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HomeMy WebLinkAbout0971 Y~-~~4~' AD~USTABLE RATE ~tIDER (Ir.terest Ra~r Limits) , THtS ADJUSTABLE RATE RIDER is made chis ..~1.~.~.. day of ~.F:~KI't\Itl~ 19...~5, and ic incorporated into and shall be damed to am~nd and supplement thr Mortgage, Decd of Trust, or Decd ~o Secure Debt (the "Security instrument") of the same date given by the undersigned (thc "Borrov?er") to cccurc &~rrov?er'~ Adjustable Rate Note to ..FIRS.T .FIAELITY. .S~VIldGS. and. LMN.AS.SOCIATION•,~ •A~ FlARIDA •CORPORAT•I.ON ~ - - • • • ~ • • • • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (the "Lender") of the same date (the "Note") and ~o~ering thc property described in the Security Instument and locat~d at: YX.~C HUNNICUTT AVENUE, PORT ST. LUCIE, FLORIDA 33452 (Property Addrcss] Th• Not~ contains provi:ions allowing for changos in th~ intor~st ~at~ ~v~ry yoor subj~f to th~ iimits stat~d tn th• Note. If th~ int~~ost rat~ iner~a:os, the Borrowor's monthly poym~nts wlil be high~r. If th~ intorost ratQ d~cr~os~s, the Borrower's monthly paym~nt: will be lower. ADDITIOhAL COVENANTS: In addition to the covenants and agreements made in the Security lnstrument, Borrower and Lender further covenant and agree as follow~s: A. INTEREST RATE AND MONTHLY PAYMENT CHANGES The Note provides for an initial interest rate of B~jE ~ 11'~,'0. Section 4 of the Note prov~des for changes in the interes~ rate and the monthly payments, as follows: ~'J~ ''t "4. INTEREST RATE AN1~ MONTHLY PAYMENT CHANGES (A) Change Dptes The interest rate 1 will pay may change on the first day of 19. and on that day every 12th month thereafter. Each date on which my interest rate could change is called a"Change Date." ~ (B) The Index I f Beginning with the first Change Date, my interest rate will be based on an lndex. The "Index" is the weekly a~~erage ~ p yield on United States Treasury securities adjusted to a constant maturity of 1 year. as made available by the Federal ! Reserve Board. The most recent Index figure available as of the date 45 days before each Chang~ Date is called the I "Current Index." ! If the Index is no longer available, the Note Holder will choose a new index which is based upon comparable i information. The Note Holder will give me notice of this choice. ; ~ (C) Calculption of Changes ` Before each Change Date, the hote Holder will calculate my new interest rate by adding percentage points ~ .......~o) to the Current lndex. The Note Holder w~ill then round the result of this addition to the nearest one-eighth ` of one percentage point (0.125%). Subject to the limits stated in Section 4(D) below, this rounded amount will be my new ; interest rate until the next Change Date. i The Note Holder will then determine the amount of the monthly payment that would be sufficient to repay the ~ unpaid principal balance of my loan I am expected to owe on the Change Date in fuU on the maturity date at my new interest rate in substantially equal payments. The result of this calculation will be the new amount of my manthly payment. (D) Limit on Interest Rate Changes The rate of interest I am required to pay shall never be increased on any single Change Date by more than ? one percentage point (1.0%) ? two percentage points (2.0%) /Check onl~~ one boxJ from the rate of interest I have been paying ; for the preceding twelve months. My interest rate also shall never be greater than (E) Etfective Date af Changes My new interest rate will become ~ffective on each Change Date. 1 wiil 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. (F) Notice ot Changes The Note Holder will mail 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 tefephone number of a person who will answer any question I may have rrgarding the notice." B. CHARGES; LIENS Uniform Covenant 4 of the Security Instrument is amended to read as foilows: 4. Charges; Liens. Borrower shall pay a11 taxes, assessments, and other charges, fines and impositions attributable to the Property which may attain a priority over this Security Instrument, and leasehold payments or ground rents, if any, in the manner provided under paragraph 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 shal! promptly furnish to Lender receipts evidencing such payments. Borrower shall'promptly discharge a~y lien which has priority over this Security Instrument; provided ~ that Borrowrr shall not be required to discharge any svch 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 Lender: (b) shall in good faith contest such lien ~ by, or defend against enforcement of such lien in, legal proceedingswhichin theopinion of Lenderoperatetoprevent the enforcement of the lien or forfeiture of the Property or any part thereof; or (c) shall secure from the holder of such lien an agreement in a form satisfactory to Lender subordinating such lien to this Security Instrument. If Ltnder determines that all or any part of the Property is subject to a lien which may attain a priority ovtr this Security lnstrument, 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 tht giving of notice. ~-B~~L 457 ~i.f F~S ~ ADJUSTABIE RATE RIDER Plo~t= A• 4 ond A• 3- 1-1 Fomily- 9/ 83-FNMA Uniform Instrur++~nf Form No A 311 •3 ~ _ ~ - y~5'#i- *R~%~~=v'+~.`' K' ~R a~y~W ~ "1-i ~ ~ ~~',~+.n~~~~,~.:~^..eq.. ~~w£~~~ .