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<br />LOAN �: 1208KSB00321755
<br />selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall
<br />continue to pay to Lender the amount of the separately designated payments that were due when the
<br />insurance coverage ceased to be in effect. Lenderwill accept, use and retain these payments as a non-
<br />reiundable loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be non-refundable,
<br />notvvithstanding the fact that the Loan is uitimately paid in full, and Lender shall not be required to pay
<br />Borrower any interest oreamings on such loss reserve. Lender can no longer require loss reserve payments
<br />if Mortgage Insurance coverage (in the amount and for the period that Lender requires) provided by an
<br />insurer selected by Lender again becomes available, is obtained, and Lender requires separately
<br />designated payments toward the premiums for Mortgage Insurance. If Lender required Mortgage
<br />Insurance as a condition of making the Loan and Borrowerwas required to make separately designated
<br />payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to
<br />maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's
<br />requirementfor Mortgage Insuranceends in accordancewith anywritten agreementbeiween Borrowerand
<br />Lender providing for such termination or until termination is required by Applicable Law. Nothing in this
<br />Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note.
<br />Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may
<br />incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance.
<br />Mortgage Insurers evaluate their total risk on all such insurance in force from time to time, and may
<br />enter into agreements with other parties that share or modify their risk, or reduce losses. These
<br />agreements are on terms and conditions thatare satisfactory to the mortgage insurer and the other party
<br />(or parties) to these agreements. These agreements may require the mortgage insurer to make
<br />payments using any source offunds thatthe mortgage insurer may have available (which may include
<br />funds obtained from Mortgage Insurance premiums),
<br />As a result of these agreements, Lender, any purchaser of the note, another insurer, any reinsurer,
<br />any other entity, or affiliate of any of the foregoing, may receive (directly or ind irectly) amounts that derive
<br />from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in
<br />exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement
<br />provided that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the
<br />premiums paid to the insurer, the anangement is often termed "captive reinsurance." Further:
<br />(a) Any such agreements wlll not affect the amounts that Borrowrer has agreed to pay for
<br />Mortgage Insurance, or any other terms of the Loan. Such agreements will not Increase the amount
<br />Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements wlll not affect the rlghts Borrower has - if any - wrlth respect to the
<br />Mortgage Insurance under the Homeowners Protectlon Act of 1998 or any other law. These rlghts
<br />may include the rlght to recelve certaln dlsclosures, to request and obtaln cancellation of the
<br />Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/orto receive
<br />a refund of any Mortgage Insurance premtums thatwere uneamed at the tlme of such cancellation
<br />or terminatlon. ,; :.,
<br />11. Assignmentof Mlscellaneous Procaqds;`Forfeiture. All Miscellaneous Proceeds are hereby
<br />assigned to and shall be paid to Lender.
<br />If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair
<br />of the Property, if the restoration or repair is economically feasible and Lender's security is not lessened.
<br />During such repair and restoration period, Lender shall have the right to hold such Miscellaneous
<br />Proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been
<br />completed to Lender's satisfaction, provided thatsuch inspection shall be undertaken promptly. Lender
<br />may pay for the repairs and restoration in a single disbursement or in a series of progress payments
<br />as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest
<br />to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest
<br />or earnings on such Miscellaneous Proceeds. If the restoration or repair is not economically feasible or
<br />Lender's securitywould be lessened, the Miscellaneous Proceeds shall be applied to the sums secured
<br />by this Securiiy Instrument, whether or not then due, with the excess, 'rf any, paid to Borrower. Such
<br />Miscellaneous Proceeds shall be applied in the order provided for in Section 2.
<br />In the event of a total taking, destruction, or loss in value ofthe Property, the Miscellaneous Proceeds
<br />shall be applied to the sums secured by this Security instrument, whether or not then due, with the
<br />excess, 'rf any, paid to Borrower.
<br />In the event of a partial taking, destrucfion, or loss in value of the Property in which the fair market
<br />value of the Property immediately before the partial taking, destruction, or loss in value is equal to or
<br />greaterthan the amount of the sums secured by this Security Instrument immediately before the partial
<br />taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the sums
<br />secured by this Security Instrument shall be reduced by the amount of the Miscellaneous Proceeds
<br />multiplied by the following iraction: (a) the total amount of the sums secured immediately before the
<br />partial taking, destruction, or loss in value divide�y (b) thefair marketvalue ofthe Property immediately
<br />before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower.
<br />In the event of a partial taking, destruction, or loss in value of the Property in which the fair market
<br />value of the Property immediately before the partial taking, destruc6on, or loss in value is le t an the
<br />Initials s —�°-
<br />NEBRASKA-Single Family-Fannle Mae/Freddte Mac UNIFORM INSTRUMENT Form 30281 /01
<br />Onflne DocumeMs Inc. Page 7 Of 11 NEEDEED 11 OS
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