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HomeMy WebLinkAbout898904AfterRecordi~ RemrnTo: THE PROVIDENT BJCNK DBA ONE EAST FOURTH STREET CINCINNATI,OHIO 45202 Loan Number: 4463287 PCFS MORTGAGE 89890[. RECEIVED RESOUROi~I~IOOL,H COUNTY CLERK . , ,1 .3:38 BOOK [Space Above This Line For Recording Datal MORTGAGE DEFINITIONS Words used in multiple sections of fltis document are defined below and other words are defined in Sections 3, 11, 13, 18, 20 and 21. Certain rules regarding the usage of words used in this document are also provided in Section 16. (A) "Security Instrument" means this document, which is dated APRIL 2 6, 2 004 , together with all Riders to this document. (B) "Borrower"is TEDD B. JENKINS g2xlD CHRISTY C. JENKINS, HUSBAND AND WIFE Borrower is the mortgagor under this Security Instrument. (C) "Lender"is THE PROVIDENT BANK DBA PCFS MORTGAGE RESOURCES Lenderisa .h2Xl OHIO BANKING CORPORATION andexistingunderthelawsof THE STATE OF OHIO Lender'saddressis ONE EAST FOURTH STREET, CINCINNATI, OHIO 45202 organized Lender is the mortgagee under this Security Instrument. (D) "Note" means the pronnssory note signed by Borrower and dated APR I L 2 6, 2 004 The Note states that Borrower owes Lender ONE HUNDRED FIFTEEN THOUSKND FOUR HUNDRED FORTY AND 00/100 Dollars (U.S.$115,440.00 plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay fl~e debt in full not later than MAY 10, 2034 (E) "Property" means file property that is described below under the heading "Transfer of Rights in the Property." (F) "Loan" means the debt evidenced by d~e Note, plus interest, any prepayment charges and late charges due under fl~e Note, and all sums due under this Security Instrument, plus interest. (G) "Riders" ~neans all Riders to tlfis Security Instrument that are executed by Borrower. The following Riders are to be executed by Borrower ]check box as applicable]: [] Adjustable Rate Rider: [] Balloon Rider [] 1-4 Family Rider [] Condonfixfium Rider [] Plato]ed Unit Development Rider [] Biweekly Paymeut Rider [] Second Home Rider [] Other(s) [specify] WYOMING--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/01 Page 1 of 12 DocMagic ~ $oo-64m , www. docmagic, corn · y30511 .mtg (Il) "Applicable Law" means all controlling applicable federal, state and local statutes, regulations, ordinances and administrative rules and orders (that have the effect of law) as well as all applicable final, non-appealable judicial opinions (I) "Community Association Dues, Fees, and Assessments" means all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condominimn association, homeowners association or similar organization. (J) "Electronic Funds Transfer" means any transfer of ftlIlds, other than a transaction originated by check, draft, or similar paper tnstmment, which is initiated through an electronic ternfinal, telephonic instrument, computer, or magnetic tape so as to order, instruct, or authorize a financial institution to debit or credit an account. Such term includes, but is not limited to, point-of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse transfers. (K) "Escrow Items" means those items that are described in Section 3. (L) "Miscellaneous Proceeds" means any compensation, settlement, award of datnages, or proceeds paid by any third party (other than insurance proceeds paid under the coverages described in Section 5) for: (i) danmge to, or destruction of, the Property; (ii) condemnation or other taking of all or any part of the Property; (iii) conveyance lieu of condemnation; or (iv) misrepresentations of, or omissions as to, rite value and/or condition of the Property. (M) "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (N) "Periodic Payment" ~neans the regularly scheduled amount due for (i) principal and interest under the Note, plus (ii) any amounts under Section 3 of this Security Instrument. (O) "RESPA" means the Real Estate Settlement Procedures Act (12 U.S.C. §2601 et seq.') and its implementing regulation, Regulation X (24 C.F.R. Part 3500), as they might be amended from time to titne, or any additional or successor legislation or regulation flint governs the same subject nmtter. As used in this Security Instrun~ent, "RESPA" refers to all requirements and restrictions that are imposed in regard to a "federally related mortgage loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. (P) "Successor in Interest of Borrower" means any party that has taken title to fl~e Property, whether or not party has assumed Borrower's obligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures to Lender: (i) the repayment of the Loan, and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower's covenants and agreetnents under this Security Instrument and the Note. For fids purpose, Borrower does hereby mortgage, grant and convey to Lender and Lender's successors and assigns, with power of sale, the following described property located in the COUNTY of LINCOLN : [Type of Recording lurisdiction] [Name of Recording Jurisdiction] SEE LEGAl, DESCRIPTION ATTACHED HERETO AND MADE A PART HEREOF AS EXHIBIT "A". A.P.N. #: 12-3519-33-1-00-436.00 wlfich currently has the address of 1413 FREEDOM HIGHWAY 23 9 FREEDOM , Wyonfing 8 3 12 0 [City] [Zip Code] [Street] ("Property Address"): WYOMING--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/01 Page 2 of 12 DocMagic ~=(~l~ $00-64~- t a62 www. docmagic, corn Wy30512.mtg TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements, appurte]mnces, and fixtures now or hereafter a part of the property. All replacements and additions shall also be covered by this Security lnstrmnent. All of the tbregoing is referred to iu this Security Instrument as the "Property." BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to any encmnbrances of record. THIS SECURITY INSTRUMENT combines mfifonn covenants for natiolml use and non-uniform covenants with limited variations by jurisdiction to constitute a mfiform security instrument covering real property. UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal, Interest, Escrow Items, Pre payment Charges, and Late Charges. Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any prepayment charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items pursuant to S~ection 3. Payments due under the Note and this Security Instrument shall be made in U.S. currency. However, if any check or other instrument received by Lender as payment under the Note or this Security Instrmnent is returned to Lender unpaid, Lender may require that any or all subsequent payments due under the Note and this Security Instrument be nmde in one or more of fl~e 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 institution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds Transfer. Payments are deemed received by Lender when received at the location designated in the Note or at such other location as inay be designated by Lender in accordance with the notice provisions in Section 15. Lender may return any payment or partial payment if the payment or partial payments are insufficient to bring the Loan current. Lender may accept any payment or partial payment insufficient to bring die Loan current, without waiver of any rights hereunder or prejudice to its rights to refuse such pay~nent or partial payments in the future, but Lender is not obligated to apply such payments at the time such payments are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on unapplied funds. Lender nmy hold such unapplied funds until Borrower nmkes payment to bring the Loan current. If Borrower does not do so within a reasonable period of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal balance under the Note inm~ediately prior to foreclosure. No 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 agreements secured by this Security Instrument. 2. Application or Payments or Proceeds. Except as otherwise described in this Section 2, all payments accepted and applied by Lender shall be applied in the following order of priority: (a) ]merest due under the Note; (b) principal due under die Note; (c) amounts due under Section 3. Such payments shall be applied to each Periodic Payment in the order in which it became due. Any remaimng amounts shall be applied first to late charges, second to any oilier amounts due under this Security Instrument, and then to reduce the principal balance of the Note. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amount to pay any late charge due, the payment may be applied to die delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender may apply any pay~nent received from Borrower to the repayment of the Periodic Payments if, and to the extent that, each payment can be paid in full. To the extent that any excess exists after the pay~nent is applied to the full payment of one or more Periodic Pay~nents, such excess ]nay be applied to any late charges due. Voluntary prepayments shall be applied first to any prepayment Charges and then as described in the Note. Any application of payments, insurance proceeds, or Miscellaneous Proceeds to principal due under the Note shall not extend or postpone the due date, or change the amount, of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on die day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds") to provide for payment of amounts due for: (a) taxes and assessments and oilier items which can attain priority over this Security Instrument as a lien or encmnbrance on the WYOMING--Single Family--Fannie Mae/Freddie Mac UNIFORM NSTRUMENT Form 3051 1/01 Page 3 of 12 DocMagic ~ www. docmagic, corn y3o513.mlg 0_8D8 04 7 $ 0 Property; (b) leasehold payments or ground rents on the Property, if any; (c) premiums for any and all insurance required by Lender under Section 5; and (d) Mortgage Insurance prenfiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance prenfiums in accordance with the provisions of Section 10. These items are called "Escrow Items." At origination or at any time during fl~e term of the Loan, Lender may require that Connnunity Association Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly furnish to Lender all notices of amounts to be paid under tiffs Section. Borrower shall pay Lender the Funds for Escrow Items unless Lender waives Borrower's obligation to pay the Funds for any or all Escrow Items. Lender nmy waive Borrower's obligation to pay to Lender Funds for any or all Escrow Items at any time. Any such waiver nmy mdy be in writing. In file event of such waiver, Borrower shall pay directly, when and where payable, the amounts due for any Escrow Ite~ns for which payment of Funds has been waived by Lender m~d, if Lender requires, shall furnish to Lender receipts evidencing such payment within such time period as Lender may require. Borrower's obligation to nmke such payments and to provide receipts shall for all purposes be deemed to be a covenant and agreement contained in this Security Instrument, as the phrase "covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Items directly, 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 Section 9 to repay to Lender any such amount. Lender nmy revoke the waiver as to any or all Escrow Items at any time by a notice given in accordance with Section 15 and, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that are then required under this Section 3. Lender nmy, at any time, collect and hold Funds in an amount (a) sufficient to penlfit Lender to apply the Funds at the time specified under RESPA, and (b) not to exceed the maxinmm amount a lender can require m~der RESPA. Lender shall esti~nate file amount of Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or otherwise in accordance with Applicable Law. The Funds shall be held in an institution whose deposits are insured by a federal agency, instrmnentality, or entity (including Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time specified under RESPA. Lender shall not charge Borrower for holding and