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<br />,Any application of payments, insurance proceeds, or Miscellaneous Proceecls to principal due under the Note
<br />sl�all not eYtend or pastpone the due date, or change the amount, of the Periodic Paymen�s.
<br />3. Funds far Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due under lhe
<br />Note, Luitil the Note is paid in I'ull, a sum (the "Funds") to provide for paymenl of amounts due for: (a) iaxes
<br />and assessments and otlier items ��luch can attain priority over I:his Security Instnunent as a lien or
<br />encumbrance on Yhe Properiy; (b) leasehold payments or ground rents on the Froperly, if any; (c) premiums
<br />for any and all insiirance required by Lender tmder Section 5; and (d) Mortgage Insurance premiums, if any,
<br />or any sums payable by Borro�rer to Lender in lieu of the payment of Mortgage Insurance premiums in
<br />accordance with the provisions of Sec[ion 10. These ilems are called "Escrow Items." At originadon or at
<br />any time during the term of the Loan, Lender may require that Community Association Dues, Fees, and
<br />Assessments, if any, be escrowed by Borrower, and such dues, Fees and assessments shall be an Escrow
<br />Item. Borrower shall promptly Furnisli to Lender all notices af amounts to be paid under this Seclion.
<br />Borrower shall pay Lender the Funds for Escrow Items unless Lender tivaives Borrower's obligation ko pay
<br />the Funds for any or all Escrow Items. Lender may �vaive Borrower's obligation to pay to Lender Funds for
<br />any or all Escrow Items al any tune. Any such waiver may only be in �vriting. In the event of such tvaiver,
<br />Borrower shall pay direcfly, wlien and where payable, the amounts due for any Escrow Items for wluch
<br />payment of Funds has been waived by Lender and, if Lender requires, shall furnish to Lender receipts
<br />evidencing such payment wikhin such time period as Lender may require. Borro�ver's obligation to make
<br />such payments and to provide receipts shall for aIl purposes be deemed to be a cavenant and agreement
<br />conta.ined in tlus Security Instrument, as the phrase "covenant and agreement° is used in Section 9. If
<br />Borro��er is obligated tp pay Escrow Items.directly, pursuant to a waiver, and Borro�ver fails to pay the
<br />ainount due for an Escrow Item, Lender may e�ercise its rights under Section 9 and pay such amount and
<br />Borrower shall then be obligated under Section 9 to repay to Lender any such amount. Lender may revoke
<br />the waiver as to any or all Escrow Items at any time by a notice given in accazdance with Section 15 and,
<br />upon such revocation, Bonower shall pay to Lender all Funds, and in such amounts, that are then required
<br />under this Section 3.
<br />Lender znay any ame, collect and hold Funds in an amount (a) sufficient to pernnit Lender to apply the
<br />Funds at the time sgecified under RESPA, and (b) not to eYCeed the ma.�mum amount a lender can require
<br />under RESPA. Lender shall estimate the amount of Funds due on the basis of current data and reasonable
<br />estimates of expenditures of future Escrow Items or othenvise in accordance with Applicable Law.
<br />The Funds s1�aI1 be held in an institution �vhose deposits are insured by a federal agency, instrumentality, or
<br />entity (including Lender, if Lender is asi institudon whose deposits are so insured) or in any Federal Home
<br />Lo1n Bank. Lender shall apply the Funds to pay the Escro�v Items no later than the time sgecified under
<br />RESPA. Lender sliall not charge Borrower for holding and applying the Funds, annually analyzing the
<br />escro�� account, or vezifying the Escmw Items, unless Lender pays Horrower interest on the Funds and
<br />Applicable Law permits Lender to make such a charge. Unless an agreement is made in writing or
<br />Applicable Law requires interest to be paid on the Funds, Lender shaIl not be required to pay Borrotiver any
<br />interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest sl�aall be
<br />paid on the Funds. I,ender shall give to Borrower, wi�llout charge, an annual accounting of the Funds as
<br />required by RESPA
<br />If there is a surplus of Funds lield in escrorv, as defined under RESPA, Lender shall account to Borrower for
<br />the eYCess �uc�ds in accordance tivith RESPA. IF there is a shortage of Funds held in escrow, as def'med under
<br />RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount
<br />necessary to make up the shortage in accordance with RESPA, but in no more tl��n I2 montlily payments. If
<br />there is a deFiciency of Funds held in escro�v, as defined under RESPA, Lender shall notify Borrower as
<br />NEBRASKASi�Ia Famiiy-Fannla MaelFreddte Mec UNIFORM INSTRUMENT Form 30281/01
<br />VMP � VMPe(N� (110�.Q0
<br />Wolters Kluwer Flrrenolal Services ege 5 of 17
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