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HomeMy WebLinkAbout0372 y _ - m D. Mortgagor covenants and agrees not to exercise any right or privilege of prepayment of-the First Mortgage and further convenants and agrees not to enter into any agreements with the holder of the First Mortgage modifying or amending any of the provisions dealing with payment of principal and interest thereunder without the prior written consent of mortgagee thereto. a E. Mortgagor agrees to pay to mortgagee any sums required- to be paid to the holder~of the First Mortgage (other than payments of principal and interest under said mortgage) at least three (3) days prior to the last day under said mortgage that such payments may be made without constituting a default thereunder and mortgagee agrees to promptly remit such sums so paid to mortgagee by mortgagor to the holder of the First Mortgage in payment of such sums due under such mortgage. F. In the event the unpaid principal balance of the First Mortgage is reduced by the holder of-said mortgage applying insurance --proceeds - in reduction thereof -or -by -prepayments- made - by mortgagor with the prior written consent of mortgagee so - that mortgagee's obligations hereunder to pay to the holder of the First Mortgage, the unpaid principal balance of said mortgage as hereinbefore provided is similarly reduced, then and in such event, mortgagee agrees that mortgagor's obligations to pay the total indebtedness to mortgagee hereunder, shall be likewise reduced by an equivalent amount; such equivalent amount to be deducted from the final payment to be made by mortgagor to mortgagee hereunder, in the inverse order of their-due date. w G. ~If the mortgagee shall default in making a required payment of principal and/or interest under either or both of the First Mortgage, the mortgagor shall have the right to advance the funds necessary to cure such default and all funds so advanced by mortgagor together with interest thereon at the rate of ten (10$)per cent per annum shall be credited against the next installment(s) of interest-and principal due under the note secured by this mortgage. ~ h. Mortgagor and mortgagee agree to promptly send to the other copies of any notices received by them from the holder of the First Mortgage. In addition, mortgagee agrees to send to' mortgagor at the .time mortgagee makes each payment provided hereof, to be made by mortgagee to such holder of the First Mortgagor,an advice that each such payment has been made (a copy of Mortgagee's transmittal letter, if any, will suffice). I. Notwithstanding any provision to the contrary contained herein,~interest shall not be payable by the mortgagee upon any sums deposited with/or held in trust by the mortgagee pursuant to any provision hereof. - J. Mortgagor shall have the right to prepay the whole or any part of the unpaid-balance of the indebtedness hereunder at any time without penalty. however, it is agreed between the Mortgagor and the Mortgagee that any prepayment shall be first applied to the payment of~the First Note and First Mortgage. Any prepayment shall be applied to the interest accrued to the date of prepayment and then to the principal indebtedness. Any prepayment being applied to the principal shall be directly paid for principal reduction of the First Mortgage and First Note and any amounts over and above the principal indebtedness of the First Mortgage and the First Note shall be paid over to the Mortgagee hereunder. -2- e 8~KJ16 Pl,6E J~