Loading...
HomeMy WebLinkAbout930416 601U/1::>419 ~ SlJ Return To: First Federal Savings Bank of Twin Falls 383 Shoshone St N Twin Falls, ID 83301 Sheila Stoddard 383 Shoshone St N Twin Falls, ID 83301 RECEI ED 6/15/2007 at 2:53 PM RE EIVING # 930416 BOO: 662 PAGE: 265 JEANNE WAGNER LINCOLN OUNTY CLERK, KEMMERER, WY Prepared By: [Space Above TWs Line For Recording Data DEED OF TRUST DEFINITIONS Words used in multiple sections of this document are defined belo Sections 3, 11, 13, 18, 20 and 21. Certain rules regarding the usage also provided in Section 16. and other words are defined in f words used in this document are (A) "Security Instrument" means this document, which is dated June 14, 2007 together with all Riders to this document. (B) "Borrower" is Melvin Kurt Garrard and Gwenna H. Ga rard, husband and wife (.,-~ Borrower is the trustor under this Security Instrument. (C) "Lender" is First Federal Savings Bank of Twin Fa Is Lender is a Other organized and existing under the laws of the United States 70013065 IDAHO-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 30131/01 Wolters Kluwer Financial Services VMP®-6(1D) 10606) InitiaIS~~ Page 1 of 1 5 n(~:H)416 Lender's address is 383 sl1Sshone St N, Twin Falls, ID 8 301 000266 Lender is the beneficiary under this Security Instrument. (D) "Trustee" is Alliance Title & Escrow of Wyoming (E) "Note" means the promissory note signed by Borrower and dated J ne 14, 2007 The Note states that Borrower owes Lender TWO HUNDRED EIGHTY THOUSAND AND 00/100 Dollars (U . s, $ 280 , 000 . 00 ) plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt in full not later than July 1, 2037 (F) "Property" means the property that is described below under the eading "Transfer of Rights in the Property. " (G) "Loan" means the debt evidenced by the Note, plus interest, any p epayment charges and late charges due under the Note, and all sums due under this Security Instrument, pI s interest. (1-1) "Riders" means all Riders to this Security Instrument that are ex uted by Borrower. The following Riders are to be executed by Borrower [check box as applicable]: D Adjustable Rate Rider o Balloon Rider D VA Rider D Condominium Rider D Second Home Rider o Planned Unit Development Rider 0 1-4 Family Rider D Biweeldy Payment Rider [X] Other(s) [specify] Re onveyance Rider (I) "Applicable Law" means all controlling applicable federal, sta e and local statutes, regulations, ordinances and administrative rules and orders (that have the effect of aw) as well as all applicable final, non-appealable judicial opinions. (J) "Community Association Dues, Fees, and Assessments" means a I dues, fees, assessments and other charges that are imposed on Borrower or the Property by a cond minium association, homeowners association or similar organization. (K) "Electronic Funds Transfer" means any transfer of funds, oth r than a transaction originated by check, draft, or similar paper instrumcnt, which is initiated through an electronic terminal, telephonic instrument, computer, or magnetic tape so as to order, instruct, or auth rize a financial institution to debit or credit an account. Such term includes, but is not limited to, poin -of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire transf rs, and automated clearinghouse transfers. (L) "Escrow Items" means those items that are described in Section 3. (M) "Miscellaneous Proceeds" means any compensation, settlement, a ard of damages, or proceeds paid by any third party (other than insurance proceeds paid under the cover ges described in Section 5) for: (i) damage to, or destruction of, the Property; (ii) condemnation or oth r taking of all or any part of the Property; (iii) conveyance in lieu of condemnation; or (iv) misreprese tations of, or omissions as to, the value andlor condition of the Property. (N) "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (0) "Periodic Payment" means the regularly scheduled amount due fo (i) principal and interest under the Note, plus (ii) any amounts under Section 3 of this Security Instrument. (P) "RESPA" means the Real Estate Settlement Procedures Act (12 U S.C. Section 2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R, Part 3500), as the might be amended from time to time, or any additional or successor legislation or regulation that gove s the same subject matter. As used in this Security Instrument, "RESPA" refers to all requirements and res rictions that are imposed in regard Page 2 of 1 5 Inllal~ 70013065 VMP®-6(1D) 106061 Form 3013 1/01 0930416' 000267 to a "federally related mortgage loan" even if the Loan does not quali y as a "federally related mortgage loan" under RESPA. (Q) "Successor in Interest of Borrower" means any party that has tak n title to the Property, whether or not that party has assumed Borrower's obligations under the Note andlo this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures to Lender: (i) the repayment of the Loa ,and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower's co enants and agreements under this Security Instrument and the Note. For this purpose, Borrower ir evocably grants and conveys to Trustee, in trust, with power of sale, the following desc ibed property located in the County of [Type of Recording Jurisdiction] [Name of Recording Jurisdiction] See attached legal description Parcel ID Number: 12-3119-09-1-00-108.00 599 Fairview County Road 143 Fairview ("Property Address"): which currently has the address of [Street] [City, Idaho 83119 [Zip Code] TOGETHER WITH all the improvements now or hereafter rected on the property, and all easements, appurtenances, and fixtures now or hereafter a part of t e property. All replacements and additions shall also be covered by this Security Instrument. All of tl e foregoing is referred to in this Security Instrument as the "Property." BORROWER COVENANTS that Borrower is lawfully seised of he estate hereby conveyed and has the right to grant and convey the Property and that the Property is unen umbered, except for encumbrances of record. Borrower warrants and will defend generally the title to t e Property against all claims and demands, subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited variations by jurisdiction to constitute a unifor security instrument covering real property. UNIFORM COVENANTS. Borrower and Lender covenant and ag ee as follows: 1. Payment of Principal, Interest, Escrow Items, Prepayme t Charges, and Late Charges. Borrower