HomeMy WebLinkAbout0993 form in the form that the Note Tiolder will reqvire, alorg with a
fee of 5250.00 to cov~er tt~e cost oi processir~g ny request to
convert. If the Note Holder determines that I do not meet the
corxlitions required to oonv~ert tn a fixed interest rate loan as
set forth in Section S(A~ above, then the Note Holder will be
entitled to r~tain that portion of the 5250.00 tee which is, in
tt~e Note Eblder's discretion, necessary to cov~er tt~e oosts of
processing the oonversion request. It the Note I~blder
determines that I do meet the oor~ditions required to vonvert to
a fixed interest rate loan as set forth in Sectioct 5 4~U above,
then I wili be required to (i) sign ar~d deliver to tt~e Note
Holder on or prior to the EEfective Cbnversion Date a doctunent
in any form that the Note Holder may requira char~girg the te=ms
of the Note as necessary to g ive effect to 'the oonversion, and
( i i) pay to the Note Holder an am~unt equal to one percent (lt)
. of the outst.andirg prir~cipal balar~e of my laan on the Effective
Conversion Date. Zhe 5250.00 fee paid to the Note Holder at the
time of requestirg conversion into a Lixed interest loan will
then be applied to the costs of processir~g ny conversion request
and convertir~g tt~e adjustable rate loan evider~ed by this Note
into a fixed interest loan, ir~cludir~g, but nat limited to,
attorneys' fees for preparation ar~d/or review of th~e document
evider~ci~ modification of the Note ar~d all other documents to
be ~cecuted in connection with modification of the loan.
(C) My Fixed Rate of Interest ar~d Monthly payments
If I ct~oose to convert to a fixed interest rate, tt~e Note Iiolder
will set the ~ixed rate of interest that I will pay at a rate
equal to the sum of (i) the Federal National Mortgage
Association's Aequired Net Yield for 30-day mandatory delivery
of 30 year, fixed rate mortgages available on the Nbnday of the
weeic in which the adjustaale rate loan evidenced by this Note is
converted into a fixed interest rate lc~an, plus (ii)
three-eighths of one percertage point (.375$) . If no such
Required Net Yield is available, the Note Iiolr3er will determine
the fixed interest rate by using a oanparable figure. Tt~e new
fixed interest rate will became effective on the Effective
; Conversion Date.
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' My monthly payments at the new fixed interest rate will begin as
; of the f irst monthly gayment after the Effective Cbnversion
~ Date. The rtnnthly payment wi11 be the amount that is necessary
to repay in full the prir~cipal I am expected to owe at the
~ Effective Oonversion Date in substantially equal payments on the
~ maturity date at my fixed interest rate.
If I choose to convert, all interest rate caps provided for in
this Note will thereafter no lorger be in effect.
C. ~FFR OF 'IHE PFDPERTY OR A BEt~:FICIAL INTc12FST IN BC3R~.R
~
~ Unifor*n Cbver.ant 17 of the Security Instnunent is am~ended to read as
~ollows:
~
~
Transfer of the Property or a Beneficial Interest
~ in Borrower. If all or any part ot the Property or
~ any interest in it is sold or transferr~d (or if a
beneficial interest in Borrower is sold or transferred
and Borrower is not a natural person) without Lender's -
prior written consent, Lender may, at its option,
~ require imnediate payment in full o! all s~ns secured
~ by this Security Instn~nent. Fbwev~er, this aption
c. ;
~ shall not be exercised by Lerder it exercise is ;
`fi prohibited by federal law as ot the date ot this i
~ Securi ty Instrwnent. Lender also shall r~ot exerc ise
~ this option ir~ cornection with ar~y sale or transfer
~ occurrirg prior to a o~nversion to a fixed interest
~ rate if: (a) Borrower causes to be suYmitted to Ler~der
~ information required by Lec~der to evaluate the
~ intended transferee as i! a new loan were being made
~ to the transferee; and (b) Ler~der reasonab~y
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F,. 468 Y.~E ~g4
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