applying the Funds, annually a~talyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to nmke such a charge. Unless an agreement is made in writing or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower any interest or eanfings on the Funds. Borrower and Lender can agree in writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, without charge, an ammal accounting of the Funds as required by RESPA. If there ~s a surplus of Funds held in escrow, asdefined under RESPA, Lender shall account to Borrower for the excess funds ru accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amouut necessary to make up the shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 12 monthly payments. Upon payment in full of all sums secured by this Security Instrument, Lender shall prompdy 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 Secnrity InsU'ument, leasehold payments or ground rents on the Property, if any, and Conmmnity Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the ~natmer provided in Section 3. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by file lien in a nmnner acceptable to Lender, but only so long as Borrower is perforating such agreement; (b) contests the lien in good faith by, or defends against enforcement of the lien in, legal proceedings which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but tuffy until such proceedings are concluded; or (c) secures from the holder of. the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender deternfines that any part of the Property is subject to a lien which can attain priority over this Security Instrument, WYOMING--Single FamiIw-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/01 Page 4 of 12 DocMagic elT~ct~ ago ~ 4~-~ ~ 2 w ww. docrnaEic, corn Wy30514.mtg . Lender may give Borrower a notice identifying the 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 nay require Borrower to pay a one-time charge for a real estate tax verification and/or reporting service used by Lender in cmmection with this Loan. 5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within ~lie term "extended coverage," and any other hazards including, but not linfited to, earthquakes and floods, for which Lender requires insurance. This insurauce shall be maintained in the amonnts (including deductible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of the Loan. The insurance carrier providing the insurance shall be chosenby Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender nkay require Borrower to pay, in cmmection with this Loan, either: (a) a one- time charge for flood zone deternfination, certitication and tracking services; or (b) a one-time charge for flood zone deternfinadon and certification services and subsequent charges each time remappings or sinfilar changes occur which reasonably might affect such determination or certification. Borrower shall also be responsible for die payment of any fees imposed by the Federal Emergency Management Agency in com~ection with the review of any flood zone detemfination resulting from an objection by Borrower. If Borrower tails to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option and Borrower's expmkse. Lend6r is under no obligation to purchase any particular type or amount of Coverage. Therefore, such coverage shall cover Lender, but nfight or might not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk, hazard or liability and nfight provide greater or lesser coverage than was previously in effect. Borrower acknowledges that the cost of the insurance coverage so obtained nfight significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender Under this Section 5 shall become additional debt of Borrower secured bY this Security Instrument. These amounts shall bear interest at the Note rate frmn the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting payment. All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender shall have the right to hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give to I]ender all receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, die Property, such policy shall include a standard mortgage clause and shall name Lender as mortgagee and/or as an additional loss payee. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender nay make proof of loss if not unade prompdy by Borrower. Unless Lender and Borrower otherwise agree in writing, any iusulance proceeds, whether or not'the underlying insurance 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 period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. U~fless an agreement is made in writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be ' required to pay Borrower auy interest or earnings on such proceeds. Fees for public adjusters, or oilier third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2. If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related matters. If Borrower does not respond within 30 days to a notice from Lender that the insurauce carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period will begin when the notice is given. In either event, or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an'amount not to exceed the amounts unpaid under the Note or this Security Instrmnent, and (b) any other of Borrower's rights (other than the right to any refund ~y30515 .mtg WYOMING--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/O1 Page 5 of 12 DocMagic e~q.wom~ $oo 64~- ~ 362 www. docrnagJc, corn of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofar as such rights are applicable to the coverage of the Property. Lender may use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security Instrument, whether 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 Instrument and shall contmue to occupy the Property as Borrower's principal residence for at least one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably .withheld, or unless extenuating circumstances exist which are beyond Borrower's control. 