Peat Marwick LLP
Center Tower
650 Town Center Drive
Costa Mesa, CA 92626






                         INDEPENDENT ACCOUNTANTS' REPORT



The Board of Directors
Consumer Portfolio Services, Inc.:

We have examined  management's  assertion  about  Consumer  Portfolio  Services,
Inc.'s (the Company) compliance with the minimum servicing standards  identified
in the  relevant  sections of the  Mortgage  Bankers  Association  of  America's
Uniform Single Attestation Program for Mortgage Bankers (USAP) as of and for the
year ended December 31, 1996 included in the accompanying  management assertion.
Management  is  responsible  for the  Company's  compliance  with those  minimum
servicing standards. Our responsibility is to express an opinion on management's
assertion about the Company's compliance based on our examination.

Our  examination  was  made in  accordance  with  standards  established  by the
American  Institute of Certified Public Accountants and,  accordingly,  included
examining,  on a test basis,  evidence about the Company's  compliance  with the
minimum  servicing   standards  and  performing  such  other  procedures  as  we
considered  necessary  in the  circumstances.  We believe  that our  examination
provides a reasonable basis for our opinion.  Our examination does not provide a
legal  determination  on the  Company's  compliance  with the minimum  servicing
standards.

In our  opinion,  management's  assertion  that the  Company  complied  with the
aforementioned  minimum servicing standards,  as they relate to the servicing of
automobile installment contracts, as of and for the year ended December 31, 1996
is fairly stated, in all material respects.



February 14, 1997



                             MANAGEMENT'S ASSERTION



As of and for the year ended  December 31, 1996,  Consumer  Portfolio  Services,
Inc. has complied in all material respects with the minimum servicing  standards
set forth in the  Mortgage  Bankers  Association  of  America's  Uniform  Single
Attestation  Program for Mortgage  Bankers,  as they related to the servicing of
automobile installment contracts.  As of and for this period, Consumer Portfolio
Services, Inc. had in effect a fidelity bond in the amount of $2,000,000.


/s/ Charles E. Bradley, Jr.                         February 14, 1997  
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Charles E. Bradley, Jr.                                Date
President
Chief Executive Officer



/s/ Jeffrey P. Fritz                                  February 14, 1997   
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Jeffrey P. Fritz                                       Date
Chief Financial Officer



/s/ James L. Stock                                   February 14, 1997   
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James L. Stock                                         Date
Controller