HomeMy WebLinkAbout0252 L~ ~ol S y%/ySG
B~#11IBIT ~~E3~~
, _ AD3USTABLE RATE RIDER
(1 YeAr Treasury ladex--Rate Caps)
THIS ADJUSTABLE RATE RIDER is made this ~ day of , 1990 , and is
incorporated into and sh b
ed~e~f~ ~$~amend and supplement the Mortgage, DePd of Trust o Security~ eed,
~t~ ~
"Security Instrument") ~~ffrer~e g~ven by the undersigned (the "Bc,rrower") ro secure Borrower'~Ac7justabTe& Rest 3te
Rate Note (the "Note") to RIVERSIDE NATIONAL BANK OF FLORIDA,
(the "Lender") of rlfezeeRR~de~~n~coveiif~~ t~i~'~~~`~e~~ described
in the Security Instrument and located at:
2521 South Indian River Drive, Fort Pierce, Florida 34950
[Propert~~ Address)
THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE
AND THE MONTHLY PAYMENT. THE NOTE LiMITS THE AMOUNT THE BORROWER'S
INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE THE BOR-
ROWER MUST PAY.
ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Seciirity Instrument,
Borrower and Lender further covenant and agree as follows:
A. 1NTEREST RATE AND MONTHLY PAYMENT CHANGFS
The Note provides for an initial interest rate of 10 . 50 The Note provides for changes in th: interest rate and the
monthly payments, as follows:
d INTFRFCT R sTF s iV il M(1N'ruT v o ~ vu~triv~r ~u ~ w~~~c
(A) Change Dates
The interest rate 1 will pay may change on the Crst day of February , 19 91 , and on that day
every 12th month thereafter. Each date on which my interest rate could change is called a"Change Date."
(B) Tne 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 securities adjusted to a constant maturity of I year, 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 called the "Current Index."
' If the Index is no longer available, the Note Holder will choose a new index which is based upon comparable
~ information. The Note Holder will give me notice of this choice.
(C) Calculation of C6anges
Before each Change Date, the Note Holder wili calculate my new interest rate by adding
' three (3) percentage points ( 3.0 to the Current Index. 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 new interest rate until the next Change Date.
~ The Note Holder will then determine the amount of the monihly payment that would be sufficient 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 equa! payments. The result of this calculation will be the new amount of my monthly payment.
~
(D) Limits on Interest Rate Changes
~ The interest rate ! am required to pay at the first Change Date will not be greater than 12 . 50 % or less than
~ 8. 50 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 twelve months. My
~ interest rate will never be greater than 16 . SO
~ (E) F.ffective Date of C6anges
~ My new interest rate will become effective on each Change Date. I witl pay the amount of my new monthly
~ payment beginning on the first monthly payment date after the Change Date until the amount of my monthiy pay-
ment changes again.
~ (F) Notice of Changes
~ The Note Holder will deliver or mail to me a notice of any changes in my interest raee and the amount of my
~ monthly payment before the effective date of any change. Th~ notice wil! include informatian required by la~v to
~ be given me and also the title and telephone number of a person who will answer any question I may have regarding
the notice.
TRANSFER OF THE PROPERTY OR A BE ' CIAL INTERFST IN BORROWER
Uni Covenant 17 of the Security Instrument is am d to read as follows:
Tra er of the Property or a Beneficial Interest in Borro . If all or any part of the Property or any interest
in it i's sold o nsferred (or if a bene~cial interest in Borrower is or transferred and Borrower is not a natural
~ person) without er's prior written consent, Lender may, at its op require immediate payment in fuli of
~ all sums secured by t ecurity Instrument. However, this option shall no e exercised by Lender if exercise is
prohibited by federal law f the date of this Security Instrument. Lender als all not exercise this option if:
G ; (a) Borrower causes to be subm d to Lender information required by Lender to eva e the intended transferee ~
~ ~ as if a new loan were being made t e transferee; and (b) Lender reasonably determine at Lender's security
~ will not be impaired by the loan assumpt~ nd that the risk of a breach of any covenant or agree t in this Securi- ~
~ ty Instrument is acceptable to Lender. ~
y ~ To the extent permitted by applicable law, Le r may charge a reasonable fee as a condition to Len ' con-
t ~o sent to the loan assumption. Lender may also require t ransferee to sign an assumption agreement that is acc
_ p~ able to Lender and that obligatec the transferee to keep a e promises and agreements made in the Note and in
this Security Instrument. Borrower will cantinue to be obligate der the Note and this Security Instrument uniess
I.ender releases Borrower in writing.
MULTISTATE ADJUSTABIE RATE RIDER-ARM 5•2-S~ngle Family-Fanni~ iNa~lFr~ddl~ M~c U~iform Inauum~nS Fotm 3111 3/65
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