7. Preservation, Maintenance and Protectiou of the Property; Inspections. Borrower shall not destroy, damage or impair the Property, allow the Property to deteriorate or couurdt waste on the Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is deternfiued pursuant to Section 5 that repair or restoration is not econoufically feasible, Borrower shall promptly repair the Property if damaged to avoid further deterioration or damage. If insurance or condenmation proceeds are paid in com~ection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds for the repairs and restoration in a single payment or iu a series of progress payments as the work is completed. If the insurance or condenmation 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 inspectious of the Property. If it has reasonable cause, Lender ~nay inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause. 8. Borrower's Loan Application. Borrower shall be in default if, duriug 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 information or.statements to Lender (or failed to provide Lender with material information) in com~ection with the Loan. Material representations include, but are not limited to, representations concenfing Borrower's occupancy of the Property as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If (a) Borrower tails to perform the covenants and agreements contained in this Security Iustrument, (b) there is a legal proceeding that might sig~fificandy affect Lender's interest in the Property and/or rights under this Security Instnm~ent (such as a proceeding in bankruptcy, probate, for condenmation or forfeiture, for enforcement of a lien which may attain priority over this Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender!nay do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security Instrument, including protectiug and/or assessing the value of the Property, and securing and/or repairing the Property. Lenc~er's actions can include, but are not linfited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable attorneys' fees to protect its interest in the Property and/or rights trader this Security Iustrument, including its secured position in a ba~flcruptcy proceeding. Securing the Property includes, but is not linfited to, entering the Property to make repairs, change locks, replace or board up doors and windows, drain water'from pipes, eliminate building or other code violations or dangerous conditions, and have utilities turned on or off.~ Although Lender may take action under this Section 9, Lender does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incurs no liability for not taking any or all actions authorized under this Section 9. · Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement aud shall be payable, with such interest, upon notice from Lender to Borrower requesting payment. If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease. If Boirower acquires fee title to the Property, the leasehold and the fee title shall not merge unless Lender agrees to the merger in writing. 10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition'ofmaking the Loan, Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage Insurance coverage required by Lender ceases to be available front the mortgage insurer that previously provided such insurance and Borrower was required to make separately designated payments toward the prenfiums for Mortgage WYOMING--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/01 Page 6 of 12 E~cMagic ~ aoo 64~-1562 w ww. docrnagic, corn ~y30516 mtg 783 Insurance, Borrower shall pay the prenfiums required to obtain coverage substantially equivalent to the Mortgage Insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of fl~e Mortgage Insurance previously in effect, from an altermite mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall continue to pay to Lender the amount of the separately designated payments that were due when the insurance coverage ceased to be in effect. Lender 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 paid 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 for 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 Insurance. If Lender required Mortgage Insurance as a condition of n~qking the Loan and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to nmintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing for such ternfination or Until termination is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note. Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it nmy incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and nmy enter into agreements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agreements nmy require the mortgage insurer to make payments using any source of funds that the mortgage insurer may have available (which may include funds obtained frown Mortgage Insurance prenfiums). As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any other entity, or any affiliate of any of fl~e foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further: (a) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund. (b) Any such agreements will not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under the Homeowners Protection Act of 1998 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 automatically, and/or to receive a refund of any Mortgage Insurance premiums that were unearned at the time of such cancellation or termination. 11..Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous 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 to hold such Miscellaneous Proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken prOtnptly. Lender may pay for the repairs and restoration in a single disbursement or in a series of progress pay~nents as the work is completed. Unless an agreement is nmde in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with rite excess-, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. ;y305 l'/.mtg WYOMiNG--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/O1 Page 7 of 12 DocMagic ~=~ aoo 649-1~62 www. docmagic, corn In the event of a total takiug, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, 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 the Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss in value is equal to or greater than the amount of the sums secured by this Security Instrument inunediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the Miscellaneous Proceeds inultiplied by the following fraction: (a) the total amoum of the sums secured innnediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property innnediately before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the Property inunediately before the partial taking, destruction, or loss in value is less than the amount of the stuns secured immediately before the partial taking, destructiOn, or loss in value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that file Opposing Party (as defined in the next sentence)offers to make an award to settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender is authorized to collect and apply the Miscellaneous Proceeds either to restoration or repair of the Property or to the sums secured by this Security Instrument; whether or not then due. "Opposing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of acdon 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 other nmterial impairment of Lender's interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be disnfissed with a ruling that, in Lender's judgment; precludes forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. The proceeds of any award or claim for dan~ages that are attributable to the impairment of Lender's interest in the Property are hereby assigned and shall be paid to Lender. All Miscellaneous Proceeds that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. 12. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or modification of amortization of the sums secured by this Security Instrument granted by keuder to Borrower or auy Successor in Interest of Borrower shall not operate to release the liability of Borrower or any Successors iu Interest of Borrower. Lender shall not be required to coxnmeuce proceedings agaiust any Successor in Iuterest of Borrower or'to refuse to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made by the origfiml Borrower or any Successors in Interest of Borrower. Any forbearauce by Lender in exercising any right or remedy iucluding, without limitation, Lender's acceptance of payments .frmn third persons; entities oi Successors in Interest of Borrower or in amounts less than the amount then due, shall notbe a waiver of or preclude the exercise of any right or remedy. 13. Joint and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenants and agrees that Borrower's obligations and liability shall be joint and several. However, any Borrower who co-signs this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-sigtfing this Security Instrument only to mortgage, grant and convey the co-signer's interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower can agree to extend, modify, forbear or make any acconnnodations with regard to the terms of this Security Instrument or the Note without the co-signer's consent. Subject to the provisions of Section 18, auy Successor in Interest of Borrower who assumes Borrower's Obligations under this Security Instrmnent in writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released from Borrower's obligations and liability under this Security Instrument mfless Lender agrees to such release in writing. The covenants and agreements of this Security Instrument shall bind (except as provided in Section 20) and benefit the successors and assigus of Lender. WYOMING--Single Family--Fannie Ma6/Freddie Mae UNIFORM INSTRUMENT Fo~rn 3051 1/O1 Page 8 of 12 DocMagic ~ a00-64~ 362 www. docmagic, corn ,3/y30518mtg 0 9 904 .... ? 5 14. Loan Charges. Lender may charge Borrower fees for services performed in cmmection wifl~ 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, property inspection and valuation fees. In regard to any other fees, the absence of express authority in this Security Instrulnent to charge a specific fee to Borrower shall not be construed as a prohibition on Ore charging of 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 wlfich sets maximum loan charges, and that law is finally interpreted so that the interest or other loan charges collected or to be collected in connection with the Loan exceed the permitted linfits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower which exceeded permitted linfits will be refunded to Borrower. Lender ~nay choose to make this refund by reducing the principal owed nnder 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 prepayment charge (whether or n0t'a prepayment charge is provided for under the Note). Borrower's acceptance of any such refund made by direct payment to Borrower will co~tqtitute a waiver of any right of action Borrower nfight have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in connection with this Security Instrument must be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to have been given to Borrower when mailed by first class mail or when actually delivered to Borrower's notice address if sent by other means. Notice to any one Borrower shall constitute notice to all Borrowers mfless Applicable Law expressly requires otherwise. The notice address shall be the Property Address mfless Borrower has designated a substitute notice address by notice tO Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only report a change of address through that specified procedure. There may be only one designated notice address under this Security Instrument at any one time. Any notice to Lender shall be givenby delivering it or by mailing it by .first class mail to Lender's address stated herein unless Lender has designated another address by notice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to have been given to Lender until actually received by Lender. If any notice required by this Security Instrument is also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security hkqtrument. 