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200101398 <br />TIMELY PAYMENT REWARDS RIDER °°p� <br />THIS TIMELY PAYMENT REWARDS RIDER is made this - day of� 2—T <br />incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, or Secure ' Deed (he <br />"Security Instrument ") of the same date ggiven b the unders�ii�nr1ed the "Borrower ") to secure Borrower's Note to <br />HEARTHS DE LEN IN CORP. <br />(the "Lender") covering the Property described in the Security Instrument <br />and located at: <br />[Property Address] <br />ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower <br />and Lender further covenant and agree as follows: <br />A. TIMELY PAYMENT REWARDS RATE REDUCTION <br />The Note provides for the reduction in the Borrower,'s interest rate as follows: <br />I . TIMELY PAYMENT REWARDS RATE REDUCTION <br />Borrower has agreed to pay the rate of interest set forth in Section 2 of the Note <br />(the "Note Rate ") until the full amount of principal has been paid. However, if on <br />either the second, third or fourth anniversary of the scheduled due date of the first <br />full installment payment due under the Note (the "Anniversary Date ") Borrower <br />has demonstrated a Good Payment History, Lender agrees to decrease the Note <br />Rate by one percentage point. Borrower will be deemed to have demonstrated a <br />"Good Payment History" if Borrower: (a) has made each of the most recent 24 <br />consecutive monthly payments under the Note and Security Instrument before the <br />date the next payment was due; and (b) has never been late by 3 months or more <br />in making any monthly payments due under the Note. If Borrower demonstrates <br />a Good Payment History, the new Note Rate will take effect on the earliest <br />Anniversary Date on which Borrower has demonstrated a Good Payment History <br />( "Rate Reduction Date "). Beginning with Borrower's first monthly payment after <br />the Rate Reduction Date, Borrower will pay the new amount as the monthly <br />payment until the Maturity Date. Lender will decrease Borrower's Note Rate only <br />one time during the term of the loan, provided Borrower demonstrates a Good <br />Payment History on either of the second, third or fourth Anniversary Date. <br />BY SIGNING BELOW, Borrower accepts and agrees to the terms and provisions contained in this Timely <br />Payment Rewards Rider. <br />(Seal) <br />- Borrower <br />�— _(Seal) <br />- Borrower <br />MULTISTATE TIMELY PAYMENT REWARDS RIDER — Single Family — Fannie Mae UNIFORM INSTRUMENT <br />Form 1412 1I/99 <br />