|
'Z01.20972
<br />The Funds shall be held in an institution whose deposits are insured by a federal agency,
<br />instrumentality, or entity (including Lender, if Lender is an institution whose deposits are so
<br />insured) or in any Federal Home Loan Bank. Lender shall apply the Funds to pay the Escrow
<br />Items no later than the time specified under RESPA. Lender shall not charge Borrower for
<br />holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow
<br />Items, unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to
<br />make such a charge. Unless an agreement is made in writing or Applicable Law requires
<br />interest to be paid on the Funds, Lender shall not be required to pay Borrower any interest or
<br />earnings on the Funds. Borrower and Lender can agree in writing, however, that interest shall
<br />be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of
<br />the Funds as required by RESPA.
<br />If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account
<br />to Borrower for the excess funds in accordance with RESPA. If there is a shortage of Funds
<br />held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA,
<br />and Borrower shall pay to Lender the amount necessary to make up the shortage in accordance
<br />with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held
<br />in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and
<br />Borrower shall pay to Lender the amount necessary to make up the deficiency in accordance
<br />with RESPA, but in no more than 12 monthly payments.
<br />Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly
<br />refund to Borrower any Funds held by Lender.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and
<br />impositions attributable to the Property which can attain priority over this Security Instrument,
<br />leasehold payments or ground rents on the Property, if any, and Community Association Dues,
<br />Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower
<br />shall pay them in the manner provided in Section 3.
<br />Borrower shall promptly discharge any lien which has priority over this Security Instrument
<br />unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a
<br />manner acceptable to Lender, but only so long as Borrower is performing such agreement; (b)
<br />contests the lien in good faith by, or defends against enforcement of the lien in, legal
<br />proceedings which in Lender's opinion operate to prevent the enforcement of the lien while
<br />those proceedings are pending, but only until such proceedings are concluded; or (c) secures
<br />from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this
<br />Security Instrument. If Lender determines that any part of the Property is subject to a lien
<br />which can attain priority over this Security Instrument, Lender may give Borrower a notice
<br />identifying the lien. Within 10 days of the date on which that notice is given, Borrower shall
<br />satisfy the lien or take one or more of the actions set forth above in this Section 4.
<br />Lender may require Borrower to pay a one -time charge for a real estate tax verification
<br />and /or reporting service used by Lender in connection with this Loan.
<br />5. Property Insurance. Borrower shall keep the improvements now existing or hereafter
<br />erected on the Property insured against loss by fire, hazards included within the term "extended
<br />coverage," and any other hazards including, but not limited to, earthquakes and floods, for
<br />which Lender requires insurance. This insurance shall be maintained in the amounts (including
<br />deductible levels) and for the periods that Lender requires. What Lender requires pursuant to
<br />the preceding sentences can change during the term of the Loan. The insurance carrier
<br />providing the insurance shall be chosen by Borrower subject to Lender's right to disapprove
<br />Borrower's choice, which right shall not be exercised unreasonably. Lender may require
<br />Borrower to pay, in connection with this Loan, either: (a) a one -time charge for flood zone
<br />Form 3028 1/01
<br />NEBRASKA - Single Family - Fannie Mae /Freddie Mac UNIFORM INSTRUMENT Initials
<br />NE /4XXXXXREP00000000000647059N Wolters Kluwer Financial Services VMP®
<br />61-
<br />
|