16. Governing Law; Severability; Rules of Construction. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. All rights and obligations contained in fltis Security Instrument are subject to any requirements and linfitations of Applicable Law. Applicable Law ~night explicitly or implicitly allow the parties to agree by contract or it nfight be silent, but such silence shall not be construed as a prohibition against agreement by contract. In the event that any provision or clause of this Security Instrument or the Note conflicts with Applicable Law, such conflict shall not affect 'other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. As used in this Security Instrument: (a) words of the masculine gender shall mean and include corresponding neuter words or words of the femi~fine gender; (b) words in the singular Shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Property" means any legal or beneficial interest in the Property, 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 Borrower at a future date to a purchaser. If all or any part of the Property or any Interest in the Property is sold or transfer?ed (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consent, Lender nmy require immediate payment in full of all sums secured by tiffs 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 notice of acceleration. The notice shall provide a period of not less than 30 days from the date the notice is given in accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may invoke any remedies pernfitted by this Security Instrument without further notice or demand on Borrower. . WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/01 Page 9 of 12 DocMagJc ~ a00-64~ t362 WWW. docmagic, corn ry30519 m{g 19. Borrower's Right to Reinstate After Acceleration. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontixmed at any time prior to the earliest of: (a) five days before sale of the Property pursuant to any power of sale contained in this Security Instrument; (b) such other period as Applicable Law ntight specify for the termination of Borrower's right to reinstate; or (c) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which then would be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenams or agreements; (c) pays all expenses incurred in enforcing this Security Instrument, 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 under this Security Instrument; and (d) takes such action as Lender may reasonably require to assure that Lender's interest in the Property and rights under this Security Instrument, and Borrower's obligation to pay the stuns secured by this Security Instrument, shall contiuue unchanged. Lender nmy require that Borrower pay such reinstatement sums and expenses 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 caslfier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, insmimentality or entity; or (d) Electrotfic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, 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 Grievance. The Note or a partial interest iii the Note (together with this Security Instrumen0 canbe sold one or more tixnes without prior notice to Borrower. A sale nfight result in a change in the entity (known as the "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instrument and performs other mortgage loan serviciug obligations under the Note, this Security Instrutnent, and Applicable Law. There also might be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower will be given writteu notice of the change which will state the.name and address of the new Loan Servicer, the address to which pay~nents should be made aud any other inforxnation RESPA requires in co~mection with a notice of transfer of servicing. If time Note is sold and thereafter the Loan is serviced by a Loan Servicer other than the purchaser of the Note, the inortgage loan servicing obligations to Borrower will re~nain with fl~e Loan Servicer or be transferred to a Successor Loan Servicer and are not assmned by time Note purchaser unless otherwise prOvided by the Note purchaser. Neither Borrower nor Lender nmy conmlence, join, or be joined to any judicial action (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this Security lnstru~nent 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 such alleged breach and afforded the other party hereto a reasonable period after the giving of such notice to take corrective action. If Applicable Law provides a time period which must elapse belbre certain action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and Opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the ~mtice and opportunity to take corrective action provisions of this Section 20. ' 21. Hazardous Substances. As used in this Section 21: '(a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, other flanmaable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Enviromnental Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or enviromnental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or removal action, as defined in Envirorm~ental Law; and (d) an "Environmental Condition" means a condition that can cause, contribute tO, or otherwise trigger an Enviromnental Cleanup. Borrower shall not cause or permit time presence, use, disposal, storage, or release of any Hazardous Substances, or threaten to release any Hazardous Substances, on or in the 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 Enviromnental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a c°ndition that adversely affects'the value of the Property. The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of Hazardous Substances that are generally recognized WYOMING--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/O1 