shall pay when due the principal of, and interest on, the de t evidenced by the Note and any prepayment charges and late charges due under the Note. Borrower sh I also pay funds for Escrow Items pursuant to Section 3, Payments due under the Note and this Security Instrument shall be made in U.S. ~ I~ 70013065 Inl ¡al~ ~f VMP®-6I1D 10606) Page 3 0115 Form 3013 1/01 000268 Q..930416 currency. However, if any check or other instrument received by Lende as payment under the Note or this Security Instrument is returned to Lender unpaid, Lender may require t at any or all subsequent payments due under the Note and this Security Instrument be made in one or more of the following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institutio whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds Trans er, Payments are deemed received by Lender when received at the 10 ation designated in the Note or at such other location as may be designated by Lender in accordance with he notice provisions in Section 15, Lender may return any payment or partial payment if the payment or artial payments are insufficient to bring the Loan current. Lender may accept any payment or partial pay ent insufficient to bring the Loan current, without waiver of any rights hereunder or prejudice to its righ s to refuse such payment or partial payments in the future, but Lender is not obligated to apply such pay ents at the time such payments are accepted. If each Periodic Payment is applied as of its scheduled du date, then Lender need not pay interest on unapplied funds. Lender may hold such unapplied funds unti Borrower makes payment to bring the Loan current. If Borrower does not do so within a reasonable perio of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such fund will be applied to the outstanding principal balance under the Note immediately prior to foreclosure. N offset or claim which Borrower might have now or in the future against Lender shall relieve Borrower from making payments due under the Note and this Security Instrument or performing the covenants and greements secured by this Security Instrument. 2. Application of' Paymcnts or Proceeds. Except as otherwis described in this Section 2, all payments accepted and applied by Lender shall be applied in the folIo ing order of priority: (a) interest due under the Note; (b) principal due under the Note; (c) amounts du under Section 3. Such payments shaH be applied to each Periodic Payment in the order in which it be ame due. Any remaining amounts shall be applied first to late charges, second to any other amounts due nder this Security Instrument, and then to reduce the principal balance of the Note, If Lender receives a payment from Borrower for a delinquent riodic Payment which includes a sufficient amount to pay any late charge due, the payment may be app ied to the delinquent payment and the late charge, If more than one Periodic Payment is outstanding, Lend r may apply any payment received from Borrower to the repayment of the Periodic Payments if, and to th extent that, each payment can be paid in full. To the extent that any excess exists after the payment is a plied to the full payment of one or more Periodic Payments, such excess may be applied to any late charge due. Voluntary prepayments shall be applied first to any prepayment charges and then as described in the ote. Any application of payments, insurance proceeds, or Miscellaneo s Proceeds to principal due under the Note shall not extend or postpone the due date, or change the amoun , of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on t e day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds") to p ovide for payment of amounts due for: (a) taxes and assessments and other items which can attain priority over this Security Instrument as a lien or encumbrance on the Property; (b) leasehold payments or groun rents on the Property, if any; ( c) premiums for any and all insurance required by Lender under Secti n 5; and (d) Mortgage Insurance premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in accordance with the provisions of Section 10. Thcse itcms are called "Escrow Items." At origination or at any time during the term of the Loan, L nder may require that Community Association Dues, Fees, and Assessments, if any, be escrowed by B rrower, and such dues, fees and assessments shall bc an Escrow Item. Borrower shall promptly furnish 0 Lender all notices of amounts to be paid under this Section. Borrower shall pay Lender the Funds for scrow Items unless Lender waives Borrower's obligation to pay the Funds for any or all Escrow Ite s. Lender may waive Borrower's obligation to pay to Lender Funds for any or all Escrow Items at any t me. Any such waiver may only be InilalS~ 70013065 VMP ®-6(1D) (0606) Page 4 of 1 5 Form 3013 1/01 0.930416 0002~9 in writing. In the event of such waiver, Borrower shall pay directly, wh n and where payable, the amounts due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires, shall fllrnish to Lender receipts evidencing such payment within such t me period as Lender may require. Borrower's obligation to make such payments and to provide receipts s all for all purposes be deemed to be a covenant and agreement contained in this Security Instrument, as th phrase "covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Items d'rectly, pursuant to a waiver, and Borrower fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and Borrower shall then be obligated under Sect on 9 to repay to Lender any such amount. Lender may revoke the waiver as to any or all Escrow Item at any time by a notice given in accordance with Section 15 and, upon such revocation, Borrower shal pay to Lender all Funds, and in such amounts, that are then required under this Section 3. Lender may, at any time, collect and hold Funds in an amount (a) ufficient to permit Lender to apply the Funds at the time specified under RESPA, and (b) not to exceed he maximum amount a lender can require under RESPA. Lender shall estimate the amount of Funds du on the basis of current data and reasonable estimates of expenditures of future Escrow Items or other ise in accordance with Applicable Law. The Funds shall be held in an institution whose deposits a e insured by a federal agency, instrumentality, or entity (including Lender, if Lender is an institution hose deposits are so insured) or in any Federal Home Loan Bank. Lender shall apply the Funds to