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RENEGOTIABLE RATE MORTGAGE RIDER
NOTICE: THE SECURITY INSTRUMBNT SECURES
CONTAINS A PROVISION ALLOWING FOR CHANGES
RATE. INCREASES IN THE INTEREST RATE MAY
PAYMENTS. DECREASES IN THE INTEREST RATE
LOWER PAYMENTS.
A RRM NOTE NHICH
IN THE INTEREST
RESULT IN HIGHER
WILL RESULT IN
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This Renegotiable Rate Mortgage ("RRM") is made this22nd day
of December , 19 80 , and is incorporated into and shall be
deemed to amend and supplement the Mortgage, Deed of Trust, or Deed
to Secure Debt (the "Security Instrument") of the same date given by
the undersigned (the "Borrower") to secure Borrower's RRM Note to
INDIAN RIVER FEDERAL SAVINGS AND LOAN ASSOCIATION (the "Lender") of
the same date (the "Note") and covering the property~described in
the Security Instrument and located at4901 Paleo Pilles CirCle, .
Ft. Pierce, Florida 33450 Property Address
RRM Modifications. In addition to the covenants and agreements
made in the Security Instrument, Borrower and Lender further covenant
and agree as follows:
A. INTEREST RATE AND MONTHLY PAYMENT CHANGES
The Note provides for an "Ini~ti''d2 "'re'tet~'8`t' 1Cate" which may
be increased or decreased on each Cha~}~ rD ~te; as described in the
Note. Changes in the interest rate aYe' g~e~~ie~ by ctiaitges in the
"Contract Interest Rate, Purchase of Previously Occupied Homes,
National Average for all Major Types of Lenders" made available by
the_ Federal Home Loan Bank Board (the "Index"). The rate of in-
terest cannot be changed to more than five percentage points hig~er
or lower than the Initial Interes[ Rate.
If the rate of interest changes, the amount of the Bor-
rower's monthly payments may change as provided in the Note. In-
creases in the interest rate may result in higher payments. De-
creases in the interest rate will result in lower payments.
The amount of the monthly payments will always be suffi-
cient to repay the loan in full in substantially equal payments by
the final payment date.
B. LOAN CHARGES .
It could be that a law which applies to the loan secured
by the Security Instrument and which sets maximum loan charges would
be interpreted so that the interest or other loan charges collected
or to be collected in connection with the loan would exceed the per-
mitted limits. If this is the case, 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 limits will be refunded to
Borrower. Lender may choose to make this refund by reducing the
principal owed under the Note or by making a direct payment to
Borrower.
C. PROTECTION OF LIEN SUPERIORITY
Any claim,demand or charge that is made against property
in connection with an obligation that has not been fulfilled is
known as a"lien". $orrower will promptly pay or satisfy all liens
against the Property that may be superior to all or part of the
lien of this Security Instrument. However, this Security Instru-
ment does not require Borrower to satisfy a superior lien if (A)
Borrower agrees, in writing, to pay the obligation which gives rise
to the superior lien and the Lender approves the way in which the
Borrower agrees to pay that obligation; or (B) Borrower, in good
faith, argues or defends against the superior lien in a lawsuit so
that, during the lawsuit, the superior lien may not be enforced
and no part of the Property must be given up; or (C) Borrower
secures from the person who holds the superfor lien a written agree-
ment, approved by Lender, that the lien is inferior to the lien of
this Security Instrument.
If Lender concludes that all or a part of the sums secured
by this Security Agreement are subject to a lien that may be a
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