The URL can be used to link to this page

Home My WebLink About0939 l~'NlFORMCOVENANTS. SOl~OY~'EfaR(1LC11de~COVCl1dIl[:3t1C13g(Ci3S~OIIO~~s: 1. Pa~~ment of Priacipal and I~terest; Prepayment and Late Charges. Borrower ~hall prumptl~ p;~}~ Khrn due the principal of and interest on the debt evidenced by the Note and any F~epa~~ment and late charges due under the tiote. 2. Funds for Taxes and Insurance. Subject to applicable lavv or to a written waiver by Lender, BorroW~er shall pay to Lender on the da~ monthly payments are due under the Note, until the Note is paid in full, a sum ("Funds") eyual to une-twelfth of: {a) yearly taxes and assessments which may attain priority over this Security Instrument; (b) ~~~arly leasehold payments or ground rents on the Property, if any; (c) vearly hazard insurance premiums; and (d) ~~early~ : mortgage insuranc~ premiums, if any. These items are called "escrow items." Lender may estin~ate the Funds due on the ' basis of cunent data and reasonable estimates of future escrow items. ~ The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a federal or state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the escr~w Lender may not eharge for holding and applying the Funds, analyzing the account or verifying the escrow items, unless Lender pays Borrower interest on the Funds and applicable Iaw permits L.ender to make such a charge. Borrower and } Lender may agree in v?ritirig that interest shall be paid on the Funds. Unless an agreement is made or applicable law requires interest to be paid, L,ender shall not be required to pay Borrow•er any interest or earnings on the Funds. Lender ; shall give tu Borrower, without charge, an annual accounting of the Funds showing credits and deb~ts to cne Funds and the purpose for which each debit to the Funds was made. "The Funds are pledged as additional security for the sums secured by this Security Instrument. lf the amount of the Funds held by Lender, together with the future monthly payments of Funds payable prior to the due dates of the escrow items, shall exceed the amount required to pay the escrow items when due, the excess shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. li the amount of the Funds held by Lender is not suff'icient to pay the escrow items when due, Borrower shal! pay to Lender any amount necessary to make up the deficiency in one or more payments as required by L,ender. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. If under paragraph 19 the PropeRy is sold or acquired by Lender, Lender shall apply, no later than immediately prior to the sale of the Propeny or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against the sums secured by this Security Instrument. 3. AppGcatian of Payments. Unless applicable law provides otherwise, all payments re==e b~ Lender under paragraphs 1 and 2 shall be applied: first, to late charges due under the Note; second, to prepayment charges due under the Note; third, to amc,~nts payable under paragraph 2; fourth, to interest due; and last, to principal due. 4. Charges; Liens. Bonower shall pay all taxes. assessments, charges, fines and impositions attributabte to the Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any. Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that manner, Borrower shall pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of ;;~~~o~nts to be paid under this paragraph. If Borrower makes these payments directly, Bonower shali promptly furnish to Lender receipts evidencing the payments. Borrower shal! promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the ubligation secured by the lien in a manner acceptable to Lender, (b) contests in good ! faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to i prevent the enforcement of the lien or forfeiture of any part of the Property; or (c) secures from the holder of the lien an I agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of , the Property is subject to a lien which may attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. 5. Hazard Iasurance. Borrower shall keep the improvements now ezisting or hereafter erected on the Property insured against loss by fire, hazards included within the term "eztended coverage" and any other hazards for which Lender requires insurance. This insvrance shall be maintained in the amounts and for the periods that I.ender requires. The insurance carrier providing the insurance shall be chosen by Borrower subject to L.ender's approval which shall not be unreasonably withheld. i A!1 insurance policies and renewals shall be acceptable to I.ender and shall indude a standard mortgage clause. Lender shall have the right to hold the policies and renewals. If Lender rcquires, Borrower shall promptly give to Lender ; all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insurance carrier and ~L.ender. I.ender may make proof of loss if not made promptly by Borrower. ~ Unless Lender and Bonower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair ~ of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. If the ~ restoration or repair is not economically feasible or I,ender's security would be lessened, the ins~~rar+ce proceeds shall be ; applied to the sums secured by this Security Instrument, whether or not then due> with any excess paid to Borrower. If ~ Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has ~ offered to settle a claim, then I,ender may collect the insurance proceeds. Lender may use the proceeds to repair or restore € the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will begin ~ when the notice is given. ~ Unless Lender and Bonower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the payments. If ~ under paragraph 19 the Property is acquired by Lender, Bonower's right to any insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secu~ed by this Securit}~ } Instrument immediately prior to the acguisition. ~ 6. Preservation and Maintenance of Pro~erty; Legseholds. Borrower shall n~t destroy, damage or substantiall}~ ~ change the Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold, Borrower shall comply with the provisions of the lease, an~ if Borrower acquires fee title to the Property, the leasehold and fee title shal! not merge unless Lender agrees to the merger in writing. 7. Protection of Lender's Rights in the Property; Mortgage Insurance. If Borrow•er fails to perform the cavenants and agreements contained in this Security Instrument, or there is a legal proceeding that ma}• significantl}- affect Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation er to enforce laws or regulations), then Lender may do and pay for whatever is necessary to protect the value of the Property and Lender's rights in the Property. Lender's actions may include paying any sums secured by a lien which has priorit~~ over this Secunt~~ Instrument, appearing in court, paying reasonable attorneys' fees and entering on the Propert}• to make repairs. Although ~ Lender may take action under this paragraph 7, Lender does not have to do so. ~ Any amounts disbursed by Lender under this paragraph 7 shall becorne additional debt of Borrow~er secured b}- this ~ Security Instrument. Unless Borrower and Lender agree to other terms of pa}~ment, these amnunts shall bear interest from ~ the date of disbursement at the Note rate and shall be payable. with interest, upon notice from Lender to Borrow~er requesting payment. `t € ~ ~ ~ aaox4~l PacE ~ ~ _ ` r - - - - ; ~ .a~~ ~ _ a