The URL can be used to link to this page

Home My WebLink About0150 Borrower and Leader oovenant and aRree as folbwr ~ 1. P~ment o~ Pr~aclpal and Interea~ Borrower shall pmmptly pay when due the principal of and intereat on the indebtedness evidenoed by the Note, prepeymeat and late cbarBee as provided in the Note, and the principal of and intereat on any Fl~ture Advances secured by thi~ Mott~a~e. • • 2 Ftitade for T~utea and Iasurance. Subject to applicable law or to a written waiver by I.e~der, Borrower shall pay /o l.ender on the day monthly instaAments of principal and intereat are payable under the Note, until the Note is paid in full, a aum (herein "~Lnda") equal to on~ twelfth of the yearly ta:es and asaeesmenta which may attain priority over this Mortgage, and gmuad rents on the Property, if any, plua ono- twetfth of y early pzemFum iastallmenta for hazard inaurance, plua ~nPtwelRh oiyearl~r premium installmenta for mortgege inaurance. if any, all es reasonably estimated initially and from time to time by I.ender on the basia of aaseasments and bills and reasonable estimates thereof. The F~nds ~hall be held in an institution the deposits or aocounte of which are insured or guaranteed by a Federal or State agency (includiag Lender if Lender ia such an inaLitution). Lender ahaU apply the ~nds to pay eaid taxea, aseeeaments, inaurance premiume and grouad rente. I.end~ ma}r not charge for ao holding and applying the ~?nds, analyaing said accoun~ or verifying and compiling said aesesamenta and bills, ualesa I.endes paya Bonower interest on the Ftinda and applicable law permite I.ender to make auch a charge. Borrower and Leadu may agtee ia writi~e at the time of execution of thu Mortgage that intereat on the Fl?nds ehaq be paid to Borrower, and unleas euch ~nant is made or applicable law requiree auch interest to be paid. [.ender shall aot be required to pay Borrower any intereat or earnings on the I~nds. Lender shaU give to Borrower; without charge, an annual accounting of the ~nda ahowing credite and debits to the Funds aad the purpoee for which each debit to the fl~nda was made. The Funds are pledged as additional eecurity for the sums eecured by thia Mortgage. - . If the amouat of the l~nds held by Lender, together with the future monthly inatallments of Funds payable prior to the due datee of tauea, asaeeamenta. inaurance premiume and ground rents, ehall ~czed the amount required to paq aaid taxes. aBeeaements, ineurance premiume t and ground reats as they fall due. such ~oess shall be. at Borrowei e option, either promptly repaid 6o i3orrower or credited to Borrower on ~ monthly insteUments of flinde. if the amo~wt of the Funda held by Lender shall not be sufficient to pay la:es. seeeesmenta, insurance premiuans and grouad nnta ee they fali due, Borrower ahall pay to I.ender any amount neceasary to make up the deficiency within 30 days from the date notice is mailed bY I.ender to Borrower requeating payment thereof. Upon paymant ia full of all sume aecund by this Mortgage, Lender shall promptly refund to Borrower any funda held by Lender. If under paragraph 18 hrreof the Property is sold or the Property ie otherwise acquired by L.ender, Lender ahall apply. no later than immed'.ately prior to the sale of the Property or ita aoquiaition by Lender, any flinda held by Lepd~er at the tune a~app~ic~tio~ as a credit againat the sums secured by this Mor~gage. • . , • . 3. Appl~catioa oi P4~rmeats. Unleae appiicabk law provides othesw+iee, all p~ya~nts rr~.~eiv.~d.by Lender under tfie Idate and paragrapha 1 and 2 herEOf ahall be applied by Lender firet in paymen! of amounta payeble to I.ender hy Borrower under paragraph ~2 hereof, ; then to interest payable on the Note. then to the ~incipal of the Note, ar~~ then to iqtetes~ and principal on any ~ture Advancea. : 4. Charges; Liens. Borrower shall pay all ta:ea, aseessments a~d other ~harges, fines ~ed impo'sitions attributable to the Property which may attain a priority over this Mortgage, and leaeehold paymenta or groundl'~iidt, fiiany; i~'t1fl~dfnl~~er p~ovided undpr pareg;aph 2 hereof or, if not paid in such menner. by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to I.ender 3 s all noticea of amounta due under thie paragraph, and in the event Borrower shall make payment directly. Borrower shall promptly furnish to L;ender receipte evidencing such paymente. Borrower ehall promptly diacharge any lien which has priority over this btortgage; provided, that Aorrower shall not be required to discharge any such lien s4long as Borrower ahall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to Lender, or ahall in good faith rnntest such lien by, ar defend enforcement ef such lien in, legal proceedings which op~ate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. 