PAGE>

13
<PAGE>

ANNEX C.1

<TABLE>
<CAPTION>
Ratios
1. DELINQUENCY RATIO: ------
<S> <C> <C>
August Principal Balance 60 + days (net) = 2,163,296.76 = 18.55%
--------------------------------------------- ------------------
August Aggregate Principal Balance 11,660,143.05

2. THREE MONTH DELINQUENCY RATIO:

Sum of June - August Principal Balances
60 + days (net) = 6,494,405.69 = 17.69%
------------------------------------------------ ------------------
Sum of June - August Aggregate Principal Balance 36,702,072.99

3. GROSS LOSS RATIO:

Twelve times the:
August Principal Balance of Defaulted
Auto Loans repossessed = 68,293.34 = 7.03%
--------------------------------------------- ------------------
August Aggregate Principal Balance 11,660,143.05

4. THREE MONTH GROSS LOSS RATIO:

Twelve times the:
Sum of June - August Principal Balances
of Defaulted Auto Loans repossessed = 516,315.83 = 16.88%
--------------------------------------------- ------------------
Sum of June - August Principal Balances 36,702,072.99

5. ALPI CLAIMS PAYMENT TEST:

Aggregate Principal Balance of
ALPI Claims not paid within timeframe = 1,018,057.66 = 46.34%
--------------------------------------------- ------------------
Principal Balance of Eligible Claims 2,196,755.09
</TABLE>

<PAGE>

MASTER ADMINISTRATOR REPORT

---------------------------------------------------------
NAFCO AUTO TRUST - 3

For the October 20, 1998 Distribution Date

For the period beginning on September 1, 1998
and ending on September 30, 1998 (the "Due Period")

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

The undersigned, a duly authorized officer of NYLIFE SFD Holding Inc., as
Master Administrator (the "Master Administrator"), pursuant to Section 5.11 of
the Amended and Restated Pooling and Servicing Agreement (the "Pooling and
Servicing Agreement") dated as of October 1, 1995, by and among Auto Funding II,
L.P., as Seller, the Master Administrator, American Lenders Facilties Inc., as
Servicer and Bankers Trust Company, as Trustee, does hereby certify as follows:

1. Capitalized terms used in this Master Administrator Report and not
otherwise defined herein shall have the respective meanings set forth
in the Pooling and Servicing Agreement.

2. NYLIFE SFD Holding Inc. is, as of the date hereof, the Master
Administrator under the Pooling and Servicing Agreement.

3. The undersigned is an Officer of the Master Administrator.

4. The date of this Report is October 16, 1998.

5. POOL FACTOR.

(a) The Pool Factor with respect to
September 1, 1998 was . . . . . . . . . . . . . .23048257
--------------

(b) The Pool Factor with respect to
September 30, 1998 was . . . . . . . . . . . . .21614178
--------------

6. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (BEGINNING OF DUE
PERIOD).

(b) The Seller Certificate Principal

1
<PAGE>

Balance as of September 1, 1998 (after
giving effect to the disbursements
in reduction of principal, if any, on
the immediately preceding Distribution
Date) was . . . . . . . . . . . . . . . . . . . $ 880,179.01
--------------

7. OCCURRENCE OF A REQUIRED RESERVE EVENT

(a) The Delinquency Ratio is . . . . . . . . . . . . . . *20.80%
--------------
(b) The Three Month Deliquency Ratio is. . . . . . . . . *18.88%
--------------

(d) The Three Month Gross Loss Ratio is. . . . . . . . . 13.71%
--------------

(e) The percentage of eligible claims on the
ALPI policy not paid in a timely manner
is(*). . . . . . . . . . . . . . . . . . . . . . . . *46.78%
--------------

(f) The Required Reserve Percentage is . . . . . . . . . 10.00%
--------------

(g) * Indicates which Required Reserve Event has occurred.

SEE ANNEX C.1 FOR RATIO CALCULATIONS.

8. AGGREGATE MONTHLY SERVICING FEE.

(a) The Monthly Servicing Fee owing
to the Servicer on the related
Distribution Date is . . . . . . . . . . . . . $ 41,276.00
--------------

(b) The amount of accrued and unpaid
Monthly Servicing Fees in respect of
prior Due Periods is. . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Servicing Fee paid
or payable to the Servicer in respect
of such Due Period [a+b] is . . . . . . . . . . $ 41,276.00
--------------

2
<PAGE>

9. AGGREGATE MONTHLY SUBROGATION AMOUNT.

(a) The Monthly Subrogation Amount
owing on the related Distribution
Date is . . . . . . . . . . . . . . . . . . . . $ -0-
--------------

(b) The amount of accrued and unpaid Monthly
Subrogation Amount in respect of prior
Due Periods is . . . . . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Subrogation Amount
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is . . . . $ -0-
--------------

10. AGGREGATE MONTHLY ADMINISTRATOR FEE.

(a) The Monthly Administrator Fee owing
on the related Distribution Date is . . . . . . $ 9,050.85
--------------

(b) The amount of accrued and unpaid
Monthly Administrator Fees in respect
of prior Due Periods is . . . . . . . . . . . . $ -0-
--------------