pay the scrow Items no later than the time specified under RESPA. Lender shall not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Le del' pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge. Unle s an agreement is made in writing or Applicable Law requires interest to be paid on the Funds, Lender sh II not be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can agre in writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, without c arge, an annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess fllnds in accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by ESPA, and Borrower shall pay to Lender the amount necessary to make up the shortage in accordance wi h RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held in escrow, as efined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Le der the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 12 m nthly payments. Upon payment in full of all sums secured by this Security Instru ent, Lender shall promptly refund to Borrower any Funds held by Lender, 4. Charges; Liens. Borrower shall pay all taxes, assessments charges, fines, and impositions attributable to the Property which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if any, and Community Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them i the manner provided in Section 3. Borrower shall promptly discharge any lien which has priority 0 er this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secure by the lien in a manner acceptable to Lender, but only so long as Borrower is performing such agreement (b) contests the lien in good faith by, or defends against enforcement of the lien in, legal proceedings w ich in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pendi g, but only until such proceedings are concluded; or (c) secures from the holder of the lien an agreement s tisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which can attain priority over this Security Instrument, Lender may giv Borrower a notice identifying the IniialS~ 70013065 VMP®-6(1D) 106061 Page 5 of 1 5 Form 3013 1/01 0.930416 000270 lien. Within 10 days of the date on which that notice is given, Borrower shall satisfy the lien or take one or more of the actions set forth above in this Section 4. Lender may require Borrower to pay a one-time charge for a eal estate tax verification andlor reporting service used by Lender in connection with this Loan. S. Property Insurance. Borrower shall keep the improvements n w existing or hereafter erected on the Property insured against loss by fire, hazards included within the t nn "extended coverage," and any other hazards including, but not limited to, earthquakes and floods, fo which Lender requires insurance. This insurance shall be maintained in the amounts (including deducti Ie levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sente ces can change during the tenn of the Loan. The insurance carrier providing the insurance shall be chose by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be ex rcised unreasonably. Lender may require Borrower to pay, in connection with this Loan, either: (a) one-time charge for flood zone determination, certification and tracking services; or (b) a one-time c arge for flood zone detennination and certification services and subsequent charges each time remappin s or similar changes occur which reasonably might affect such detennination or certification. Borrowe shall also be responsible for the payment of any fees imposed by the Federal Emergency Manageme t Agency in connection with the review of any flood zone detennination resulting from an objection by B rrower. If Borrower fails to maintain any of the coverages described ab ve, Lender may obtain insurance coverage, at Lender's option and Borrower's expense. Lender is un er no obligation to purchase any particular type or amount of coverage. Therefore, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the Property, or the content of the Property, against any risk, hazard or liability and might provide greater or lesser coverage than as previously in effect. Borrower acknowledges that the cost of the insurance coverage so obtained mig t significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed b Lender under this Section 5 shall become additional debt of Borrower secured by this Security Instrumen . These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, w th such interest, upon notice from Lender to Borrower requesting payment. All insurance policies required by Lender and renewals of such p licies shall be subject to Lender's right to disapprove such policies, shall include a standard mortgage lause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender shall have the rig t to hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give to Lende all receipts of paid premiums and renewal notices. If Borrower obtains any fonn of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, the Property, such policy shall inclu e a standard mortgage clause and shall name Lender as mortgagee andlor as an additional loss payee. In the event of loss, Borrower shall give prompt notice to the ins rance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Le der and Borrower otherwise agree in writing, any insurance proceeds, whether or not the underlying insur ce was required by Lender, shall be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restoration pe iod, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to i spect such Property to ensure the work has been completed to Lender's satisfaction, provided that su h inspection shall be undertaken promptly, Lender may disburse proceeds for the repairs and restoratio in a single payment or in a series of progress payments as the work is completed. Unless an agreement is ade in writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall n t be required to pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, 0 other third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall be he sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's securi y would be lessened, the insurance proceeds shall be applied to the sums secured by this Security Instrum nt, whether or not then due, with Page 6 of 1 5 Iniial~ 70013065 VMP®-6(1D) (0606) Form 3013 1/01 0930416 000271. the excess, if any, paid to Borrower. Such insurance proceeds shall be plied in the order provided for in Section 2, If Borrower abandons the Property, Lender may file, negotiate