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HomeMy WebLinkAbout0962 ~ ~ ~ ' ADJUSTABLE RATE ItIDER ~ ( l 1'eer TreASUry tedex-R~te Capsl _ THIS ADJI;STABLE RATE RIDER is made this '~1 du~~ uf Dece~nber .~9 86 , and is incorporated intu and shall be deemed to amend and supplement the Murtgage. Deed of Trust or Security Detd (the "Securit~- Instrument") of the samc date given by the undersigned (the "Borrower") tu ~ecure Burruwer's Adjustablc Rate tiote (the "tiote") to FIRST NATIONAL BANK AND TRUST COMPANY OF STUART (the "Lender") uf the same date and cuverinR the property described in the Securit~ Instrument and tocated at: ~ 3901-03 Selvitz Road, Fort Pierce Business Park, Fort Pierce, Flordia 33450 (Pro{+~rt~ Addrcas~ THE NOTE CONTAINS PROVISIONS ALLOWINQ FOR CHANQES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT THE 80RROWER'S INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE THE BOR- RAWER MUST PAY. AUDITIO\Al. CO~'E~A\~. ln addition to the covenants and ag~tements made in the Security Instrument, Borruwer and Lender further covenant and agree as follows: A. iNTEREST RATE AND MONTHLY PAYMENT CNANGES The Note provides for an initial interest rate of g. ~S `7~. The Nute provides for changes in the interest rate ~nd the monthly paymer~ts, as follow•s: ~ 4. INTEREST RATE ANn MONTHLY PAYAIENT CHANGES 1 A 1 ChAnge Dxtes The interest ~ate I will pay may change on the first day of January 1 . 19 gg , and on that day e~•ery 12th month thereafter. Each date on H•hich my interest rate cuuld change is cailed a"Change Date." 1 B ) The Index Beginning with the first Change Date, my interest rate a~ill be based on an tndex. The "Indcx" i~ the wcckly average y~ield on United States Treasury securities adjusted to a constant mawrity of i ycar, as made availablc by the Federal Reserve Board. The most recent Index figure available as of thc date 45 days before each Change Date is called the "Current Index." If the Index is no lunger available, the Note Nol~ier will choosc a new index which i~ baaed upon comparable ioformation. The Note Holder wil! give me notice of this choice. ( C 1 Calculation of Changes Before each Change Date, the Note Nolder will calculate my new interest ratc by adding 2.90 percentage points ( 2.90 tu the Current Index. The Note Hotder will then round the result of this addition to the nearest one-eighth of one percentage point (0.125`~). Subjec! to thc limits stated in Section 4( D) below, this rounded amount will be my new interest rate until the next Change Date. The Note Holder will then determine the amount of the monthly paymem that would be suflicient to repay the unpaid principal that 1 am expected to owe at the Change Date in full on the maturity date at my ncw interest rate in substantially equal payments. The result of this calculation will be the new amount of my monthly payment. 1 D 1 Limits on lnterest Rate Changes I i The interest rate I am required to pay at the first Change Date will not be greater than 10. 75 % or less than ~ 6, 75 Thereafter, my interest rate wi11 never be increased or decreased on any single Change Date by more ~ than two percentage points (2.0%) from the rate of interest I have been paying for the preceding twelve months. My ~ interest rate will never be greater than 13. 75 ~ ~ ( E 1 ERecti~e Dnte of Chs~nges My new interest rate will become efTective on each Change Date. 1 will 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. 1 F 1 Notice of Changes The Note Holder will.deliver or mail to me a notice of any changes in my interest rate and the amount of my monthly payment before the ef~ective date of any change. The notice will include information required by law to be given me and also the title and telephone number of a person who will answer any question I may have regarding the notice. 8. TRANSFER OF THE PROPERTY OR A BENE~ICIAL iNTERE.~,T IN BORROWER Uniform Covenant 17 of the Security Instrument is amended to read as follows: Transfer ot the Property or a Se~eficial Interest in Borrower. I f all or any part of the Property or any interest in it is sold or transferred (or if a beneficial interest in Borrower is sold or transferred and Borrower is not a natural person) w~ithout Lender's prior written consent, Lender may, at its option, require immediate payment in full af all sums secured by this Security lnstrument. However, this option shall not be exercised by Lender if exercise is prohibited by federal law as of the date of this Security Instrument. Lender aiso shall not exercise this option if: (a) Borrower causes to be submitted to Lender information required by Lender to evaluate the intended transferee as if a new loan were being made to the transferee; and (b) Lender reasonably determines that Lender's security will not be impaircd by the loan assumption and that the risk of a breach of any covenant or agreement in this Security Instrument is acceptable to Lender. To the extent permitted by applicable law, Lender may charge a reasonable fee as a condition to Lender's consent to the loan assumption. Lender may also require the transferge to sign an assumption agreement that is acceptable to Lender and that obligates the transferee to keep all tihe promises and agreements made in the Note and in this Security lnstrument. Borrower will continue to be obligated under the Note and this Security Instrument unless Lender reteases Borrower in writing. MULTfSTATE ADJUSTABLE RATE RtOER-ARM 5-2-S+ngle Fam~1y-Fannis Mla~ Unitorm instrunNnt Form 3111 1145 fln~ncfal LaN forms° ~~0 ~ + 0 F°~~'° ~O S 2 7 ~ _ _ _