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HomeMy WebLinkAbout0981 • \ . '~e i . ADJUSTABLE RATE RIDER s0-89ba ~ ~ • ( i Yea~ Trt~s~ry I~dex--R~tte C~pst THIS ADJUSTABI.E RAT~ RIDER is made ihis 25th day of Jtute , 19 87 , and is ` incorporated into and shal! be deemed to amend and supplement the Mortgagc. Deed of Trust or Security Deed (the "Security Instrumcnt") of the same datc gwen by the undersigned (the "Borroa~c~") tu secure Burrowei s Adjuatable Rate tiote (the "tiote") tu CENTRAI, SAVINGS AND LOAN ASSOCIATION (the "Lender") of the sa~na datc and cuvcring the property desc~ibed in the Securiey Instrument and located at: 1490 Santruce Drive, Port St. Lucie, Flarida 33452 , (Propert~ Addreas~ ~ THE NOTE CONTAINS PROVISION$ ALLOWtNQ FOR CHAN(3ES iN THE iNTERE8T RATE AND THE MONTHI.Y PAYMENT. THE NOTE LIMITS THE AMOUNT THE BORRO'WEA'S INTERE8T RATE CAN CHANt3E AT ANY ONE TIME AND THE MAXIMUM NAT~ THE BOR- ROWER MUST PAY. ADDI'f'IO~AL C01'E!~A\'TS. In addition to thc covcnants and agroements made in thc Security Instrument, Bor~owcr and Lcnder further covenant and agrcc as follows: _ A. INTEREST RATE AND MONTHLY PAYMENT CNANGES The Note provides for an initia) inlerest rate ot 7• 75 The Note provides for changes in the interest ~atc ~nd the monthly payments, as follows: lNTEItEST RATE AND MONTHLY PAYMENT CHANCES ( A ? Change Dates The interest rate I will pay may change on the first day uf Ju2y , 19 88 , and on, that duy every 12th month thereatter. Each date on which my interest rate could change is called a"Change Date." ( B 1 The tndex Beginning with the first Change Date, my inte~est rate will be based on an index.'~ The "tndex" is the weekly average yield on United States Treasury securities adjusted to a canstant maturity of I ycar, as made available by the Federal Reserve Board. The most recent Index figure available as of the date 45 days before each Change Date is cail~~ the ~ "Cnrrent lndex." ~ If the Index is no longer available, the Note Holder will choose a new index which is ba~ed upon comparable irtformation. The Note Holder will give me notice of this choice. ( C 1 Calcutation of Chan$es ' Before each Change Date, the Note Holder will calculate my new interest rate by adding ~0 ~D THREE- ' QUARTERS percentage points ( 2. 75 to the Current Index. Thc Note Holder will then round the result of this addition to the nearest one-eighth of one percentage poim (0.1259F). Subject to the limits statcd 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 payment that would be suR'icient to repay the ~ unpaid principal that I am expected to owc at the Change Date in full on the maturity date at my new interest rate in i substantially equal payments. The result of this calculation will be the new amount of my monthly payment. ~ ! D 1 Limits on Interest RAte Changes . The interest rate I am required to pay at the first Change Date will not be greater than 9. 75 % or less than ~ 5. 75 ~s. Thereafter, my interest rate will 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 twetve months. My II interest rate will never be greater than 13. 75 ( E) Etiectire Dxte of Changes My new interest rate will become eflective on each Change Date. 1 will pay the amount of my new monthly p~ayment ~..ginning on the first monthly payment date after the Change Date until the amount of my monthly payment changes again. ( F ? Motice oi Clwnges The Note Holder will deliver or mail to me a notice of any changcs in my interes~ rate and the amount of my monthly payment before the efTective 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 1 may have regarding the notice. B. TRANSFER 4F THE PROPERTY OR A BENEFtC1AL INTEREST IN BORROWER Uniform Covenant 17 of the Security Instrumtnt is amended to read as follows: Trsnsfer of the Property ar a Beneficial Interest in Borrower. If all or any part of the Property or any interest in it is sold or transferred (or if a beneficia) interest in Borrower is sold or transkrred and Borrower is not a natural person) without Lender's prior written conunt; Lender may. at its option~ require immediate payment in full of all sums securcd by this Securiry Instrument. However. this option shall not be exercised by Lendcr if ezercise is prohibited by federal law as of the date of this Security tnstrument. Lender afso shait not exer~ise this option if: (a) Borrower ca~ses !o be submitted to Lender information required by Lender to evaluate the intended transkree as if a new loan wcre being made to the transferee; and (b) Lender reasonably determines that Lendcr's security will not be impaired 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 l.ender's conunt to ~ the loan assumption. Lcnder may also require the transferce to sign an assumption agreement that is acceptabk to ~ , Lender and that obligates the transferee to keep all the promises and agreements madc in the No/e and in this Security Instrument. Borrower will continae to be obligated under the Note and this Security lnstrumant unless Lender releases _ Borrowor in writing. ~ MULTtSTATE AOJUSTABIE RATE R~ER-ARM S-~-S~ngle Famrly-FannN M~ Unham inqrunNnt Form 3111 11aS - Ftnanctal L~w form~~ Fam 2036 R ~ y ~ 51't~ PACE ~ ~ _ . _ . ~ .