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201306108
<br /> DOC ID #: ********684307013
<br /> were due when the insurance coverage ceased to be in effect. Lender will accept, use and retain these
<br /> payments as a non-refundable loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be non-
<br /> refundable, notwithstanding the fact that the Loan is ultimately paid in full, and Lender shall not be
<br /> required to pay Borrower any interest or earnings on such loss reserve. Lender can no longer require loss
<br /> reserve payments if Mortgage Insurance coverage (in the amount and for the period that Lender requires)
<br /> provided by an insurer selected by Lender again becomes available, is obtained, and Lender requires
<br /> separately designated payments toward the premiums for Mortgage Insurance.If Lender required Mortgage
<br /> Insurance as a condition of making the Loan and Borrower was 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 /> requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and
<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 enter
<br /> into agreements with other parties that share or modify their risk,or reduce losses.These agreements are on
<br /> terms and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these
<br /> agreements. These agreements may require the mortgage insurer to make payments using any source of
<br /> funds that the mortgage insurer may have available (which may include funds obtained from Mortgage
<br /> Insurance premiums).
<br /> As a result of these agreements,Lender,any purchaser of the Note,another insurer,any reinsurer,any other
<br /> entity, or any affiliate of any of the foregoing,may receive (directly or indirectly) amounts that derive from
<br /> (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for
<br /> sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement provides that an
<br /> affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the
<br /> insurer,the arrangement is often termed"captive reinsurance."Further:
<br /> (a) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage
<br /> 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 will not affect the rights Borrower has - if any - with respect to the
<br /> Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These
<br /> rights may include the right to receive certain disclosures, to request and obtain cancellation of
<br /> the Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to
<br /> receive a refund of any Mortgage Insurance premiums that were unearned at the time of such
<br /> cancellation or termination.
<br /> 11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to
<br /> and shall be paid to Lender.
<br /> If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the
<br /> Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During
<br /> such repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds until
<br /> Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's
<br /> satisfaction, provided that such inspection shall be undertaken promptly. Lender may pay for the repairs
<br /> and restoration hi a single disbursement or in a series of progress payments as the work is completed.
<br /> Unless an agreement is made in writing or Applicable Law requires interest to be paid on such
<br /> Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such
<br /> Miscellaneous Proceeds. If the restoration or repair is not economically feasible or Lender's security would
<br /> be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument,
<br /> whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be
<br /> applied in the order provided for in Section 2.
<br /> In the event of a total taking,destruction, or loss in value of the Property, the Miscellaneous Proceeds shall
<br /> be applied to the sums secured by this Security Instrument,whether or not then due,with the excess,if any,
<br /> paid to Borrower.
<br /> In the event of a partial taking,destruction, or loss in value of the Property in which the fair market value of
<br /> the Property immediately before the partial taking, destruction, or loss in value is equal to or greater than
<br /> the amount of the sums secured by this Security Instrument immediately before the partial taking,
<br /> destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the sums secured by
<br /> this Security Instrument shall be reduced by the amount of the Miscellaneous Proceeds multiplied by the
<br /> following fraction: (a) the total amount of the sums secured immediately before the partial taking,
<br /> destruction, or loss in value divided by (b) the fair market value of the Property immediately before the
<br /> partial taking,destruction,or loss in value.Any balance shall be paid to Borrower.
<br /> NEBRASKA--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT(MERS) Form 3028 1/01
<br /> MERS Deed of Trust-NE
<br /> 2006A-NE(12/11) Page 7 of 12
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