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HomeMy WebLinkAbout0950 . . • , .f ADJUSTABLE RATE RIDER LOAN~ 22134074 ~ c ~ ~r~ , t~~-~~s! c.~~ ; ~ • THIS DJ L ~~9 ~1 A USTAB E RATE RIDER ~s mad h~s day of Auyust , t967 , arrd is • incorporated into and shall be deemed to amend and supptement the Mortgage. Deed of Trust or Stcurity Dced (the • . "Sccurity Instrument") of the same date given by the undersigned (the "Borrower") to sccure Borc~war's Adjus~able Rate Note (thc "Note") toFirs[ Citizens Federal Savings 5 Loan Association (the "Lender") of the same date and covcring the propcrty dcscribcd in ' the Security Instrument and located at: 867 Thrift Avenue, Port St. Lucie, Florida 33453 (Properly Address] THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANC~ES IN THE INTEREST RATE - AND THE MONTHLY PAYMENT. THE NOTE LIMiTS THE AMOUNT THE BORROWER'S ~ lNTEREST RATE CAN CHANQE AT ANY ONE TIME AND THE MAXIMUM RATE THE ~nA_ ROWER MUST PAY. ADQITIONAI. Covsh~tvTS. in addition to the covenants and agreements made in the Security Instrument, Borrower and Lcnder further cavenant and agree as follows: A. INTEREST RATE AND MONTHLY PAYMENT CHANGFS The Note provides Por an initia) interest rate of 7.250 ~'o. The Note provides for changes in the interest rate and the monthty payments~ as follows: ~ 4. iNTEREST RATE AND M0IYTHLY PAYM~NT CHANGES ( A ) Chan~e D~tes The interest rate I will pay may change on the first day of September , t988 , and on that day every 12th month thereafter. Each date on which my interest rate could change is called a"Change Date." ( B ) The Index Beginning with the first Change Date, my interest rate will be based on an Index. The "Index" is the weekty average yield on United States Treasury securities adjusted to a constant maturity of 1 year, as made available by the Federal Reserve Board. The most recent Index figure availabte as af the date 45 days before each Change Date is called the "Current Index." If the Index is no longer available, the Note Hotder wilt choose a new index which is based upon comparable information. The Note Holder will give me noiice of this choice. (C) C~ttculatioa of Changes Sefore each Change Date. thc Note Holder will calculate my new interest rate by adding Two and one half percentage points ( 2.500 9b) to the Current lndex. The Note Holder will then round the result of this addition to the nearest one•eighth of one percentage point (0.125`%). Subject to the limits stated in Section 4(D) below, this rounded amount will be my n~w interest rate until the next Change Date. ThP N~te H~Ider will then determine the amount of the monthly payment that would be sufficient to repay the unpaid principal that ! am expected to owe at the Change Date in full on the maturity date at my new interest ratc in substantially equal payments. The result oF this calculation will be the new amount of my monthty payment. ( D) Li~n[ts on Interest Rate Changes ' The interest rate i am requircd to pay at the first Change Date wilt not be greater than 9.2 S0 qo or less than ~ 5.250 96. Thereafter, my intersst rate will never be increased or decreased on any single Change Date by more 3 than two percentage points (2.096) from the rate of interest 1 have becn paying for the preceding twelve months. My interest rate witl never be greater than 13.250 96. (E) ERectire DAte of Changes My new interest rate will become eBective on each Change Date. I wil! pay the amouni of my new monthly payment ' beginning on the first monthly payment date after the Change Date until the amount of my monthly paymenl changes ` again. € ( F) 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 eflective date of any change. The notice will include information required by law to be given me and E atso the title and telephone number of a person who will answer any question I may have regarding the notice. ~ B. TRANSFER OF THE Pi20PERTY OR A BENEFTCIAL iNTERFS'T IN BORROWER Uniform Covenant 1~ of the Security Instrument is amended to read as follows: Transfer of ihe Property or a Beneflcisl Interest in Bo~rawer. If 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 t~ansterred and Borrower is not a natural person) . without Lender's prior written c4nsent, Lender may, at its option, require immediate payment in full af afl sums secured by this Security Instrument. However. this option shall ~ot be exercised by Lender if exercise is prohibited by federal law ~ as of the date of this Security Instrument. Lender also 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 impaired by the loan ` assumption and that the risk of a breaeh of any covenant or agreement in this Security Instrument is acceptable to ~ Lender. I' To the extent permitted by applicable law, Lender may charge a reasonable fee as a condition to Lender's consent to I~ the loan assumption. Lender may also requiro the transferee to sign an assumption agreement that is acceptable to Lender and that obligates the transferee to keep all the promises and agreements made in the Note and in ihis Security (nstrument. Borrower will continue to be obligated under the Natc and this Security lnstrement unless Lender releases Borrower in writing. BOOK VVU PACE 948 MULTISTATE ADJUSTABIE RATE R1DER-ARM 5-2--Single Farrrly-Faneie Mae/Freddis Mac Uniform Inatrumenl Form 3111 3/85 ` ~-822A ~8703~ VMP MORTGAGE FORMS • i3/3~293 8100 • ~8001521 7291 .~_z_~ - _ > . - - '