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HomeMy WebLinkAbout0982 ~ balance as of the lnterest Change Date in ful! on the maturity date at my ntw nte of inlutst ip substantially equal payments. The rr~ult of this raiculation is my new Ful) Payment Amount. , Each new rate of interest wiil bea:ome efle~:tive on each lnterest Change Date. and each new Ful) Payment Amount will bc~:ome efi'ec:tive on the first monthly payment date after the Interest Change Date. (B) Required Full Paynteat Amount 1 will pay the Full Yayme~t Amount as my monthly payment beginning with my 61st monthly payment if my new rate of interest is equal to or Icxs than the Initial Rate of Interest or if I da not choose to limit the amount of my monthiy payment as Rermittrd by Sec~ion 6(A) below. Even if 1 choose ta limit my monthly payment, 1 wil) pay the Full Payment Amount beginning with my 121st monthly payment. S. GRADUATED biONTHLY PAYAIENTS 1-b0 My first 12 monthly payments will each be in the amount of U.S. 5279-.b6 on each o~ the first four anniversaries of the date my first monthly payment is due, I wil! begin paying a new monthly paymEnt which will be equal to the amount I have been paying m~ltiplied by the number 1.075. I will pay the new amount of my ! monthly payment until it changes in accordance with this Section S or Se~tions 6 or 7 below. , 6. BORROWER'S RIGNT TO LIMIT AMOUNT OF MONTHLY PAYAIENTS b1-120 ~ (A) Calculation of Graduated Monthly Ppyment Amount I If my new rate of interest at the first lnterest Change Date is greater than the Initial Rate of Interest. 1 may choose to ; limit the amount of my new monthly payment. If I do so, on each of the Sth through 9th anniversaries of the date my first ~ monthly payment is due, 1 will begin paying a new monthly payment which will be equal to the amount I have been paying ~ multip6ed by the number 1.075. Even if I have chosen to limit my monthly payment, Sections 6(B) or 6(C) below may reyuire me to pay a diH'erent amount. 1 will give the Note Holder notice that 1 have chosen to limit my monthly payments at least 1 S days before my 61st monthly payment is due. (B) Reduced Monthly Paymeat Amount My 73rd, 85th, 97th or 109th graduated monthly payment calculated under Section 6(A) above could be greater than the amount of a monthly payment which then would be sufficient to repay my unpaid principal balance in full on the maturity date at my current rate of interest in substantially equal payments. If so. I will instead then begin paying a new monthly payment, which will be equal to the lower amount, until my 121st monthly payment when I will begin paying my new Full Payment Amount. tC7 Increased Mont6ly Psyment Amount My paying a monthly payment calculated under Section e(A) above could cause my unpaid principal balance to i exceed the limit stated in Section 8(B) below_ If so. on the date that my paying a monthly payment would cause me to exceed that limit, I will instead begin paying a new monthly payment unti) my 121st monthly payment when I will begin paying my new Full Payment Amount. This new monthly payment will be in an amount which would be sufT'icient to repay my then unpaid principal balance in full on the maturity date at my current rate of interest in substantiaUy equal payments. 7. 1~iONTHLY PAYMENT 121 AND REMAINING PAYMENTS Beginning with my 121st monthly payment, I wiU pay the Full Payment Amount as my monthly payment. 8. INCREASES IN THE PRINCIPAL AMOUNT TO BE PAID ~ (A) Additions to My Unpaid Principal Bslance I Each of my first 120 monthly payments could be less than the amount of the interest portion of a monthly payment I which then would be sufficient to repay my unpaid principal balance in full on the maturity date at my current rate of interest in substantially equal payments. If so, each month that the arr~ount of my monthly payment is less than the interest i portion, the Note Holder will su'btract the amount of my monthly payment from the amount of the interest portion and ~ will add the diff'erence to my unpaid principal balance. The Note Holder will also add interest on the amount of this diflerence to my unpaid principel balance each month. The rate of interest on the interest added to principal will be the rate E required by Sections 2 or 4(A) above. ~ ~ (B) Limit on Unpaid Principal Balance ~ My unpaid principal balance can never exceed a maximum amount equal to one hundred twenty-five percent (125%) ~ ! of the principal amount I originally borrowed. 0 ~ 9. NOTICE OF CHANGES . ~ The Note Holder will rnail or deliver to me a notice of any changes in the amount of my monthly payment before the effective date of any change. The notice will include information required by law to be given me and also the title and E telephone number of a person who will answer any question I may have regarding the notice.' ~ B. CHARGES; LIENS ~ Uniform Covenant 4 of the Security Instrument is amended to read as follows: ~ 4. Charges; Liens. Borrower shall pay all taxes, assessments, and other charges. fines and impositions attributable to the t Fropeny which may attain a priority over this Security Instrument, and leasehold payments or ground rents, if any, in the ~ manner provided under paragcaph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shalf promptly furnish to Lender receipts evidencing such payments. BorroweF shall promptly discharge any lien which has priority over this Security Instrument; provided, that Borrower shall not be required to dixharge any such lien so long as Borrower: (a) shall agree in writing to the , payment of the obligation secured by such lien in a manner acceptable to I.ender; (b) shall in good faith contest such lien by, or defend against enforcement of such lien in, legal proceedings which in the opinion of I.ender operate to prevent the enforcement of the fien or forfeit~re of the Property or any part thereof; or (c) shal! secure from the holder of such lien an agreement in a form satisfactory to Lender subordinating such lien to this Security Instrument. If I,ender determines that all or any part of the Property is subject to a lien which may attain a priority over this Security , ~ Instrument, Lender shall send Borrower notice identifying such lien. Borrower shall satisfy such lien or take one or more of ~ the actions set forth above within ten days of the giving of notice. ~ c. NOTICF R~-~ecor~ ~,»K 407 pacE 9`~`~ - 4Q2 ~a~ti 2673 Uniform Covenant 14 of the Security Instrument is amended to read as follows: 14: Notiee. Except tor any notice requirzcl under applicable law to be given in anothtr manner, (a) any notice to Borrower provided for in•this Security Instrument shall be given by delivering it or by mailing it by first class mail : . _ ~ .,w ¢F-~ . _ . _ _ _ • - - -