nd settle any available insurance claim and related matters. If Borrower does not respond within 30 day to a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may negotia e and sett]e the c1aim. The 3D-day period will begin when the notice is given. In either event, or if L nder acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) B rrower's rights to any insurance proceeds in an amount not to exceed the amounts unpaid under the No e or this Security Instrument, and (b) any other of Borrower's rights (other than the right to any refll d of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofar s such rights are applicable to the coverage of the Property. Lender may use the insurance proceeds either 0 repair or restore the Property or to pay amounts unpaid under the Note or this Security Instrument, whet er or not then due. 6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 days after the execution of this Security Instrume and shall continue to occupy the Property as Borrower's principal residence for at least one year after th date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonabl withheld, or unless extenuating circumstances exist which are beyond Borrower's control. 7. Preservation, Maintenance and Protection of the Property Inspections. Borrower shall not destroy, damage or impair the Property, allow the Property to det riorate or commit waste on the Property. Whether or not Borrower is residing in the Property, Borro er shall maintain the Property in order to prevent the Property from deteriorating or decreasing in valu due to its condition. Unless it is determined pursuant to Section 5 that repair or restoration is not eco omically feasible, Borrower shall promptly repair the Property if damaged to avoid fmther deterior tion or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Len er has released proceeds for such purposes. Lender may disburse proceeds for the repairs and restoration i a single payment or in a series of progress payments as the work is completed. If the insurance or conde ation proceeds are not sufficient to repair or restore the Property, Borrower is not relieved of Borrower s obligation for the completion of such repair or restoration. Lender or its agent may make reasonable entries upon and insp ctions of the Property. If it has reasonable cause, Lender may inspect the interior of the improvements n the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspection spe ifying such reasonable cause. 8. Borrower's Loan Application. Borrower shall be in defaul if, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially false, misleading, or inaccurate i formation or statements to Lender (or failed to provide Lender with material information) in co ction with the Loan. Material representations include, but are not limited to, representations concer ing Borrower's occupancy of the Property as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Rights nder this Security Instrument. If (a) Borrower fails to perform the covenants and agreements contained i this Security Instrument, (b) there is a legal proceeding that might significantly affect Lender's interest i the Property andlor rights under this Security Instrument (such as a proceeding in bankruptcy, probate, or condemnation or forfeiture, for enforcement of a lien which may attain priority over this Security nstrument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lende may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Proper y and rights under this Security Instrument, including protecting andlor assessing the value of the Prop rty, and securing andlor repairing the Property. Lender's actions can include, but are not limited to: (a) aying any sums secured by a lien which has priority over this Security Instrument; (b) appearing in ourt; and (c) paying reasonable VMP®-6(1D) (0606) Page 7 of 1 5 InltaIS:~ 70013065 Form 3013 1'01 OS304:16 000272 attorneys' fees to protect its interest in the Property andlor rights under this Security Instrument, including its secured position in a bankruptcy proceeding. Securing the Proper includes, but is not limited to, entering the Property to make repairs, change locks, replace or board p doors and windows, drain water from pipes, eliminate building or other code violations or dangerous c nditions, and have utilities turned on or off. Although Lender may take action under this Section 9, Lend r does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incurs n liability for not taking any or all actions authorized under this Section 9. Any amounts disbursed by Lender under this Section 9 shall be ome additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice fr m Lender to Borrower requesting payment. If this Security Instrument is on a leasehold, Borrower shall con ply with all the provisions of the lease. If Borrower acquires fee title to the Property, the leasehold and he fee title shall not merge unless Lender agrees to the merger in writing. 10. Mortgage Insurance. If Lender required Mortgage Insurance s a condition of making the Loan, Borrower shall pay the premiums required to maintain the Mortgage Ins rance in effect. If, for any reason, the Mortgage Insurance coverage required by Lender ceases to be avail ble from the mortgage insurer that previously provided such insurance and Borrower was required to ma e separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurance previousl in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance previ usly in effect, from an alternate mortgage insurer selected by Lender. If substantially equivalent M rtgage Insurance coverage is not available, Borrower shall continue to pay to Lender the amount of the eparately designated payments that were due when the insurance coverage ceased to be in effect. Lende will accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortgage Insurance, Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan is ultimately p id in full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the amount and r the period that Lender requires) provided by an insurer selected by Lender again becomes available, is obtained, and Lender requires separately designated payments toward the premiums for Mortgage Insu ance. If Lcnder required Mortgage Insurance as a condition of making the Loan and Borrower was requ red to make separately designated payments toward the premiums for Mortgage Insurance, Borrower s all pay the premiums