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Home My WebLink About0887 t3orrowe~ und l.ender covenant and aKrer as fulluws: 1. Peyment ot Nrirtcipal and Intereet. Fiorn?wer ehall promptly pay when due Ihe principal o( und intereat un thr indrLtarineaa evide~ced by the Note, prepayment and late charges ae pcovideci in the Note, and the principal of und inlerrat on any Future Advancea ~secured by th~8 Mortgage. 2. F~nde for Taxes aod Inau~artce. Subject to upplicuble luw or to u writtrn waiver by lA ndrr, liorruwrr ahall puy to I.ender un the day munthly installme~ts of principxl and inte~est a~e paynbla unde~ the Nute, until the Note ie paid in full, a eum (hcrrin "h unda") equal to one twelfth of lhe yearly taxea and aaseasmente which may attuin priurity ~ver thie Mortgnge, and ~uund renta un the Property, if any, plus one twelfth of yearly premium inatullmenta iur hazard inautnnce, plus one~twelfth of yearly premium i~stullmrnts for mortgage ineurunce, if any, all as rensunably eatimated initially and from timc to time by l.ender on the baais of assesamentx and billa and rei?sunablr estimutea thereof. The ~nda shall be held in an institution the deposits or accounte of which are inaured or gua~anteed by a Federal or State a~ency (including l.ende~ i[ I.ende~ ia euch an inatitution). I.e~der ehell apply the Funda to pay eaid taxee, usseaaments, inau~ance premiu~ne and ground renta. l.ender may not charge for eo holding and applying the ~nda, analy::ing said account, or verifying and compiling eaid aasesame~ta and biUs, unlesa l.ender pays E3orrowe~ intereat on the Funde and applicable law permits l.ender to make such a charge. F3orruwer and l.ender may agree in writing at the time of exerution of thie Mortgage that intereat un the FLnda ahall be paid to Rorrower, and unleas euch agreeme~t ie made or applicable law requirea such intereat to be paid, l.ende~ ehaU not be required to pay Borrower aay intereat or earninge on the ~nde. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing credite and debits to the Funds and the purpoxe [or which each debit w the Fl?nds was made. The Funda are pledqed as additional eecurity for the sume aecured by this Mortgage. If the amount of ihe Flinds held by I.ender, together with the futurr monthly inatallments of Funda payable prior to the due dates of taxee, asseasmente, ineurance premiume and ground mnta, ahall eacred the amount nquired to pay eaid tuxea, aeaeasmenta, ineurnnce premiuma and ground rents aa they fall due, auch excesa ahall be, at Borrower a uption, either pmmptly repaid to Borrower ur credited to Borrower on monthly instalimente of Funds. If the amount of the Funde held by I.eader ahall not be eutficient to pay ta:es, asaeasmente, insurance premiuma and ground rente as they fall due, Borrower ehall pay to l.ender any amount neceaaary to make up the deficiency within 30 days from the date notice ia mailed bv [.ehder to Boriower requeeting payment thereof. Upon payment in full otall sums eecured by thie Mortgage, I.ender shall promptly refund to Borrower any funde helt~by [.ender. if under paragraph 18 hereof the Pruperty is aold or the Property ie otherwiae acquired by l,ender, I.ender ahall apply, no later than immediately prior to the sale of the Property or ita acquisition by Lender, any ~nda held by [.ender at the time of application ae a credit againet ~e~{?ma eecured by thie Mortgage. 3.•Application of Paymente. LJnleas applicable !uw provides otherwise, all paymenta nreived by Lender under tF~e~Note and paragraphe 1 and 2 hereof ahaU be applied by Lender firxt in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to intercret payable on the Note, then to the principal of the Note, and then to interest and principal on any Futurn Advancea. 4. Charges; [.iens. Rorn,wer shall pay nll t~~xes, :issessments and other chnrges, fines nnd impositions attributable ln the I'roperty which may attain a priority over thislllortgage, and leasehuld payments or gmund renGs, if an~ , in the manner provided under paragraph'l hereof or, if not paid in such manner, b~• Borrower mnking ptiyment, vrhen due, directly to the payee thereof. Borrower xhall promptly furnish to I.ender all notices oi amounts due under this paragtaph. and in the event Borrov?er shall make payment directiy, l3orrower shall promptly furnish to l.ender receipta evidencing such payments. Rorruwer shall promptly discharge un~• lien which has priority o~•er this Mortgage; provided, that Borrower shall not be required to discharge any such lien so long ~~s ~rrower shaU agree in writing to the pnyment of the ubligation secured by such lien in ~ manner acceptnbie to l.ender, or eh:~ll in giwd faith conlest such lien by, or defend enforrement of such lien in, lc~al pruceedings which operate to prevent the enforcement uf the lien or forfeiture of the Property or any part thereot 5. Hazard lnsurance. Borrower ahall keep the improvementa nova existing or hernafter erected on the Property insured against loss by fire, hazards included within the term "extended coveraqe; ' and e~uch other hazards as I.ender may require and in such amounta and for such periods as [.ender may require; provided, that Lender shall not require such coverage amount exceeding the minimum, as may be required by state or federal regulationa