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HomeMy WebLinkAbout1491 . 1020957 ADJUSTABLE RAYE RIDER JAN 24 AlO :Zc: (1 1Rear Theasury Index - Rate Caps) g~ ~ ~L:: -•'t • - ~,C~lif , . 1~. 1. THIS ADJUSTABLE RATE RIDER is made this 9th day a January, 1990:, is ~corpocd~led into and shall be deemed to amend and supplement the MoRgage, Deed of Trust or Security Oeed (the "Security instrument") of the same date g~ven by the unders~gned (the_ "Borrower") to secure Borrower's Ad~~stabie Rate Note (the "Note to ~ ~ ~y (the "Lender") of the same date and cover~ng the property des~ribed in the Secunty Instrument and located at: 2619 BIICAS I.AI~ . PORT ST. I~IE . Florida 34952 (Property AddressJ The Nots contains provislons allowing for changes in the interest rata and the monthly payment. Tha Note limits the amount the Borrowe~'s interest rate can change at eny one time and the maximum rate the Bor- rower must pay. A~dditional Covenants. In addition to the covenants and agreements made in the Security instrument, Berrower and Lender further covenant a~d agree as follows: A. Interest Rate and Monthly Peyment Changes g~ 500 The Note provides for an initial interest rate of The Note provides for changes in the interest rate and the monthly payments, as fdlows: 4. Interest Rate and Monthly Payment Changes (A) Change Detea The interest rate I will pay may change on the first day of ~R~~ , 19 95 , and on that day every 12th month thereafter. Each date on which my interest rate couid change is calted 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 weekly average yield on United States Treasury securifies adjusted to a constant maturity of one year, as made available by the Federal Reserve Board. The most recent Index f~gure availab~e as of the date 45 days before each Change Date is called the "Current Index" !f the Index is no longer available, the Note Holder w~ll choose a new index wh~ch is based upon comparable informat~on. The Note Ho!der will give me notice of this choice. (C) Calculation of Changes ~ ~ ~~~_4!~ Before each Change Dat~-~~jyote Holder will calculate my new interest rate by adding percentage poi~ts ( ~ to the Current Index. The Note Holc+er will then round the result of this addition to the nearest one-eighth of one percentage paint (Q.125%). Sub~ect to the limits stated in Section 4(D) below, this round- ed amount witl be my new interest rate unt~l the next Change Date. The Note Holder will then determ~ne the amount of the monthly payment that would be suffic~ent to repay the unpaid principal that I am expected to owe at the Change Date in full on the maturity date at my new interest rate in substantially equal payments. The result ot this calculation wili be the new amount of my mon~hly payment. (D) Limits on Interest Rate Changes ' 11 500 i The intere~t: ~tg~l am required to pay at the first Change Date will not be greater than ' % or less than ~ Thereafter, my ~nterest rate will never be increased or decreased on any single Change Date i by more than two percentage points (214:1_fto the rate oi interest I have been paying for the preceding 12 months. My interest ; rate will never be greater than ~ito. ~ (E) Effecttve Date of Changes ~ My new interest rate will become effect~ve on each Change Date. I~nnll 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. ~ (F~ Note of Changes The Note Holder wil; del~ver or mail to me a notice of any changes in my ~nterest rate and the amount ot my monthly payment ~ before the effective date of any change. The nobce will include ~nformation required by law to be g~ven me and also the title and ; telephor,e number of a person who will answer any question I may have regarding the notice. ~ B. Transfer of the Property or a Beneflcial Interest in Borrower ~ Uniform Covenant 17 of the Security Instrument is amended to read as tollows: ~ Transfer of the Property of a Beneficlal Interest in Borrower. If all or any part ot the Property of any interest in it +s sold ~ or transferred (or if beneficial interest in Borrower is sold or transferred and Borrower is not a natural person) without Lender's prior written consent, Lender may, at its option, require immediate payment in full of all sums secured by this Security Instrurnent. However, ~ this option shall not be exercised by Lender ifi 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 subm~tted to Lender information required by Lender to evaluate the ~ intenderi transferee as ~f a new loan were being made to the transfieree: and (b) Lender reasonably determines that Lender's security will not be impaired by the loan assumption and tha? the risk of a breach of any covenant or agreement in this Security Instrument is accsptable to Lendec . To the extent perm~tted by appl~cable law, Lender may charge a reasonable fee as a condition to Lender's consent to the loan assumption. Lender may also require the transferee to sign an assumption agreement that is acceptable to Lender and that obligates the transferee to keep all the promises and agreemenis made in the Note and in this Security Instrument. Borrower will continue to be obligated under the Note and this Security Instrument unless Lender releases Borrower in wri6ng. if Lender exercises the option to require immed~ate payment in full, Lender shall give Borrower notice of acceleration. The nQtice i shall provide a period of not less than 30 days frorr? the date the notice is delivered or mailed within wnich Borrower must pay all ~ sums secured by this Security Insirument. If Borrower fa~ls to pay these sums prior to the expiration of this period, Lender may invoke ; any remedies permitted by this Security Instrument without further notice or demand on Borrower. ~ SIGNtNG BELOW, Borrower accepts and agrees to the terms and covenants contained in this Adjustaae Rate Rider. - J T. IAUpI~ (Seal) ~4~2~ ` (Seal) ~ (Borrower) MAR'I'HA L. ZAVOI~ (Borrower) ~ ~ (Seaq (Seal} ~ `B~`r~~, B~K674 PAGE1491 MUITISTATE ADJUSTABLE RATE RIDER - AR1iA S-2 - S~ng!e Fam:ly - Fa~o1e MaNF?bdi~ M~e Uniform InsWrtNnt Form 3/11 3/sS ; 2 3 4 5 6 7 8 9 tC CW ~ P~e+~ws e0a~ons are obseiete tO5t73 Rev Sep 86 (S6~O~C ~ `.~~~`~~--~,~~~~~~~~~~~~z~~Y~~~~,~~