required to maintain Mortgage Insurance in effect, or to provide a non-refun able loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any writte agreement between Borrower and Lender providing for such termination or until termination is required y Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provi ed in the Note. Mortgage Insurance reimburses Lender (or any entity that purch ses the Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrow r is not a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance i force from time to time, and may enter into agreements with other parties that share or modify their risk, r reduce losses. These agreements are on terms and conditions that are satisfactory to the mortgage insure and the other party (or parties) to these agreements. These agreements may require the mortgage insurer t make payments using any source of funds that the mortgage insurer may have available (which may incl de f1mds obtained from Mortgage Insurance premiums). As a result of these agreements, Lender, any purchaser of the N te, another insurer, any reinsurer, any other entity, or any affiliate of any of the foregoing, may receive ( irectly or indirectly) amounts that derive from (or might be characterized as) a portion of Borrower's pa ments for Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's risk, or r ducing losses. If such agreement provides that an affiliate of Lender takes a share of the insurer's ri k in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "captive insurance." Further: (a) Any such agreements will not affect the amounts that orrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreem nts will not increase the amount Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund. InIJ.,L~ 70013065 VMP®-6(1D) (06061 Page B of 1 5 Form 3013 1/01 0-93041~ 000273 (b) Any such agreements will not affect the rights Borrower I as - if any - with respect to the Mortgage Insurance under the Homeowners Protection Act of' 199 or any other law. These rights may include the right to receive certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the Mortgage Insurance terminated a Itomatically, andlor to receive a refund of any Mortgage Insurance premiums that were unearned a the time of such cancellation or termination. 11. Assignment of Miscellaneous Proceeds; Forfeiture. All iscellaneous Proceeds are hereby assigned to and shall be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restoration period, Lender shall have the right t hold such Miscellaneous Proceeds until Lender has had an opportunity to inspect such Property to ensur the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may pay for the repairs and restoration in a single disbursement or in a series of rogress payments as the work is completed. Unless an agreement is made in writing or Applicable Law equires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrowe any interest or earnings on such Miscellaneous Proceeds. If the restoration or repair is not economicallyeasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums s cured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Su h Miscellaneous Proceeds shall be applied in the order provided for in Section 2, In the event of a total taking, destruction, or loss in value 0 the Property, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrum nt, whether or not then due, with the excess, if any, paid to Borrower, In the event of a partial taking, destruction, or loss in value of th Property in which the fair market value of the Property immediately before the partial taking, destructi n, or loss in value is equal to or greater than the an10unt of the sums secured by this Security Instrum nt immediately before the partial taking, destruction, or loss in value, unless Borrower and Lender oth rwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amou t of the Miscellaneous Proceeds multiplied by the following fraction: (a) the total amount of the su s secured immediately before the partial taking, destruction, or loss in value divided by (b) the f ir market value of the Property immediately before the partial taking, destruction, or loss in value. Any alance shall be paid to Borrower. In the event of a partial taking, destruction, or loss in value of th Property in which the fair market value of the Property immediately before the partial taking, destructio , or loss in value is less than the amount of the sums secured immediately before the partial taking, de truction, or loss in value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous Pr ceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then du , If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the Opposing Party (as defined in the next sentence) offers to make an a ard to settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the n tice is given, Lender is authorized to collect and apply the Miscellaneous Proceeds either to restoration r repair of the Property or to the sums secured by this Security Instrument, whether or not then due. "Op osing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against who Borrower has a right of action in regard to Miscellaneous Proceeds, Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgment, could result in forfeiture of the Property or othe material impainnent of Lender's interest in the Property or rights under this Security Instrument. Borro er can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by caus ng the action or proceeding to be dismissed with a ruling that, in Lender's judgment, precludes forfeitur of the Property or other material impairment of Lender's interest in the Property or rights under this Se urity Instrument. The proceeds of any award or claim for damages that are attributable to the impairment f Lender's interest in the Property are hereby assigned and shall be paid to Lender. All Miscellaneous Proceeds that are not applied to restoration r repair of the Property shall be applied in the order provided for in Section 2. Page 9 of 1 5 '"' ",,{ tr ~ 70013065 VMP®·6[ID) (0606) Form 3013 1/01 Q~i~'l 041.6 OOQ~?4 12. Borrower Not Released; Forbearance By Lender Not a aiver. Extension of the time for payment or modification of amortization of the sums secured by this Se urity Instmment granted by Lender to Borrower or any Successor in Interest of Borrower shall not operate to release the liability of Borrower or any Successors in Interest of Borrower. Lender shall not be require to commence proceedings against any Successor in Interest of Borrower or to refuse to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrument by reason f any demand made by the original Borrower or any Successors in Interest of Borrower. Any forbearance b Lender in exercising any right or remedy including, without limitation, Lender's acceptance of payme ts from third persons, entities or Successors in Interest of Borrower or in amounts less than the amount t en due, shall not be a waiver of or preclude the exercise of any right or remedy. 