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HomeMy WebLinkAbout0982 22081093 - JT . • ' ~ ~ ADJUSTABLE RA'TE MOR'1~AGE RIDER NOrI'ICE: THE SECURITY INSTRUMENT SECURES A NOrI'E WHICH CONTAINS A PROVISION ALIAWING FOR CHANGFS DV THE INTEREST RATE. INCREASFS IN THE INTERCSf RATE WILL RFSULT IN HIGHER PAYMENIS. DECREASES IN THB INTERST RATE WII.L RESULT IN I~UWEIt PAYMENI'S. . This ride~ is madc this ........22nd......... day of ..................Jutte.................................... 19...84...... and is incorporated into and shall be deemod and suppkment the Mortgage, Dead of 'Il~ust, or Deed w Secure Debt (the "Securiry lnstrument") of the same date given by the undersignod (the "BorraNrer") to secuce Borrawer's Note to First Cltizens I~deral Savings and I.oan Associatloa (the "Lender") of the sarne date (the "Note") and coverin8 ~ P~~Y describod in the Securiry Instrument and located at ....~42$..Ui.Ck~A~.,St~C~~ta..F.t....~~.~x~~,.. ~~:~~~4 ~P~~Y Address ~ Modifkatlons. In addition to the cavenants and agreements made in the Securiry Instrument, Borr+o~uver and l.ender fur ther con?~nant and agree as follaws: ' A. INTERFST RATE AND 11RONTHLY PAYMENT CHANGES The No~e pravides for an iaitial interest rate of ~Q.~4....96. Section 4 of the note pravides for changes in the intettst rate and the monthly payments, as follaws: ~ 0. RATE AND MONTHLY PAYMENT CHANGES ~ (A) Change Dates ~ The intcrest rate I will pay may change on the day of ......J~Y ~19..85.... and on that day of the month every months thereafter. Each date on which my inter+est rate could change is called a ••Change Date:' (B) The Index Beginning with the ficst Change Date, my interest rate will be based on an "Index" The Index is the weekly average ~ yield on United States Treasury securities adjusted to a constant maturiry of .....4A@.......... years; as made available by , the Federal Reserve Board. The most recent Index figure available as d45 days befone each Change Date is called the "Cur- rent Index:' ~ - • If the index is no longer available, the Note Holder will choose a new index which is based upon comparable informa- tion. The Note Holder will giv~e me notice of its choice. ~ ~ i (C7 Calculation of C6anges . ~ Before each Change Date, the Note Holder will calculate my new interest rate by adding 75....... per~centage i . I ~ points z~ ~ 5..... 96~ to the Current_ Index. The Note Holder will then round the result of this addition to the nearest one-eighth of one percentage point (0.125%). This rounded amount will be my new interest rate until the next Interest Change ! Date. The interest rate adjustment may be in the form of a rate increase or a rate decrease. My first interest rate adjustment ~ will be limited w.. 2..0..........96. My interest rate adjustments thereafter will be limited to .1•0...........96. Over the term of my loan, my interest rate will never exceed .~~.50 ' The Note Holder will then determine the amount of the monthly payment that w~ould be sufficient to repay in full the principal I am expected to awe on the Change Date in substantially equal payments by the maturity date at my new interest ~ rate. The result of this calculation wilT be the new amount of my monthly payment. ~ N) Effective Date of Chaages My new interest rate will become effective on each Change Date. I will pay the amount of my new monthly payment beginning on the first monthly payment date after the Change Date until the amount of my monthly payment changes again. ~ ~ -=t , + ~ GP HOME ADJUSTABLE RA'f'E 11iOR7'GAiGE RIDER - ffREASURY INDEX - 3iSa) ~ ~ n2~? ~ ~ ~o~ 43fi ~~~F 983 ~ ~ p, .~,i yyi:"~~"...z- , ,..a.. ;f~,3_: 'Y" - z-.. • . . ~ ~ _ . ~ . ' - > . . c ,