(c) The total Monthly Administrator Fee
paid or payable to the Master Administrator
in respect of such Due Period [a+b] is . . . . $ 9,050.85
--------------

11. THE CASH RESERVE ACCOUNT.

(a) The Insurance Reserve Amount/The Insurance
Deductible

(i) The Insurance Reserve Amount as
of the first day of the Due Period. . . . $ 221,855.45
--------------

(ii) The aggregate Insurance Deductible
deposited by the Seller into the
Cash Reserve Account with respect
to Auto Loans acquired. . . . . . . . . . $ -0-
--------------

3
<PAGE>

(iv) The aggregate amount of Monthly
Subrogation Amount to be deposited
into the Insurance Reserve Amount
on the related Deposit Date . . . . . . . $ -0-
--------------

(v) The Insurance Reserve Amount as of
the end of the Due Period
is. . . . . . . . . . . . . . . . . . . . $ 221,855.45
--------------

(b) The Available Cash Reserve Amount

(i) The Required Cash Reserve Amount
(assuming all withdrawals or deposits to
be made with respect to the current
Distribution Date are made) is. . . . . . $ 761,053.44
--------------

(iii) The amount to be deposited to
(withdrawn from) the Available Cash
Reserve Amount with respect to the
current Distribution Date is. . . . . . . $ (81,976.50)
--------------

(c) The total Cash Reserve Account as of the
end of the Due Period (after giving effect
to the deposits and withdrawals in (a) and
(b) above) is . . . . . . . . . . . . . . . . . $ 982,908.89
--------------

4
<PAGE>

12. AVAILABLE FUNDS.

(a) The amount of Available Funds with
respect to the related Due Period was . . . . . $ 538,397.89
--------------

(b) The amount of Available Funds with
respect to the immediately preceding
Due Period that were retained in the
Collection Account was. . . . . . . . . . . . . $ 57,890.21
--------------

(d) Total distributable funds with respect
to the related Due Period [a+b+c] was.. . . . . $ 605,338.95
--------------

(e) The amount of Available Funds used
to purchase additional Auto Loans during
the related Due Period was. . . . . . . . . . . $ -0-
--------------

13. DISBURSEMENTS TO BE MADE ON THE RELATED DISTRIBUTION DATE.
The Certificate Rate is 6.50%.

(a) The amount of the aggregate Monthly
Servicing Fee to be paid to the Servicer
on such Distribution Date is. . . . . . . . . . $ 41,276.00
--------------

(b) The amount of the aggregate Monthly
Subrogation Amount to be paid to the
Master Administrator on such
Distribution date is. . . . . . . . . . . . . . $ -0-
--------------

(c) The amount of the Monthly Administrator
Fee to be paid to the Master Administrator
on such Distribution Date is. . . . . . . . . . $ 9,050.85
--------------

5
<PAGE>

(d) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Investor
Certificates at the Certificate Rate,
including any Shortfall so allocable is . . . . $ 41,223.73
--------------

(e) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes payments in
reduction of principal with respect
to the Investor Certificates is . . . . . . . . $ 419,019.12
--------------

(e)(1) The amount of the aggregate distribution
to be made on the Distribution Date
which constitutes Turbo Payments . . . . . . . $ 54,513.81
--------------

(f) The total amount of the distribution
to be made on such Distribution Date
to the Investor Certificateholders
[d+e+e(1)] is . . . . . . . . . . . . . . . . . $ 514,756.66
--------------

(g) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes interest on the Seller
Certificate at the Certificate Rate is. . . . . $ 4,767.64
--------------

(h) The amount of the aggregate distribution
to be made on such Distribution Date
which constitutes a reduction of principal
with respect to the Seller Certificate is . . . $ 81,121.76
--------------

(i) The amount to be deposited (withdrawn) in
the Cash Reserve Account is . . . . . . . . . . $ (81,976.50)
--------------

(j) The amount to be retained in the
Collection Account with respect to
the Reinvestment Amount and the
Partial Payment Amount is . . . . . . . . . . . $ -0-
--------------

(k) The amount to be disbursed to the
Seller Certificateholder (other than the
amounts referred to in (g) and (h) is . . . . . $ 36,342.54
--------------

(l) The total amount of the
distribution to be made to the
Seller Certificateholders [g+h+k] is. . . . . . $ 122,231.94
--------------

6
<PAGE>

14. INVESTOR AND SELLER CERTIFICATE PRINCIPAL BALANCE (END OF DUE PERIOD).

(b) The Seller Certificate Principal
Balance as of September 30, 1998 (after
giving effect to the disbursements in
reduction of principal, if any, on the
immediately preceding Distribution
Date or the effect of the computation
of the Individual Sold Balance relating
to the purchase of additional Auto
Loans during the Interest-Only Period
in accordance with the terms of the
Pooling and Servicing Agreement) was. . . . . . $ 799,057.25
--------------

15. EVENTS OF ADMINISTRATOR TERMINATION.

No event has occurred and is continuing which constitutes an
Event of Administrator Termination or would constitute an
Event of Administrator Termination but for the requirement
that notice be given or time elapse or both [except as disclosed
on the attached Annex A].

