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i o:~n numixr. 9~iJ3a31 t1IJJ~S~'~BLE RATE RI~ER ~
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TNlS .4DJUSTABLE RATE RIDER u made JAN. 19,1990 , and is incorporated intu and shall be decmed ta amend ~
snd supplzr,ent the Mortgage, Dee.d of Tru;t ~r Secwity De~d (the "Security Ia;trument") ~f the same date gir~en by the
undersigned (the `Borrower") to secure Bonower's Adjustable Rate Note (the 'Note`) to Citicorp Savings of Ftorida, A Federal
Sa~~ings and Loan Associatioa (the 'Lender') of the same date and covering t6e property desc~ibed in the Security Instrument and
lucated at:
;
~X100 S, OCFAN DRIVE; ~1002 JENSEN BEACN, FLORIDA 34957
(PROPERTY ADDRESS)
TNE NOTE CONTAINS PROVISIONS ALLOWING FOR CNANGES !N THE INIERES'T RA1E AND THE MONTHLY
PAXMENT. THE N07~ LIMITS THE AMOUNTTNE BORROWER'S ADJUSTABLE IN'IERESI' RATE CAN CHANGE
AT ANY ONE T1ME AND THE MAXIMUM ADJUSTABLE RAIE THE BORROWER MUST RAY. THE NOTE ALSO `
CONTAINS THE OPTION TO CONVERT THE ADIUSTABI.E RATE TO A FIXED RATE.
ADDITIONAL COVENANTS.In addition to the covenants and agreements made in the Security Instrument, Borrower and
Lender further covenant and agree as follows:
.a. ADJUSTABLE RATE AND MONTHLY PAYMENT CHAIVGES ~
The Note provides for an initial interest rate of 9375%. Section 4 of the Note pro~ndes for changes in the adjustable ~
interest rate and the monthly payments, as follows: '
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4. ADJUSTABLE INTERES'T RA'IE AND MONTHLY PAYMENT CHANGES j
(A) Change Dates ~
The adjustable interest rate I will pay may change on AUG. 1,1990 , and on that day every sixth (6th) ~
month thereafter. Each date on which my adjustable interest rate could change is called a"Change Date".
(B) 'ILe Indea~
Beginning with the fust Change Date, my adjustable interest rate will be based on an Index. the "IndeX' is the
weekly auction average (investment) yield on 6-Month United States Treasury Bills, 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 "C~rrent Inde~'.
If the Index is no longer availabte, the Note Holder will choose a new index which is based upan comparabie ~
information. The Note Holder will give me notice of this choice. ;
(C) Calculation of C6anges ~
Before each Change Date, the Note Holder will calculate my new interest rate by adding
, THREE percentage points (3.000% ) to the Current Index. ~
The Note Holder will theo round the result of this addition to the nearest one-eigh[h 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 monthly payment that would be sufficieat to repay the ~
unpaid principal balance that I am expected to owe on the Change Date in full on the maturity date at my new ~
inierest rate in substantially equal payments. The result of this calculation is called the "Full Payment Amount", and
it will be the new amount of my monthly payment.
(D) Lamits on Interest Rate Changes
i My interest rate is subject to the foIIowing limits: '
i
; The rate of in[erest I am required to pay shall never be increased or decreased on any single Ghange Date by
! more than 1.000% from the rate of interest I have been paying for the preceding 6 months.
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i My interest rate will never be greater than 14.875%.
f
~ The interest rate limits of this Section 4(D) will not apply if I exercise my Conversion Option under Sec[ion 5
~ of this Note.
(E) Etfective Date of Changes
t My new interest rate will become effective on each Change Date. I will 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 paymcnt
~ ~han8~
~ (E~ Notke at Changes ~
E The Note Holder will de6ver or mail to me a notice of any changes ia my adjustable interest rate and t6e amount
k of my monthly payment before the effective date of any change. The notice will include information required by law
~ to be given me and also the title and telephone number of a person who will answer any question I may have
regazdiag t6e notice.
B. FIXED Ih'TERES'T RATE OPTION '
~ The Note provides for the Borrower's option to convert from an adjustable interest rate with interest rate limits to a fixcd ,
~nterest rate, as follows:
~ 5. FIXED INTERES'T R.~TE CONVERSION OPTION
; (A) Optfon to Convert to Flaed Rate
~ I have a Conversion Option which I can exercise unless I am in default or this Section 5(A) will not permit me
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to do so. The "Conversion Option' is my option to convert the interest rate I am required to pay by this Note from
an adjustable rate with interest rate limits to the fixed rate calculated uader Section 5(B) below.
- The Conversion can only take place on a date spec~if~ied by the Note Holder during the period beginning on the
second Change Date and ending on the tenth Change Date. Each date on which my adjustable interest rate can
convert to the new fixed rate is called the "Conversion Date.' I can convert my interest rate only on one of these
Conversion Date{s).
If I want to exercise the Conversion Option, I must first meet certain conditions. Those conditions are that: (i)
~ My adjustable rate mortgage payments are current on the date the Note Holder receives my Notice of Conversion
R and conversion fee; (u) I am not otherwise in default or foreclosure unc:er the Note or the Security Instrument on
~ the date the Note Holder receives my Notice of Conversion and conversion fee; (ui) I have not been assessed more
~ than one (1) late charge in the twelve (12) months immediately preceding the date the Note Holder receives my
~ Notice of Conversion and conversion fee; (iv) Within the time specified by the Note Hoider, I obtain from Note
~ Holder the information necessary to comptete the Notice of Conversion; (v) the Note Holder must receive my
~ properly completed Notice of Conversion and conversion fee of 5250.00 within ihe time specified by the Note
Holder; (vi) I have not exercised any Assumption Feature; and (vii) I must give t6e Note Holder any additional
E'114-1039 Six Month Convertible ARM Note Wder (10/88) gOGK PA6E1126
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