|
JAN -25 -2001 THU 02:14 PM WELLS FARGO HOME MTG FAX NO. 402 536 2230 P. 23/30
<br />200100732
<br />073
<br />As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer,
<br />any other entity, or any affrliaw of any of the foregoing, may receive (directly or indirectly) amounts that
<br />derive from (or might be characterized as) a portion of Borrower's payments for ortgage Insurance, in
<br />exchange fur sharing or modifying [Iae mortgage i M r►
<br />nsurer's risk, or reducing: losses. If such agreement
<br />provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of file
<br />premiums paid to the 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
<br />Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount
<br />Borrower will owe for Mo[ tgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the rights Borrower has - if an
<br />Nfortgnge Insurance under the Homeowners Protection Act of 1998 or any Other law. These rights
<br />tnuy include the right to receive certain disclosures, to requtst and obtain cancellation of the
<br />Mortgage insurance, to have the XfOrtgage Insurance terminated autom an
<br />ally, d /or to receive .[
<br />refund of any Nlortl;age Ins tica
<br />urance premiums that were unearned At the time of :ugh cancellation or
<br />termination.
<br />11. Assignment of Miscellaneots Proceeds; Forfeiture. All Miscellaneous Proceeds art, hereby
<br />assigned to and shall be paid to Lender.
<br />11 file Property is damaged, such Niscellaneous Proceeds shall be applied to restoration or repair of
<br />the Properly, 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 riglit to hold such Miscellaneous Proceeds
<br />until Lender has had an opportunity to inspect such Property to ensure the w
<br />Lender's sarislaction, In that such inspection shall be undertaken promptly. Lender may pay for the
<br />work has been completed to
<br />repairs and restoration in a single disbursement or in a series of progress payments as he work is
<br />completed. 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 T�orrowet any interest or earnings on such
<br />Ivfisecllancous Proceeds. If the restoration or repair is no[ economically feasible or Lender's security would
<br />be Ivssened, the Miscellaneous Proceeds shall be applied to the Burns secured by this Security Instrument,
<br />whether n [not [hen due, with r i excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be
<br />applied in lire order provided for in Section 2.
<br />In the event of a total liking, destruction, or loss in value of the Property, the hiiscellancous
<br />Proceeds shall be applied to the sutras secured by this Security Instnunent, whether or not then due, with
<br />[ire excess, if ally, 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 />Facing, than tilt:
<br />value of the Property immediately before the partial taking, destruction, or loss in value is equal to or
<br />amount of the sutras secured by this Security Instrument inunediately before the partial
<br />taking, destruction, or loss in value, unless Borrower and lender otherwise a
<br />sccurcd by this Security instrument shall be reduced by the amount of the Miscellaneous Proceeds
<br />dreg in writing, the sums
<br />tnut[iplied by the following fraction: (a) the total amowu ti the sums secured immediately before the
<br />partial taking, destruction, or loss in value divided by (b) the fair market value of the Pro c.rt immediately
<br />before the Partial taking, destruction, or loss in value. Any balance shall be paid to Borrower.
<br />In the event of 1 p � y
<br />Partial taking, destruction, or loss in value of the Property in which the fair market
<br />value of the Property imMedia[cly before the partial taking, destruction, or loss in value is less than rile
<br />amount of the sums secured immediately before the partial Lakin b destruction, or loss in value, unless
<br />Borrower and Lender otherwise :agree in writing, the Miscellaneous , Proceeds shall be applied to the sums
<br />sccurcd by this Security Instrument whether or not the sums are then due,
<br />if the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the
<br />Opposing Party (as defined in the next sentence) offers to make all award to settle a claim for damages
<br />Borrower fails to respond to Lender within 30 day; after the date the notice is given, Lender is authorized
<br />to collect and apply the IVtiscgllaneous Proceeds either to restoration or repair of the Property or to file
<br />sums secured by this Security Instrument, whether or not then due. "Opposing party" means the third party
<br />that owes Borrower 1us PrIlFeeds.$ Proceeds or the piny against wl,otn Borrower has a tight of action in
<br />regard to Miscellaneous Proceeds.
<br />Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, irr
<br />Lender's judgment, could resell in forfeiture of rile Property or other material impairment of bender's
<br />interest in the Property or rights under this Security Instrument. Borrower can cure such a default and if
<br />(MQ -6(NE) r000s) Inq,81 ;�
<br />Pepe 9 of 16
<br />Form 3028 1 /ot
<br />
|