HomeMy WebLinkAbout0940 UtiU c~RM C<?vi.NA~TS flc~r~c»~rr a~~d l.e~ider covrnant ~i~d agrr~ a~ full~?~~ti
1. NAymen! of Principa) and Interest; Nri~pay~~trnt artd t.atc t'harge5. tlurmt~~~r ~h.ill ~r~m~~~tl)' (~a)~ whcn ~i:ic ~
thr prinr~pa) af and interest on 1he debt evidenced by the Note and any~ prcpapmrnt and la~e rhargct ~1ue under ~hc N~~te. i
2. Funds fo~ Taxes a~~d Ens~rance. Subject t~~ appliral~le la~~~ or to a N~ri~trn «aiver by Lrnel~r, I3c~rru~~ ei tihail pa~ ;
to l.ender on the day monthly payments are due under the Note, until thc Note raid in full, a tium ("Func'.c") cyual t~~ f
one-twelRh oF. (a) yeariy taxes and asse~sments which may attain nriurity over ih+s Sece~rit~~ lnstrumcnt; (b) ~•rarly s
leasehold payme~ts or ground ~ents on tt~r Properly, if any; (c) }•earl~~ hazard intiur:~nce nremiums; an~i ea> >~~a~iy~
martgage i~turance pren~iums, ii'an~~. These items are called "escrow items." t_ender ma}~ estiniate the i~~nd. due on thz ~
basis of current data and reasanable estimates ~f future escrow items.
'tl~e Funds shall tx: hrld in an instituticn the deposits or accounts c~t ~ti~hich arr insured or guaranteed hy a fedcral or
.tate agenc~• (includinb Lender if t_ende~ is sucl~ an instiwtio~~). I.ende~ shait apply the f~~u~ds io ~-~i~~ thc escru~~• item~. I.ender
ma~~ not rharge for holding and a~j~lying the (=unds, analyring the account or ~~crifying the escro~t~ items, unless l.ei~der pa}~s
f3c~rro~~•er intere~t ~n the Funds and appticable la~~~ ~xrmits 1_ender to ntake such a charge. A charge assessed by 1_ender in
connec!ion «~itti Ratr~»t'ers' entering intu this ~urit~~ lnstrument to ~~ay th~: cost ot;~n indeprndet~t tfsx repurting ser~~ice
sha!! nut tk a ch~~rge for ~~urpose~ of the preceding sentcnce. [3orro~~~er and l.ender may .~gree in ~~~riting that inten;st ~hall t~
paid an thc F~unds. Unlcss an agrcrmcnt is madc or applicablc la~a reyuires intcre~t t:~ bc paicl. I.cndrr shall not tx reyuircd to
pa}~ Borro~~•er:~n~~ interest or earnings on the f~unds. (.e;~der shall gi~•e to Rotro~~cr, ~~~ithuut ch~irge, an t~nnual accounting of
the {=unds sho~~•ing credits and debits to the Funds and t;~c pur{~ose for ~~~ttiich eacti debit tef ttie f=unds ~ti~as macle. ~Ihe I~i~n~1s
are pledged as additional sccurih• f~r tlte sums Srcurecl b~• tt~is kcurit~' l~~str~~menl.
If the amoun: of the Funds hcld by Lender, together with the future monthly payrne~~ts of Fur~ds payable prior to
the due dates of the escraw items, s~alt exceed the amount required to pay the escrow items whe>> due, the excess shall be,
at Borrower's optia~~, either promptfy repaid to Borrawer or cr~dited to E3orro~ver on monthly payments af Funds. U the
amount of the Funds neld by Lender is not sufTicient to pay the escrow ~tems when due, Dorrower shall pay to Lende~ any
amount necessary to make up the deficieney in one or more payments as required by Lender.
Upon payment in full oP all sums secured by this Security [nstrument, Lender shall promptly rcfund to Borrower
any Funds held by Lender. If under paragraph t9 the Pro~rty is sotd or acquircd by Lender, Lender s}~all apply, no later
than immediatety prior to the sale of the Property~ or its acquisition by Lender, any Funds held ~iy I.ender at the time of
: applicati~n as a credit against the sums secured by this Security lnstrument.
3. Application of Payments. Unless applicable law provides otherwise, all payments received by 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 amounts payable under paragraph 2; fourth, to interest due; and tast, to principal due. ~
. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines anct impositions attributable ta the
Property which may attain priority over this Seeurity Instrument, and leasehold payments or ground rents, if any.
