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20120596�
<br />"covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Items directly, pursuant to
<br />a waiver, and Borrower fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section
<br />9 and pay such amount and Bonower st►all then be obligated under Section 9 to repay to Lender any such amount.
<br />Lendet may revoke the waiver as to any or a11 Escrow Items at any time by a notice given in accordance with Section
<br />15 and, upon such revocation, Borrower shall pay to Lender a11 Funds, and in such amount�, that are then required
<br />under this Section 3.
<br />Lender may, at any time, collect and hold Funds in an amount (a) sufficient to permit Lender to apply the Funds
<br />at the time specified under RESPA, and (b) not to exceed the ma�um amount a lender can require under RESPA.
<br />Lender shall estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures
<br />of futute Escrow Items or otherwise in accorda.nce with Applicable Law.
<br />The Funds shall be held in an institution whose deposits aze insured by a federal agency, instrumentality, or
<br />entity (including Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan
<br />Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time specified under RESPA. Lender
<br />shall not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying
<br />the Escrow Items, unless Lender pays Bonower interest on the Funds and Applicable Law permits Lender to make
<br />such a charge. Unless an ageement is made in writing or Applicable Law requires interest to be paid on the Funds,
<br />Lender shall not be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can agre.e
<br />in writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, without charge, an
<br />annual accounting of the Funds as required by RESPA.
<br />If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for
<br />the excess fimds in accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA,
<br />Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make
<br />up the shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of
<br />Funds held in escrow, as defined under RESPA, Lender shall notify Bonower as required by RESPA, and Borrower
<br />shall pay to Lender the amount necessary to make up the deficiency in accordance with RESPA, but in no more than
<br />12 monthly payments.
<br />Upon payment in full of all sums securedby tlris Security Instrument, Lender shall promptly refund to Borrower
<br />any Funds held by Lender.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to
<br />the Property which can attain priority over this Security Instrument, leasehold payments or ground rents on the
<br />Property, if any, and Community Association Dues, Fees, and Assessments, if any. To the extent that these items
<br />aze Escrow Items, Bonower shall pay them in the manner provided in Section 3.
<br />Bonower shall promptly discharge any lien which has priority over this Security Insttument unless Borrower:
<br />(a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only
<br />so long as Bonower is performing such agreement; (b) contests the lien in good faith by, or defends against
<br />enforcement of the lien in, legal proceedings which in Lender' s opinion operate to prevent the enforcement of the lien
<br />while those proceedings are pending, but only until such proceedings are concluded; or (c) secures from the holder
<br />of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender
<br />determines that any part of the Property is subject to a lien which can attain priority over this Security Instrument,
<br />Lender may give Bonower a notice identifying the lien. Within 10 days of the date on which that notice is given,
<br />Bonower shall satisfy the lien or take one or more of the actions set forth above in this Section 4.
<br />Lendet may require Bonower to pay a one-time charge for a real estate tax verification and/or reporting service
<br />used by Lender in connection with ttus Loan.
<br />5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the
<br />Property insured against loss by fire, ha�ards included within the term "extended coverage," and any other hazards
<br />including, but not limited to, earthquakes and floods, for which Lender requires insurance. Tlus insurance shall be
<br />maintained in the amounts (including deductible levels) and for the periods that Lendet requires. What Lender
<br />requires pursuant to the preceding sentences can change duting the term of the Loan. The insurance carrier providing
<br />the insurance shall be chosen by Bonower subject to Lender' s right to disapprove Borrower' s choice, wluch right shall
<br />NEBRASKA—Single Family—Fannie Mae/Freddie Mac UNIFORM INSTRUMF�VT - MERS padyag/c�
<br />Fortn 3028 1/01 Pege 5 of 15 www,doanagk.com
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