13. Joint and Several Liability; Co-signers; Successors and A signs Bound. Borrower covenants and agrees that Borrower's obligations and liability shall be joint and se eral. However, any Borrower who co-signs this Security Instrument but does not execute the Note (a 'co-signer"): (a) is co-signing this Security Instrument only to mortgage, grant and convey the co-signer' interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pa the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower can a ree to extend, modify, forbear or make any accommodations with regard to the terms of this Security I strument or the Note without the co-signer's consent. Subject to the provisions of Section 18, any Successor in I terest of Borrower who assumes Borrower's obligations under this Security Instrument in writing, and i approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. B rrower shall not be released from Borrower's obligations and liability under this Security Instrument unl ss Lender agrees to such release in writing. The covenants and agreements of this Security Instrument hall bind (except as provided in Section 20) and benefit the successors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for serv ces performed in connection with Borrower's default, for the purpose of protecting Lender's interest in the Property and rights under this Security Instrument, including, but not limited to, attorneys' fees, pro erty inspection and valuation fees, In regard to any other fees, the absence of express authority in this Sec rity Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the charging f such fee. Lender may not charge fees that are expressly prohibited by this Security Instrument or by Applicable Law. If the Loan is subject to a law which sets maximum loan charges, nd that law is finally interpreted so that the interest or other loan charges collected or to be collected in c nnection with the Loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by t 1e amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from orrower which exceeded permitted limits will be refunded to Borrower'. Lender may choose to make thi refund by reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prep yment charge (whether or not a prepayment charge is provided for under the Note). Borrower's accep ance of any such refund made by direct payment to Borrower will constitute a waiver of any right of acti n Borrower might have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in conne tion with this Security Instrument must be in writing. Any notice to Borrower in connection with this Sec rity Instmment shall be deemed to have been given to Borrower when mailed by first class mail or whe actually delivered to Borrower's notice address if sent by other means. Notice to anyone Borrower shal constitute notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice add ss shall be the Property Address unless Borrower has designated a substitute notice address by notice t Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specifies a rocedure for reporting Borrower's change of address, then Borrower shall only report a change of addres through that specified procedure. There may be only one designated notice address under this Security Instrument at anyone time. Any notice to Lender shall be given by delivering it or by mailing it by 'rst class mail to Lender's address stated herein unless Lender has designated another address by no ice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to have een given to Lender until actually received by Lender. If any notice required by this Security Instrumen is also required under Applicable Law, the Applicable Law requirement will satisfy the correspond in requirement under this Security Instrument. Page 10 of 1 5 ,,;,.~ 70013065 VMP ®-6(1D) 106061 Form3013 1/01 0!-:J3041.6 0002175 16. Governing Law; Severability; Rules of Construction. Security Instrument shall be governed by federal law and the law of the jurisdiction in which the roperty is located, All rights and obligations contained in this Security Instrument are subject to any requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow t e parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibitio against agreement by contract. In the event that any provision or clause of this Security Instrument or t e Note conflicts with Applicable Law, such conflict shall not affect other provisions of this Security In trument or the Note which can be given effect without the conflicting provision. As used in this Security Instrument: (a) words of the masculi e gender shall mean and include corresponding neuter words or words of the feminine gender; (b) wo ds in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole d scretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy of the N te and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Borr wer. As used in this Section 18, "Interest in the Property" means any legal or beneficial interest in the roperty, including, but not limited to, those beneficial interests transferred in a bond for deed, contract for deed, installment sales contract or escrow agreement, the intent of which is the transfer of title by Borrowe at a future date to a purchaser. If all or any part of the Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or ransferred) without Lender's prior written consent, Lender may require immediate payment in fl1ll of 11 sums secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower notic of acceleration. The notice shall provide a period of not less than 30 days from the date the notice is gi en in accordance with Section 15 within which Borrower must pay all sums secured by this Security In trument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may invo any remedies permitted by this Security Instrument without further notice or demand on Borrower. 