Borrower shal! pay thesF obligati~ns in the manner provided in paragraph 2, or if nat paid in that manner, Borrower shall
pay them on time directly to the person owed payment. I3orrower shall promptly furnish to Lender all notices of amounts
to be paid under this paragraph. If f3orrow~er makes these payments directly, Borrower shall promptly furnish to Lender
receipts evidencing the payments.
Borrower shall promptly discharge any lien w~hich has priority over this Security Instrument unless Borrower: (a)
agrees in writing to the payment of the obligation sec~sred by the iien in a manner acceptable to Lender; (b) contests in good
faith the lien by, or dePends against enforcement oF the lien in, legal proceedings which in the Lender's opinion operate to
, prevent the enForcement of the lien or forfeiture c>f any part of the Property; or (c) secures ~rom the holder of the lien an
agreement satisfactory to Lende~ subordinating the lien to this Security Instrument_ [f Lender determines that any part of
the Property is subject to a lien which may attain priority o~~er this Security Instrument, Lender may give Borrower a
~ notice identifying the lien. Borrower shall satisfy the tien or take one or more of the actians set forth abo~~e within 10 days
of the giving of notice.
S. Hazard Insurance. F3orrower shall keep the impro~~ements now• existing or hereafter erected on the Property
ir?sured against loss by fire, hazards included within the term "ettended co~~erage" and any other hazards for which Lender
requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The
insurance carrier providing the insurance shall be chosen by Borrow•er subject to Lender's approva! ~vhiei~ shalt not be
unreasonably ~vithheld.
_ A(t insutance policies and renewats shall be acceptabfe to Lender and shal! include a standard mortgage clause. ~
. Lender shall have the right to hold the poGcies and renewals. If Lendcr rcquires, llorrower shall promptly give ta Lender ~
al! receipts of paid premiums and renewal notices. In the event of loss, Borrow~er shaU give prampt notice to the insurance ~
carrier and Lender. Lender may make proof of loss if nM made promptly by E3orrower. i
Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair }
of the Property damaged, if the restoration or renair P~~nnrnically feasible and Lender's security is not lessened. If the
restoration or repair is not economically feasible or I_ender's sec:~`ity woutd be lessened, the insurance proreeds sha11 be
appiied to the sums secured by this Security [nstrument, wheti~rr nr not then due, with any excess paid to Qorrower. If
$orrower abandons the Property, or does not ansa~er within 30 days a notice from Lender that the insurance carrier has
- ofiered to settle a claim, then Lender may collect the insurance praceeds. 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 wi1l begin
: when the notice is given.
Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shal) not extend or
postpone the due date of the monthly payments referred to in paragrapns i and 2 or change the .:mount of the payments. If
under paragraph l9 the Properiy is acquired by Lender, Rorrower's right to any insurance pol~cies and proceeds resulting
~ from damage to the Property prior to the acquisition shal) pass to Lender to the extent of the sums secured by this Security
Instrument immediat~ly prior to the acquisition. .
6. Pceserration and hiaintengnce c~f Property; Leasehalds. Borrower shall not destroy, damage or substantialty
change the Property, allow the Property to deteriorate or commit waste. If this Security Instruntent is on a leasehold,
Borrower shail comply with the provisions of the lease, and if Borrower acquires iee title to the Property, the l~asenold and
fee title shall not nterge untess Lencler agrees to the merger in writing.
7. Protection of Lender's Rights in the Property; Mortgage Insurance. If Borrow•zr fails to pert'orm the
- covenants and agreements contained in this Sc,:urity Instrument, or there is a legal prcxeeding that may significantly affect
- Lender's rights in the Property (such as a~::xeeding in bankroptcy, probate, for ~ondemnation or to enforce laws or
regulations), then Lender may do and pay for whateve,r is necessary to protect the value af ti~e Property~ and Lender's rights
: in the Property. Lender's actions may include paying any sums secured by a tien which has ~riority over this Security
Instrument, appearing in c~urt, payin~ reasonable attorneys' fees and entecing on the Prop?rty to make repairs. Although
I.ender may take action under this paragraph 7, Lender dues not have to do so.
Any amounts disbursed by Lcnder ur.der this paragraph 7 shall become additional debt of Borrower secured by this
Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear i~iterest from
the date of disbursement at the Note rate and shall be payaule, with interest, upon notice from Lender to Borrower
rcquesting payment. r~
: 80Gr( 569 ,~A~E 940