HomeMy WebLinkAbout0963 UNIFORM COVENANTS E3orrower and Lender covenant and agrec as follows:
1. Payment o! Principsil and lnte~esh, Prepayment and I.ate Charges. Borrower shall promptl~• pay when due
the principai of and interat on th~ debt evidenced by the Note and any prcpayment and late charges due under the Note.
2. Funds for Taxes and Insurance. Subject to applicabte law or to a written waivcr by L~nder, Borrawer shall pay
to Lender on the day monttily payments are due under the Note. unti! the Note is paid in full, a sum ("Funds" j egual to
oae-twelflh of: (a) yearly taxes and assessmtnts which may attain priority over this Sccurit~• lnstrument; (b) yearly
lraszhold payments ~r ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yeari}~
mortgage insurance premiums, if any. These items are called "acrow items." Lender may est~mate the Funds due on the
basis of current data and reasariable estimates of futurc escrow items.
. The Funds shall tx held in an institution the deposits or accounts of which are insurtd or guaranteed by a federal or
state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the cscrow items.
~ Lender may not charge for holding and applying the Funds, analyzing the accuunt or verifying the escrow items, unless
~ applicable law permits Lender to make such a charge. Borrower and
' Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is made or applicable laa~
~ requira interest to be paid, Lender shaii not be required to pay Borrower any interest or earnings on the Funds. Lender :
shail give to Borrower, without charge, an annual acconnting of the Funds showing credits and debits to the Funds and the
purpose for which each debit to the Funds waz made. The Funds are pledgeci as additional security for the sums secured by ti
this Security Instrument.
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the due dates of the acrow items, shaii excecd the amount rcquired to pay the escrow items when due, the excc~~ Si~aii
at Borcower's option, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. If the
amount of the Funds held by Lender is not sufticient to pay the escrow items whcn due. Borrawer shali pay to Lender any
amount necessary to make up the deficiency in one or more payments as required by Lender.
Upon payment in full of all sums secured by this Security Instrument, Lendtr shall promptly r~fund to Borrower
any Funds held by Lender. If undes paragraph t9 the Property is sold or acquired by Lender, Lender shall apply, no later
than immcdiately prior to the sale of the Property or ils acquisition by Lender, any Funds held by Lender at the time of
application as a credit against the sums secured by this Security Instrument.
3. Application of Payments. Unless applicabls law provides otherwise, all payments received by Lender under
pa~agraphs 1 and 2 shall be applied: first, to late charges due under the Note; second, to prepaymcnt charges due under the
Notc; th~rd, to amounts payable under paragraph 2; fourth, to interest duc; and last, to principal due.
4. Charges; Liens. Bonower shall pay all taxa, assessmcnts, charges. fines and impositions attributable to the
Property which may attain priority over this Security [nstrument, and leasehold payments or ground rents, if any. '
Borrower shail pay these obligations in thc manner provided in paragraph 2, or if not paid in that manner, Borrower shall
pay them on time directly to the person owed payment. Bortower shalt promptly furnish to Lender all notices of amounts ;
to be paid und~r this paragraph. If Borrower make3 these payments directly, Borrower shall promptly furnish to Lender
receipts evidencing the payments. i
Borrower shall promp!ly discharge any lien which has priority over this Security Instrument unlas Borrower: (a) ;
agrees in wricing to the payment of the obiigation secured by the lien in a manner acceptable to Lender; (b) contats in good
fa~th the lien by, or defends against enforcemant of the lien in, legat procadings which in the Lender's opinion operate to
prevent the enforcemcnt of the lien or lorfeiture of any part of the Property; or (c) secures from the holder of the lien an
agrcement satisfactory to Lender subordinating the licn to this Security Instrument. If Lendcr determines that any pan of
the Property is subject to a lien which may attain priority o~•~r this S~curity Instrument, L,ender may give Borcower a
notice identifying the lien. Borrower shall satisfy the lien or take one or more ot the actions set forth abo~e within 10 days
of the giv~ng of notice.
5. Nazard Insurance. Borrower shall keep the improvemcnts now eaisting or hercafter erected on the Property
~nsured against ioss by fire, hazards includcd within the term "extendeti coverage" and any other hazards for which Lender
requires ~nsurance. This insurance shall bc maintained in the atir~ounts and for the ptriods that Lender requires. The ~
insurance camer providing the insurance shall be chosen by Borrower subject to Lender's approval which shal~ noi be
unreasonably withheld. "
All insurance policia and ren~wats shatl he acceptabte to Lender and shall include a standard mortgage clause. -
Lender shali have the right to hold the policies and renewals. If Lender requires, Bonower shall promptly give to Lender
all reccipts of pa~d premiums and renewal notices. In ihe event of loss, Borrower shall give prompt rotice to the insurance ~
carner and Lender. Lender may make proof of loss if not made promptly by Borrower. a
Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be ap~lied to ratoration or repair
of the Property damagcd, if the restoration or repair is economicaUy feasible and Lender's security is not lessened. lf the
~ restoration or rcpair is not economicaUy feasible or Lrnder's security would be lessened, the ~nsurance proceeds shall be
' applied to the s~ms secured by this Security Instrumcnt, whether or not then due, with any ezcess paid to Borcower. If
Barrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
oftered to settle a claim, then Lender may collxt the insurance proceeds. Lende~ may use the proceeds to repair or ratore
the Property or to pay sums secured by this Security Instrument, whether or not then due. The 3Q-day period will begin
when the notice ~s given.
! Unless Lender and Botrower otherwisc agree in writing, any application of proceeds to principal shall not extcnd or
! postpune the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the Qayments. if
' under paragraph 19 the Property is acqu~red by Ltnder, Borrower's right to any insurance policies and proceeds raulting
~ from damage to the Property prior to the acquisition shall pass to L,ender to the eaient o{the sums secured by this Stcurity
~ Instrument ~mmediateiy prior tu t ic a~~ussit~:,~.
6. Preserration $nd Maintenance of Property; Lease6olds. Borrawcr shall not destroy, damage or substantially
t change the Property, allow the Property to deteriorate or commit waste If this Securiry instrument is on a(easehold,
' Borrowcr shail comply with the provisions of the lease, and if Borrower acquir~s fee title to the Property, the leasehold and
fec title shall not merge unlas [.ender agrees to the mergtr ~n writing.
7. Protection of Lender's Rig6ts in the Property; Mortgage Insursusce. If Borrower fails to perform the
covenants and agreements coniainrd in this Security Instruinent. or there is a legal procceding that may significantly affect
' Lcnder's rights ~n the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce taws or
regulations), then Lender may do and pay for whatever is necessary to protect the value of the Property and Lender's nghts
m the Property. Lender's actions may include paying any sums secured by a licn which has priority over this Security
[nstrument, appearing in cnun, paying reasonable attorneys' fees and entering on th~ Property to make repairs. Although
Ltnder ma} take action under this paragraph 7, Lender does not have to do so.
Any amounts disbursed by Lendcr under this paragraph 7 shall becon~e add~iional debt of Eorrowcr stcured b~• this
Security Instrument. Unless Borrower and Lender agree to other terms of paymcnt, thcse amounts sha11 bear interest from
the date of disbursement at the Note rate and shall be payabte, with interat, upon notice from Lendtr to Borrower
requating paymcnt.
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