19. Borrower's Right to Reinstate After Acceleration. If B rrower meets certain conditions, Borrower shall have the right to have enforcement of this Security In trument discontinued at any time prior to the earliest of: (a) five days before sale of the Property pursuan to any power of sale contained in this Security Instrument; (b) such other period as Applicable Law mi ht specify for the termination of Borrower's right to reinstate; or (c) entry of a judgment enforcin this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which then ould be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures an default of any other covenants or agreements; (c) pays all expenses incurred in enforcing this Security Ins rument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation fees, and other fees incurred for the purpose of protecting Lender's interest in the Property and rights unde this Security Instrument; and (d) takes such action as Lender may reasonably require to assure that Le der's interest in the Property and rights under this Security Instrument, and Borrower's obligation to pay the sums secured by this Security Instrument, shall continue unchanged. Lender may require that Borrow r pay such reinstatement sums and expenses in one or more of the following forms, as selected by Lend r: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provi ed any such check is drawn upon an institution whose deposits are insured by a federal agency, instrum ntality or entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrum nt and obligations secured hereby shall remain fully effective as if no acceleration had occurred. Howev r, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of' Note; Change of' Loan Servicer; Notice of Grievanc , The Note or a partial interest in the Note (together with this Security Instrument) can be sold one or ore times without prior notice to Borrower. A sale might result in a change in the entity (known as he "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instrument nd performs other mortgage loan servicing obligations under the Note, this Security Instrument, and Ap licable Law. There also might be one or more changes of the Loan Servicer unrelated to a sale of the No e. If there is a change of the Loan Servicer, Borrower will be given written notice of the change which wi I state the name and address of the new Loan Servicer, the address to which payments should be made d any other information RESP A Page 1 1 of 1 5 InllalS~ 70013065 VMP ®-6(1D) 106061 Form3013 1/01 0.930416 000276 requires in connection with a notice of transfer of servicing. If the Not is sold and thereafter the Loan is serviced by a Loan Servicer other than the purchaser of the Note, the ortgage loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a s ccessor Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by the Note p Irchaser. Neither Borrower nor Lender may commence, join, or be joined 0 any judicial action (as either an individual litigant or the member of a class) that arises from the oth r party's actions pursuant to this Security Instrument or that alleges that the other party has breached any provision of, or any duty owed by reason of, this Security Instrument, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirements of Section 15) of su h alleged breach and afforded the other party hereto a reasonable period after the giving of such n tice to take corrective action. If Applicable Law provides a time period which must elapse before cer ain action can be taken, that time period will be deemed to be reasonable for purposes of this paragra h. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 and t e notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the notice and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) I Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants. or was es by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic p troleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or forma dehyde, and radioactive materials; (b) "Environmental Law" means federal laws and laws of the jurisdictio where the Property is located that relate to health, safety or environmental protection; (c) "Environment I Cleanup" includes any response action, remedial action, or removal action, as defined in Environment I Law; and (d) an "Environmental Condition" means a condition that can cause, contribute to, or ot erwise trigger an Environmental Cleanup. Borrower shall not cause or permit the presence, use, disposal, st rage, or release of any Hazardous Substances, or threaten to release any Hazardous Substances, on or in t e Property, Borrower shall not do, nor allow anyone else to do, anything affecting the Property (a) that is in violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, due 0 the presence, use, or release of a Hazardous Substance, creates a condition that adversely affects the val e of the Property. The preceding two sentences shall not apply to the presence, use, or storage on t e Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property (including, but not limited to, hazardous su stances in consumer products). Borrower shall promptly give Lender written notice of (a) any in estigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private pa ty involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) any Environmental Condition, including but not limited to, any spilling, lea 'ng, discharge, release or threat of release of any Hazardous Substance, and (c) any condition caused by the presence, use or release of a Hazardous Substance which adversely affects the value of the Property If Borrower learns, or is notified by any governmental or regulatory authority, or any private party, tha any removal or other remediation of any Hazardous Substance affecting the Property is necessary, Borrow r shall promptly take all necessary remedial actions in accordance with Environmental Law. Nothing he in shall create any obligation on Lender for an Environmental Cleanup, Page 1 2 of 15 Inl iBlsGdW: ~ 70013065 VMP ®-6(1D) 10606) Form 3013 1/01 09~10416 000277 NON-UNIFORM COVENANTS. Borrower and Lender further co enant and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Borro er prior to acceleration following Borrower's breach or any covenant or agreement in this Securi y Instrument (but not prior to acceleration under Section 18 unless Applicable Law provides other ise). The notice shall specify: (a) the default; (b) the