7
<PAGE>

IN WITNESS WHEREOF, the undersigned has duly executed and delivered
this certificate this 16th day of October 1998.

NYLIFE SFD Holding INC.
as Master Administrator

By: /s/ Scott Drath
-----------------------------
Name: Scott Drath
Title: Vice President

8
<PAGE>

ANNEX A
TO
MASTER ADMINISTRATOR REPORT
DATED October 16, 1998

EVENT OF MASTER ADMINISTRATOR TERMINATION

None

9
<PAGE>

ANNEX B
TO
MASTER ADMINISTRATOR REPORT
DATED October 16, 1998

1. AGGREGATE PRINCIPAL BALANCE OF PERFORMING ACTIVE LOANS.

As of September 30, 1998 [the close of business on the last day of the
Due Period]

Number of Days Number of Aggregate Principal
Delinquent Auto Loans Balance of Auto Loans
------------------ ------------- ---------------------
<S> <C> <C>
current (0-9) 850 $ 4,785,202
10 - 29 174 1,130,715
30 - 59 69 512,467
60 - 89 25 165,080
90 - 119 17 120,289
120 - 179 15 158,687
180 and over 119 1,118,133
------------- --------------------
Totals: 1,269 $ 7,990,573
-------------
-------------
</TABLE>

Aggregate Principal Balance of Defaulted
Auto Loans at September 30, 1998 3,043,183
--------------

2. TOTAL AMOUNTS COLLECTED DURING THE DUE
PERIOD AND DEPOSITED INTO THE COLLECTION ACCOUNT.

(a) The total amount of Payments collected
on the Auto Loans and deposited into the
Collection Account for the Due Period was . . . $ 535,619.84
--------------

(b) The total amount of Recoveries on
Defaulted Auto Loans collected on the
Auto Loans and deposited into the
Collection Account for the Due Period was . . . $ 60,668.26
--------------

(c) The total amounts collected on the Auto
Loans and deposited into the Collection
Account for the Due Period was [a+b]. . . . . . $ 596,288.10
--------------
--------------

10
<PAGE>

3. DEFAULTED AUTO LOANS.

Auto Loans that became Defaulted Auto Loans during the Due Period:

Number of Aggregate Principal
Auto Loans Balance of Auto Loans
---------- ---------------------
<S> <C>
39 $412,183.33
</TABLE>

4. THE INFORMATION SPECIFIED IN ITEM 13(d) THROUGH (f)
STATED ON THE BASIS OF $1,000 INITIAL PRINCIPAL AMOUNT.
The Certificate Rate is 6.5%

(b) The amount of the aggregate distribution
to be made on such Distribution Date which
constitutes payments in reduction of
principal with respect to the Investor
Certificate on the basis of $1,000 Initial
Certificate on. . . . . . . . . . . . . . . . . $ 14.340791
--------------

(c) The total amount of the distribution to be
made on such Distribution Date to the Investor
Certificateholders on the basis of $1,000
Initial Principal Amount is . . . . . . . . . . $ 15.589238
--------------

11
<PAGE>

ANNEX C
TO
MASTER ADMINISTRATOR REPORT
DATED October 16, 1998

Calculation of Required Cash Reserve Amount as of the October 20, 1998
Distribution Date.

(i) The Investor Certificate Principal Balance equals
$7,610,534.38

(ii) Required Reserve Percentage equals 10%.

(iii) The Required Cash Reserve Amount equals (the product of (i)
and (ii)) $761,053.44

For purposes of this Annex C, the following term shall have the
following meaning:

"REQUIRED RESERVE PERCENTAGE" MEANS:

(a) for any Payment Date on which there is not an uncured
Reserve Requirement Event, 5%;

12
<PAGE>

13
<PAGE>

ANNEX C.1

Ratios
1. DELINQUENCY RATIO: ------
<S> <C> <C>
September Principal Balance 60 + days (net) = 2,295,118.55 = 20.80%
--------------------------------------------- ------------------
September Aggregate Principal Balance 11,033,755.44

2. THREE MONTH DELIQUENCY RATIO:

Sum of July - September Principal Balances
60 + day (net) = 6,591,226.41 = 18.88%
--------------------------------------------- ------------------
Sum of July - September Principal Balances 34,906,632.91

3. GROSS LOSS RATIO:

Twelve times the:
September Principal Balance of Defaulted
Auto Loans repossessed = 108,085.00 = 11.76%
-------------------------------------------- ------------------
September Aggregate Principal Balance 11,033,755.44

4. THREE MONTH GROSS LOSS RATIO:

Twelve times the:
Sum of July - September Principal Balances
of Defaulted Auto Loans repossessed = 398,726.31 = 13.71%
--------------------------------------------- ------------------
Sum of July - September Principal Balances 34,906,632.91

5. ALPI CLAIMS PAYMENT TEST:

Aggregate Principal Balance of
ALPI Claims not paid within timeframe = 1,027,676.39 = 46.78%
--------------------------------------------- ------------------
Principal Balance of Eligible Claims 2,196,755.09
</TABLE>