Page 1Oof 12 J~)cMagic ~ w ww. docrnagic, corn \Vy3051 lO.mlg 0898D04 787 to be appropriate to normal residential uses and to maintenance of the Property (including, but not limited to, hazardous substances in consumer products). Borrower shall promptly give Lender written notice of (a) any investigation, claim, demand, lawsuit or other action by any govertm~ental or regulatory agency or private party involving the Property and any Hazardous Substance or Enviromnental Law of which Borrower has actual knowledge, (b) any Envirmm~ental Condition, iucluding but not linfited to, any spilling, leaking, 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 govermnental or regulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance with Enviromnental Law. Nothing herein shall create any obligation on Lender for an Envirmm~ental Cleanup. NON-UNIFORM COVENANTS. Borrower and Lender furdzer covenant and agree.as follows: 22. Acceleration; Remedies; Lender shall give notice to Borrower prior to acceleration following BOrrower's breach of any covenant or agreement in this Security Iustrument (but not prior to accelerntion under Section 18 unless Applicable Law provides otherwise). The notice shall specify: (n) the default; (b) the action required to cure the default; (c) a date, not less than 30 days from the date the notice is given to Borrower, by which the default must be cured; nnd (d) that failure to cure the default on or before the date specified in the notice may result in acceleration of the sums secured by this Security Instrument and sale of the Property. The notice shall further inform Borrower of the right to reinstate after acceleration and the right to bring a court action to assert the non-existence of adefault or nny other defeuse of Borrower to acceleration and sale. If the default is not cured on or before the date specified in the notice, Leuder at its option may require immediate payment in full of all sums secured by this Security Instrument without further demand and may invoke the power of sale and any other remedies permitted by Applicable Law. Lender slinll 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. Ir Lender invokes the power of sale, Lender shall give notice of intent to foreclose to Borrower and to the person in possession of the Property, if different, in accordance with Applicable Law. Lender shall give notice of the sale to Borrower in the manner provided in Sectiou 15. Lender shall publish the notice of sale, and the PrOperty shall be sold in the manner prescribed by Applicable Law. Lender or its designee may purchase the Property at any sale. The proceeds of the sale shall be applied in the following order: (a) to nil expenses of the sale, including, but not limited to, reasonable attorneys' fees; (b) to nil sums secured by this Seem'ity Instrument; and (c) nny excess to the person or persons legally entitled to it. 23. Release. Upon payment of all stuns secured by this Security Instrument, Lender shall release this Security Instrument. Borrower shall pay any recordation costs. Lender amy charge Borrower a fee for releasing this Security Instrument, but only if the fee is paid to a dfird party for services rendered and the charging of the fee is permitted under Applicable Law. 24. Waivers. Borrower releases and waives all rights under and by virtue of the homestead exemptiou laws of Wyoming. WYOMING-Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/01 . Page 11 of 12 DocMagic ~lFolTl~g 800-649-1562 w ww. docmagic, corn Iy305111 .mis BY SIGNING BELOW, Borrower accepts and agrees to the terms and cove]rants contained in tiffs Security Instrument and in any RidLexe~orrower and recorded wifl~ it. (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Borrower Witness: Wimess: ]Space Below This Line For Acknowledgment] State of Wyonfing County of LINCOLN ) The foregoing instrument was acknowledged before me by C. JENKINS tiffs ~:,~¢-~ day of , ~-b~. Wimess my hand and official seal. TEDD B. JENKINS, CHRISTY IDARLENEM. LYTI_-------------~----------E - NOTARY PUBLI~~"~ County 0f ~ State of Lincoln ~ Wyoming ~"No t'ar~ublic / Print or Type Name (Seal) My connnission expires: WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3051 1/O1 Page 12 of 12 DocMagic e~ozru~ aoo-649- t 362 www. docmagic, corn Wy305112.mtg . ' Exhibit A That part of 6he NW~ANE~ of Section 33, T35N, Rll9W, Lincoln County, Wyoming, being part of that tract of record in the Office of the Clerk of Lincoln County in Book 308 of Photostatic Records on page 502, described as follows: BEGINNING at a spike on the north line of said NW~NE~, West, 2159.60 feet, from the northeast corner of said NE~; thence S 00005'00" W, 383.71 feet Eo a point under an exisEing fence line; thence coursing along said fence line as follows: S 89056'48" W, 90.63 feet to a point; N 48°18'51" W, 11.26 feet to a point; N 85018'57" W, 63.96 feet to a point; N 09017'49" W, 81.44 feet to a point; S 88037'49" W, 31.15 feet to a point; N 02018'00" W, 291.69 feet to a spike on the north line of said NW~/~NE~; thence East, 219.34 feet, to the SPIKE OF BEGINNING. Loan Number: 4463287 ADJUSTABLE RATE RIDER (LIBOR Six-Month Index (As Published In The WallStreet Journal) - Rate Caps) THIS ADJUSTABLE RATE RIDER is nmde this 26th dayof APRIL, 2004 , and is incorporated into and shall be deemed to amend and Supplement the Mortgage, Deed of Trust, or Security Deed (the "Security Instrument") of the same date given by the undersigned ("Borrower") to secure Borrower's Adjustable Rate Note (the "Note") to THE PROVIDENT BANK DBA PCFS MORTGAGE RESOURCES, AN OHIO BANKING CORPORATION ("Lender") of the sa~ne date and covering the proPerty described in the Security Instrument and located at: 1413 FREEDOM HIGHWAY 239, FREEDOM, WYOMING 83120 [Property Address] THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT BORROWER'S INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE BORROWER MUST PAY. ADDITIONAL. COVENANTS. In