5. Hasard In.arance. Borrower ahall teep the impmvemenle now e:ieting or hereafter er~cted on the Property ineured against losa by fire, hazards included within the term "r~tended wv~age," and anch other hazerda aa I~der may reqnire and in auch amounts and for such periods as I.ender may require; pmvided, that Lender ehall not require auch mverege amount e:ceeding the minimum, as may be required by atate or federal regulatione governing activitiea of I.ender, or that amount of coverage required to pay the sums secured by this Mortgage, ~ , whiche~er is the ge+eater. ~ The inanrance carrier providing the inaurance ahali be chose~ by Borrower subject to approval by Lender, provided, that auch approval shall not be unreasonably withheld. All premiutns on insurance policies sha11 be paid in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, dirertly to the inaurance carrier. • All inaurance policiee and reaewala thereof shall be in form acceptable to Lender and ahall inctade a atandard mortgage clause in favor of and in form acceptable to Lender. Lender ehall have the right to hold the policiee and renewala thereof, and Borrower ahall promptly fnrnish to ~ i.endez all renewal notioes and all receipts of paid premiums. In the event of loea. Borrower ahall give prompt notice to the insurance carrier ~ and Lender_ Lender may maice proof ot laea if noL made prompdy by Botrower. ~ Unless I.ender and Borrower otherwiee agree in writin6, inaurance prooeede ehall be applied to restoration or repair of Lhe Property ! damaged, provided such restoration or repair is economically feaeible aad the eecurity of thia Mortgage is not thereby impaired. If such ; reatoration or rtpair ia not economically feasible or if the eecurity of this Mortgage would be impaired, We inaurance proceeda ahall be applied ( to the anms secured by this Mortgage. with the e~cese, if anY. Paid to Borrower. If the Property is abandoned by Borrower, or if Borrovrer faila to ~ reapond to Lender within 30 days from the date notice ia mailed by Lender to Borrower that the inaurance carrier offere to setde a claim for :neurance benefita, I.ender is authorized to collect and apply the inaurance proceeda at Lender s option either to restoration or repair of the , Property or the suma secwred by this Mortgage. Unless Lender and Borrower otherwise agree in writing, any auch application of proceeds to principal ehall not eztend or postpone the due date of the monthly inatallmenta refeired to ia paragrapha 1 and 2 hereof or change the amonnt of such inetaUmenta. If nnder paragraph 18 • hereof We Property is aoquired by Lender. all right, title and interest of Borrower in and to any inaurance policiee and in and to the proceeda thereof resulting irom damage to Property prior to the eale or acquisition ahall paes to Lender to the ~tent of the auma eerured by thie Mortgage immediately prior to snch eale or aoquisition. 6. Preservatlon end Maintenaace of Property; Leaseholds; CODdOIDIA{In1B~ Pianned Unit Developmente. Borrower ahall keep the Property in good repair and ahall not commit waste or permit uapairment or deterioration of the Property and ahall oomply with the proviaiona of any leaee if thia Mortgage ia on s leaeehold. If thie Mortgage is on a nnit in a oondominium or a planned unit development, Borrower shall perEorm all of Borrower's obligatione under the declaration or oovenante creatinBor goveming the condomini~un or planned i unit development, the by-laws and regulationa of the condominium or planned unit development, and oonstituent docamente. If a condomininan or planned nnit development rider is e:ecuted by Borrower and recorded together with this Mortgage, the oovenanta and dgreement8 of anch rider shall be incorporated into and ahall amend and supplement the covenanta and agreemente of this I~lortgage as if the ~ider were a part hereof. ~ 7. Protection of Lender's Security. If Borrower faile to perform the oovensnts and agreements oontained in this Mortgage. or if any action or prooeeding ia oommenced which materiaUy affects Lender's interw~t in the Property. including. but not limited to. emineat domain. ~ ~ insolvency, c~ode eaforcemeat~ or arrangements or procreedings invoiving a banlm~pt or deoede~nk tlsen Lender at Lendez's option,npon ~ notioe to Bormwer may make snch appearanoes, diabarie auch snms and teke snch action as is neoessary to proteet I.ender'a interest, i ~ inclnding. but not limited to, diibarsemeat of reasonable attorney's fees and entry upon the Property to make repaits. If Lender reqnired ~ mortgage insnrance as a condition oi mating the loan secured by this Mortgage, Borrower shall pay the premiume reqaired to maintain snch insnr~woe in effect nntil such time as the requirement for snch ineiuance terminates in eooordance with Borrewer's aad Lendds F written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under ~ paragraph 2 het~eof. ~ Any saaants disbuned by Lender perseant to this paragreph 7, with interest thaeon, shall beoome additional indebtedness of Borroarer secvred by this Mortgage. Unlas Borroarer and L.ender egree to ofber terms of payment, ~IIch amounes shall be payabk upoa - not~ce from I.enda to Borrower requeatiag payment thereof, and ~hall bear interest feom the date of disbursement at the rate payable from time to time on outstanding principal under the Note unlese payment of interest at such rate waild be aontrary to applicable law, in which event such amounts shall bear in~t at the highest rate permiasible under applicable law. Nothing oontained in thi~ paragraph ahall reqnire Leader to incur any espenee or take any action hereunder. - 6~~~288 tA~: 150 - ~ ~ } . _ _ . - - ~z~:F r~ - -