governing activitiea of l~ender, or that amount of coverage required to pay the sums aecured by this Aiortgage, ~ whichever ie the greater. E € 'The insnrance carrier providinR the insurance shail be chosen by RorroW er subject to approval b~ Ixnder, provided, that such approval ~ shall not be unceasonably vrithheld. All premiu~ns on insurance policies shall be paid in the manner provided under paraqraph 2 hermf or, if ! not paid in such manner, by Rorrower making payment, when dne, directly to the insurance carrier. ~ All ineurance policiea and renewals thereof ahall be in form acceptable to Lender and shall include s standard mortgage clauae in favor of and in form acceptable to Lender. I.endershall have the right to hold the policies and renewals thereof, and E3orroweT shall promptly furnish to ~ i.ender all renewal notices and all receipts of paid premiume. [n the event of losa, Sorrower shall give prompt notice to the insurance carrier ~ and Lender. Lender may make proof of losa if not made promptly by Borrower. ~ Unleae Lender and Borrower otherwise agree in writing, inaurance proceeda ahall be applied to restoration or repair of the Property damaged, provided such reatoration or repair ia economically feasible and the security of this Mortgage is not thereby impaired. If such ~ restoration or repair is not economically feasible or if the security of this Mortgage would be impaired, the inaurance proceede shall be applied ~ to the auma secured by thie Mortgage, with the exceas, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to ~ respond to Lender within 30 daya from the date notice is mailed by Lender to Borrower that the insurance carrier oPfera to settle a claim for ~ ~ insurance benefite, Lender ie authorized to collect and apply the insurance proceeds at Lender'a option either to restoration or repair of the ~ Property or the sums secured by this Mortgage. Unleas I.ender and Borrower otherwise agree in writing, any such application of proceeds to principal ahall not extend or postpone the due ~ date of the monthly installmenta referred to in paragraphs I and 2 hereof or change lhe amount of auch instalimenta. If under paragraph IS ~ hereof the Property ie acquired by Lender, all right, title and interest of Borrower in and to any ineurance policiea and in and to the proceeda ~ thereof reaulting from damage to Property prior to the sale or acquiaition ehall pass to Lender to the extent of the sums eecured by this Mortgage immediately prior to auch sale or soquieition. < ~ 6. Preservetion and Mainteaance of Property; Leaeeholds; Condominume; Planned Unit Developmente. Borrower shall keep the Property in good mpeir and ahall not commit waate or permit impairment or deterioration of the Property and ahall comply with the ~ pmviaione of any lease if thie Mortgage is on a Ieasehold. If this Mortgage ie on a unit in a condominium or a planned unit development, T Borrower ahall perform all of Borrower's obligations under the declaration or covenanfs creatinRor governing the condominium or planned unit development, the by-laws and regulationa of the condominium or planned unit development, and conetituent documents. If a ~ condominium or planned unit development rider ia executed by Borrower and recorded together with this Mortgage, the oovenants and agreements of such rider shall be incorgorated into and shall amend and supplement the covenants and agreements of thia Mortgage as if the ~ - rider wem a part hereof. 7. Protection ot Lender'e 3ecurity. If Borrower faile to perform the covenante and agreementa rnntained in thie Mortgage, or if any ~ aMion or proceeding ie commenced which materially affecte I.endei a intereat in the Property, including, but not limited to, eminent domain. ~ ~ ineolvency, oode enforcement, or arrangementa or proceedinge involving a banlQUpt or decedent, then Lender at Lendei s option,upon ~ notice to Borrower mey make euch appearances, dieburee auch eums and take such action as ia necxaeary to protect Lender's intereat, - including, but not limited to, diabureement of reseonable attorney's fees and entry upon the Property to make repaire. If Lender required mortgage inewance ae a condition of making the loan secured by thie Mortgage, Borrower ahall pay the premiume required to maintain snch ineurance in effect until euch time as the requirement for euch inaurance terminatee in accordance with Borrower's and Lende~e : written agreement or epplicable Lew. Borrower ahall pay the amount of a11 mortgage inaurance premiume in the manner provided under paragraph 2 hereof. My amounte diebureed by Lender pereuant to this paragraph 7, with intereet thereon. ahall become additional indebtednese of ~ ' Borrower secured by thie Mortgage. Unleas Borrower and Lender agree to other terme of payment, auch amounta ehall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the date of diebutsement at the rate payable from time to time on outstanding principal under the Note unless payment of interest et auch rate would be oontrary to applicable law, in which . event euch amounts ahall bear intereat at the highest rate permiaeible under applicable law. Nothing contained in thie paragraph 7. ehall require Lender W incur any eapenee or take any aMion hernunder. - ;A~, ~~ti SoF.297 ~,,~E g84 . ~ _ _ _ ~ _ r . _ _ = ~