addition to die covenants and agreements made in the Security Instrument, Borrower and Lender furflier covenant and agree as follows: A. INTEREST RATE AND MONTHLY PAYMENT CHANGES The Note provides for an initial interest rate of 7.215 %. The Note provides for changes in the interest rate and the monflfly paymeuts, as follows: 4. INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Change Dates The interest rate l will.pay may change on the 10th dayof MAY, 2006 and on that day every 6 Eh month thereafter. Each date on which my interest rate could change is callerl a "Change Date." (B) The Index Begi~ming with the first Change Date, my interest rate will be based on an Index. The "Index" is the average of interbank offered rates for six month U.S. dollar-denominated deposits in the London market ("LIBOR"), as published in The Wall Street Jout7ial. The most recent Index 'figure available as of d~e first business day of the month inm~ediately preceding the month in which the Chang6 Date occurs is called the "Current Index." If die Index is no longer available, the Note Holder will choose a new index flint is basec~ upon comparable informatiom The Note Holder will give me notice of fllis choice. MULTISTATE ADJUSTABLE RATE RIDER--LIBOR SIX-MONTH INDEX (AS PUBLISHED IN THE WALL STREET JOURNAL) Single Family.-Fannie Mae MODIFIED INSTRUMENT Form 3138 1/01 Page 1 of 3 DocMagic ~L~.~y~ 800-649-1362 ww w. docmagic, corn Us3t 38.rid.l .lem 791 (C) Calculation of Changes Before each Change Date, the Note Holder will calculate my new interest rate by adding FIVE AND 215/1000 percentage points ( 5 . 215 %) to the Current Index. The Note Holder will then round the result of this addition to the uearest one-eighth of one percentage point (0.125 %). Subject to the limits stated in Section 4 (D) below, this rounded amount will be my new interest rate until the next Change Date. The Note Holder will then determine the amount of the monflfly payment that would be sufficient to repay the uupaid principal that I am expected to owe at the Change Date in full on the Maturity Date at my new interest rate in substantially equal payments. The result of this calculation will be the uew amount of my monthly payment. (D) Limits on Interest Rate Changes The interest rate 1 am required to pay at the first Change Date will not be greater than 10.215 % or less than 7.215 %. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than ONE AND 000 / 1000 percentage points ( 1.000 %) from the rate of interest I have been paying for the preceding 6 months. My interest rate.will never be greater than 14. 215 %. My interest rate will never be less than 7. 215 %. (E) Effective Date of Changes My new interest rate will become effective on each Change Date. I will pay the amouut of my new monthly pay~nent beginning on the first monthly payment date after the Change Date until the amount of ~ny monthly payment changes again. (F) Notice of Changes The Note Holder will deliver or mail to me a notice of any changes in my interest rate aud the amount of my monthly payment before the effective date of any change. The notice will include infornmtion required by law to be given to me and also the title and telephone number of a person who will answer any question I may have regarding the notice. Bo TRANSFER OF THE PROPERTY OR A BENEFICIAL INTEREST IN BORROWER Uniform Covenant 18 of the Security Instrmnent is ameuded to read as follows: Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Property" mea~rs any legal or beneficial interest in the Property, including, but not limited to, those beneficial interests transferred in a bond for deed, contract for deed, installment sales contract or escrow agreement, the inteut of which is the transfer of title by Borrower 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 transferred) without Lender's prior written consent, Lender may require immediate payment in full of all sums secured by this Security Instrument. However, dfis option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. Lender also shall not exercise this option if: (a) Borrower causes to be subnfitted to Lender information required by Lender to evaluate the intended transferee as if a new Loan were being made to the trausferee; and (b) Lender reasouably determines that Lender's security will not be impaired by the loan MULTISTATE ADJUSTABLE RATE RIDER--LIBOR SIX-MONTH INDEX (AS PUBLISHED IN THE WALL STREET JOURNAL) Single Family--Fannie Mae MODIFIED INSTRUMENT Form 3138 1/01 Page 2 of 3 DocMagic ~L~,~ 800~649-1362 ww w. docma~lic, corn Us3138.rid.2. tern ~ assumption and that the risk of a breach of any covmmnt or agreement in this Security Instrument is acceptable to Lender. To the extent pemfitted by Applicable Law, Lender may charge a reasonable fee as a condition to Lender's consent to the loan assumption. Leuder also may require the trausferee to sign an assumption agreement that is acceptable to Lender and that obligates the transferee to keep all the promises and agreements made in the Note and in this Security hrstrmnent. Borrower will continue to be obligated under the Note and this Security Instrument mfless Lender releases Borrower in writing. If Lender exercises the option to require innnediate payment in full, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date the uodce is given in accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may invoke any remedies pernfitted by this Security Instrmnent without further notice or demand on Borrower. BY SIGNING BELOW, Borrower accepts and agrees to the terms and cove~mnts contained in this Adjustable Rate Rider. (Seal) /~DD'7~B ~I N~ ~ ~-Borrower (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Borrower MULTISTATE ADJUSTABLE RATE RIDER--LIBOR SIX-MONTH INDEX (AS PUBLISHED IN THE WALL STREET JOURNAL) Single Family--Fannie Mae MODIFIED INSTRUMENT Form 3138 1/01 Page 3 of 3 DocMagic ~L-~.01~.~ 800-649-t362 w ww. docmagic, corn Us3138 .rid, 3. tern