action required to cure the default; (c) a date, n t less than 30 days from the date the notice is given to Borrower, by which the default must be cure ; and (d) that failure to cure the default on or before the date specified in the notice may result in a eleration of the sums secured by this Security Instrument and sale of the Property. The notice shal further inform Borrower of the right to reinstate after acceleration and the right to bring a court a ion to assert the non-existence of a default or any other defense of Borrower to acceleration and sale If the del'ault is not cured on or before the date specified in the notice, Lender at its option may req lire immediate payment in full of all sums secured by this Security Instrument without further demand and may involÅ“ the power of sale and any other remedics permitted by Applicable Law, Lend r shall be entitled to collect all expenses incurred in pursuing the remedies provided in this Section 22, including, but not limited to, reasonable attorneys' fees and costs of title evidence. If Lender inVol(es the power of sale, Lender shall execute or cause Trustee to execute written notice of the occurrencc of an event of default and of Lender's cle tion to cause the Property to be sold, and shall cause such notice to be recorded in each county in hich any part or the Property is located. Lender or Trustee shall mail copies of the notice as p 'cscribed by Applicable Law to Borrower and to other persons prescribed by Applicable Law. Trus ee shall give public notice of sale to the persons and in the manner prescribed by Applicable V w. After the time required by Applicable Law, Trustee, without demand on Borrower, shall sell he Property at public auction to the highest bidder at the time and place and under the terms design ted in the notice or sale in one or more parcels and in any order Trustee determines. Trustee may po tpone sale of all or any parcel of the Property by public announcement at the time and place of any reviously scheduled sale. Lender or its designee may purchase the Property at any sale. Trustee shall deliver to the purchaser Trustee's deed conv ying the Property without any covenant or warranty, exprcssed or implied. The recitals in the T ustee's deed shall be prima facie evidence of the truth of the statements made therein. Trustee shall apply the proceeds of the sale in the following order: (a) to all expenses of the sale, including, but n t limited to, reasonable Trustee's and attorneys' fees; (b) to all sums secured by this Security Instr Iment; and (c) any excess to the person or persons legally entitled to it. 23. Reconveyance. Upon payment of all sums secured by this request Trustee to reconvey the Property and shall surrender this evidencing debt secured by this Security Instrument to Trustee. T without warranty to the person or persons legally entitled to it. Suc recordation costs. Lender may charge such person or persons a fee for if the fee is paid to a third party (such as the Trustee) for services ren permitted under Applicable Law. Security Instrument, Lender shall ecurity Instrument and all notes stee shall reconvey the Property person or persons shall pay any econveying the Property, but only ered and the charging of the fee is 24. Substitute Trustee. Lender may, for any reason or cause, fro appoint a successor trustee to any Trustee appointed hereunder. Witho successor trustee shall succeed to all the title, power and duties con Applicable Law. time to time remove Trustee and t conveyance of the Property, the rred upon Trustee herein and by 25. Area and Location of Property. Either the Property is not more than 40 acres in area or the Property is located within an incorporated city or village. Page 13 of 15 IniialS~ ~ 70013065 VMP®·6(1D) 10606) Form 3013 1/01 ~~30416 000278 BY SIGNING BELOW, Borrower accepts and agrees to the ter s and covenants contained in this Security Instrument and in any Rider executed by Borrower and recorde with it. Witnesses: (Seal) - Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower VMP®-6(1D) 10606) Page 14 of 15 Form 3013 1/01 70013065 0Vr -¡ cI~ o..93041~ 000279 STATE OFJÐltJIO, '¡'inc1e-n County ss: On this 14th day of June 2007 , before me, The Undersigned a Notary Public in and for said county and state, personally appeared M 1 vin Kurt Garrard, Gwenna H. Garrard known or proved to me to be the person(s) who executed the foregoin instrument, and acknowledged to me that helshelthey executed the same. In witness whereof I have hereunto set my hand and affixed my 0 [icial seal the day and year in this certificate first above written. Notar Jill H. LARSON "((,TARY PUBLIC "';,~ STJI,TE OF :) W'IOMING My Commission Expires: COUN'TY OF UNCOlN MY COMMISSION EXPIREB ,;:""F :'i :'007 rp"~11 .'¿'##44~~ VMP ®-6(1D) (0606) Page 1 5 of 1 5 In! lals:" " JIJ I\,~ 70013065 ~ Form 3013 1/01 Legal Description ~~~!041G That part of Section 9, Township 31 North Range 119 West of the 6th P. particularly described as follows: 000280 " Lincoln County, Wyoming more COMMENCING at a point 30 rods West from the Northeast corner of he Southeast Quarter of the Northeast Quarter in said Section 9 and running thence South 16 rods; thence West 15 rods; thence North 16 rods; thence East 15 rods to the POINT OF BEGINNING. 00028'1 Loan No.70013065 Q.,93041J) RECONVEYANCE OF DEED OF TRUS RIDER This rider is made June 14, 2007, and is incorporated shall be deemed to amend and supplement he Mortgage, Trust or Security Deed (the "Security Instrument") of date given by the undersigned Melvin Kurt Garrard and Garrard, husband and wife, to secure Borrow r's Note to into and Deed of the same Gwenna H. First Federal Savings Bank of Falls of the same date and covering property Instrument (the "Property") and located (the "Lender") ribed in the Security 599 Fairview County Road 143, Fair WY 83119 ("Property Address") In addition to the covenants and agreement made in the Security Instrument, Borrower and Lender further c venant and agree that Non-Uniform Covenant 22 of the Security In trument is amended in the following respect: To the extent such practice is n t prohibited by applicable state law, lender, on behalf of the third party service provider or, if the Security Instrument is a deed of trust, trustee may charge the borrower a release fee in an amount allowed by applicabl law. the terms and BY SIGNING BELOW, Borrower accepts provisions contained in this Rider.