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HomeMy WebLinkAbout0938 ADDENDUM N0, 1 TO GRADUATED PAYMENT RATE RIDER pSI.-2-2000 , (WITH INTEREST RATE CttANGES EVERY S YEARS) The following provision is hereby incorporated and otherwise made a part of that certain Graduated Payment Rider (with interest rate changes every 5 years) of the same date given by the undersigned (the "Borrower") to secure Borrower's Graduated Payment Note (with interest rate changes every S years): (C) INCREASES IN UNPAID PRINCIPAL BALA,vCE TU BE SECURED. Borrower and Lender recognize that because of the operation and effect of the provisions of Sections 4, 6 and 8 of the Note as set forth in Sectians 4, 5, 6 and 8 of this Rider (the "Interest ' Capitalization Provisions"), the unpaid principal t?alance of the loan evidenced by the Note may exceed the original indebtedness of $ 41.800.00 referred ta on page one of the Security In- strument. Borrower and Lender agree that this Security Instrument is given not only to secure the payment of the original indebtedness ; evidenced by the ~Iote and the other matters referred to on page one of ~ the Security Instrument, but also to secure any increases in snch principal balance arisi.ng by the effect of the Interest Capitalization Provisions. Borrower and Lender agree that the sums which become outstanding unpaid and owing because of the effect of the Interest Capitalization Pro- visions and become a part of the unpaid principal balance are in effect and are deemed to be future advances of principal from Lender to Borrower and as such are secured by the lien of the Security Instrument as if such sums were advanced from Lender to Borrower on the date of the execution hereof. At na time shall the total outstanding unpaid principal balance o£ the loan exceed 125~ of the original principal amount of the Note. It is the in- tent of the Borrower and Lender that the sums which become outstanding, unpaid and owing because of the effect o£ the Interest Capitalization Provisions are deemed to be "future advances" as provided in Section 697.04, Flarida Statutes (1981) and be and are secured by the lien of the Security Instru- ment as of the date of the execution hereof as set forth in such statute. 612'7~76 ~ ~c,~~~.~ ~ (sEai) ~ ~~t~ 2~ C~` WILLIAAI R. 9~iITfi Borrower =~~E C ; ' , ,~~d C~- b~~ar.~'~ (SEAL) 5•. "UC~~ ~}C~ L~ IAIS C. S~fI'I~-I Borrower f;~c3:.~. = t:~, GtEF.K C~^CL't~ _ ` . ~ ~QO~ 404 PAGE s~s ~ - -