HomeMy WebLinkAbout0932 CONVERTIBLE ARM RlDER
(INTEREST RATE LIMITS)
THIS CONVERTIBLE ARM RIDER is made this ST....... day of ...AUGUST...... . ,~q $4 ,
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 ~y the undersigned (tne `Barrower") to se~:ure Borrower's
Adjustabie Rate Note (the "Note'1 to HARBOR FEDERAL SAVINGS AND LOAN ASSOCIATION (the "Lender'~ of
the same date and cavering the property described in the Security Inslrume~t and localed at:
ASTER ROAD PORT ST L_UCIE. FL. 33452
IPropertv Addressl
The Note contains provisions allowing for changes in the interest rate. If the interest rate
increases, the Bonower's monthly payments will be higher. If the interest rate decreases,
the Borrowe~'s monthiy payments will be lowec On the first Change Date, Borrower may
convert the adjustable rate loan into a fixed rate, level payment, fully amortizing loan.
ADDITInN.~L Cc)vE~A'~Ti. In acldilion [o the ~~~~enan[ and agreement, made in the Seiurit~~ Imtrum~n[, Borro~~er and
Lender further covenant and agree as tollu~~,:
A. ItiTEREST RATF. AtiD MOtiTHI.~' P:A1'~1H:\T ('NAti(;F:ti
The Note provides for an initial intere~t rate of .........1..1..~SQQ Sr~ci~~n -i ~~f the ~c~t~ {~ru~id~~ fur changes in
the interest rate and the monthly pa}~ment~, a, fuil~~~~.;
4. /:~`TFRf::ST R.a TE .-1.~7) 1 fO.\ Tll/. /'.-I I' 1//~: ~ T ( /I -1 ~ .S
(4) ChanKe Uates
The interest rate I tiill pa~~ may~ rh ~~e on th~ ..............~.ST.. Ja~ ~~t SEPTEMBER. ty........8~?, and on
that day of the month e~er} ...........................iTiuntt~, thrrrc~ttrr l u.~i ~latz~ ~,n ~~hi~h m~ int~r~~t rate :u~ild ~hange i~
called a "Change Date."
(B) The Index
Beginning with the fir~t Change I~a~e, m~ int~re,t ra(~ ~~ill h~ h:,~~~f un ,,n ••In~lc~." Th~ lncie~ i. th<<~eekh~ a~erage ~
' yield on United States Treasur~~;ecuritie. acliu,t~d t~, a:~~n,caitii rnatunt~ ~,f ...~~u` ~<ar.. a~ ?nade a~ailahle
by the Federal Reser~e Board. The mo~t re~ent In~le~ fitiure a~ailahl~ a. ut -1~ cl,i~, het~~re ~a~h ( hani~ I)a~e i; ~alled the
i "Current Index."
If the index is no longer a:ailabl~, tne `~~t~• liul~ier ~+ill .1i~~~,.t• ;i nr~~ in;ir~ ~+hi~t; i. ha,~~i ur<~n ~umpara6fe
! information: The Note Hoider ~cill ei~e n~e n~~tic< <~t it. ~h:~i,r.
f `
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; (C) Calculation of Chan~es
:
` q~~' TWO AND .
r q~P g~h Change Date. ihe ti~~Ie Hul~~r ~~il! ~a~~uf,:i~~tl Ot~~~~ int~r~,l r:tt~ h~ ,iel~lin~
~ UD / 1 ~U ~ -
P:'f~CRl~I~~~ ~lc)itl(, (.......................°v) i~~ (ti~ C tirr.tii ~ilu~\. 1 t:C ~U117 N1~~ 11C 111~
~ new interest rate.
s The Note Holder «ill then detcrri~ine th~ amui~nt e~f thr munthl~ F~a~m~nt that ~+uui~f h~ .uffi~i~nt tu re~a~ in (ull
~ the principal 1 am e~pected to o«~e on the Change Uate in ,uh,tanti~il~ ryual ~a~ment` b~ th~ maturit~ ciat~ at m~ ne«
interest rate. The result of this ralcufation ~~ill he the ne~~ a?nc~un~ .~t m~ num?hl~ ~ayment.
~ ,
(D) Limits Oa Intenst Rate Changes
~ T~eQrate of interest I am requ ~ed to pay shall never be increased or decreased on any single Change Date by more
~ than............percentage points(............%) from the rate of interest I have been paying for the preceding......?.~......months.
e My interest rate also shall never increase or decrease more than...F 1 VE_Percentage points(......5....%) from the interest
x
rate established in paragraph A. of this instrument.
~ (E) Eeffective Date of Chsnges
~
~
~ty new~ interest rate will become effecti~e os~ earh Chan~e Uatc. !~+ill ~ac the I1iTlOUII[ rT~. ne~. rn<~nthl~~ pa~ment
beginning on the tirtit montiily ~a~~ment datc after the Change [)atr until the ame~iini ol m} rn~~nthlti ~~a~ment ~hanYe~
again.
~ Notice of Changes ~ ~
Thc tiote H~~lcler ~~ill r~iail t~r ~1~li~~r te, m~ n~~~i~r h.t„r< <.~~h ( h.tn~~~~ [)at,. -i h~ n~~~~.~ ~~ill a~l~i,r me ;~f:
(i) !hc nr~~ in~err;t rate i~n m~ l~~an a~ ~,t ;he ( han~e I)at~: ~
fi!) the amc~unt ~~f m~ mcinthf~ G~a}rn~nt i~,llu~~in~ th~ ( han_~~ t)~if~;
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~ liiil asi~ a~l~iiti~~n~l matt~r, :+hi~h ~Ilr ~ute flol~l~r i~ recauirc.l t~.+ ~ii~,:l~,,~~: a~~ii
li~? the titlc anJ ;~I~~~t~~~,~t• n;itnhcr ~~1 a n~r.un ~~h„ .~ill .tn.~~~r .in~ yi~~~ti~~~i I ni:i~ h,i~~ r~~•,irtili~~r tt~, n~~ti~~.
CONVERTlBLE ARM LUAN - = ~
r'~ ~4•J Y~GE tJ~J~
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LN #4AMGC
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