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1oTUN-CO1V~'VERTIBLE A~TUSTA~3LE R.ATE RIDER
(I~iTEREST RA'1'~ LIMI'I'Sj 50°23248899
TNIS ADJUSTABLE RATE RIDER Ls made this 14THday of NOVEMBER t986 ~
and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of 7~ust, or Security
Deed, (the "Security Instrument") of the same date given by the undersigned (the "Borrorwer") to secure
Borrower's Acljustable Rate Note (the "Note") to HARBOR F'EDERAL SAVINGS AND LOAN ASSOCIATION (the
"I.ender") of the same date and covering the property described In the Security Instrument and located at:
4901 SOUTH INDIAN RIVER DRIVE FQRT PIERCE, Fl.. 33482
(Property Address)
The Note corr4alns ~rnvia~nr~g ~ailnwing fmr chennes in 1he in4erest rate. If th~
~11t@f~8~ 1'8t~ It1C~l88@S, tll@ l30f~0Y9Ils~ $ mv~~i1`t0'r N«'r~~~a~~4s oriii vv i~ib~v°:. I~ !~:8 ' ~
interest rat~ de~reases~ the Borrower's monthly paym~ents wlll be lower. - _ ~
ADDITIONAL COVENAIVTS, In addition to the covenant and agreements made in the Security
Instrument, Borrower and Lender further covenant and agree as fo[lows:
A. IN"I'~:BEST 8A'I'E AND MON'I'HLY PAYMENT CHANGES
The Note provides for an initial interest rate of ppQ ~6. Section 4 of the Note provides for changes
in the interest rate and the monthly payments, as follows:
. 4. I1~ITEREST ftATE .AND IViON'T~ILY PAYMENT CHANGFS
. (A) Chan~e Dates
'Ifie interest rate I ~s~ell pay may~hange on the first dayof DEC~MBER ,19 87 , and on that day
of the month every TWEI.VE months thereafter. Each date on which my interest rate coutd change is caited a
"Change Date".
~ (B) 'Tbe Index
Beginning with the first Ch~nge Date, my interest rate will be based on an "Index", The Index is the weekly
average yield on United States ZYeasury securities ac~justed to a constant maturity of OHE years, as made
available by the Federal Reserve Board.'Ihe most recent Index figure available as of 45 days before each Change
Date is called the "Current Index°.
If the Index is no longer available, the Note Holder will choose a new Index ~vhich is based upon comparable
information. 'I~?e Note Nolder will give me notice of its choice. .
(C) Calcnlatlon of Chang~g
Before each Change Date, the Note Holder will calculate my new interest rate by adding T110 AND ]5/ ) 00
gercentage points ( 2. 75 to the Current Index. 11ie Note Holder will then round the result of this
addition to the nearest one-eighth of one percentage point (0.125~G). Subject to the limits stated in Section 4(D)
below, this rounded amount wiU be my new interest rate until the nevY Change Date.
'I~e Note Holder will then determine the amount of the montlypayment that would be sufficient to repay the
unpaid principal that I am expected to owe at the Change Date in full on the maturity date at my new interest
iate in substantially equal payments. The result of this calculation plus any required monthly escrow for taxes
and insurance will be the new amount of my monthly paym~nt.
(D) I1~ita on Intere~ Rate Changes
The rate of interest I am required to pay shall never be increased or decreased on anysingle Change Date by
mare than YWq percentage points ( 2, pp ~G) from the rate of interest I have
been paying for the preceding TWEt,VE months. My interest rate also shall never increase more
than F ~ vE percentage points ( 5. pp from the fully indexed rate
of 6~5 ~G. My interest rate shall never decrease below the interest ra~te established in paragraph A of this
instrument.
(_F.l F~ective Date of Changes
i My new interest rate will become effecti~e on each Change Date. I will pay the amount of .ny new monthly
Y payment beginning on the first monthly payment date after the Change Date until the amount of my monthly
payment changes again. '
_ ~aT~' j j?:~Ln nt r}1_AfloPR
- The Note Holder wilt mail or deliver to me a notice before each Change Date, The notice will advise me of:
(i) the new interest rate an rrny loan as of the Change Date:
~ (ii) the amount of my monthly payment following the Change Date;
(iii) Any ~dditiona~ matters which the Note Holder is requtred to disclose; and ~
(iv) the title and te~ephone number ~ f a person who will answer any question I may have regarding the
_
~ notice. a'~ ~ '
~ IN WITNF,~.9 ~VHE¢EOP,Borro execnted tlils ABLE BATE Bider. €
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