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<br />Qorrower and Lender covenant and agree as follows:
<br />1. That Borrower will pay the indebtedness, as hereinbefore
<br />Provided- Privilege is resetved'to pay the debt in whole or in part on
<br />any installment due date.
<br />2. That, together with, and in addition to, the monthly payments
<br />Of principal and interest payable under the terms of the note secured
<br />hereby, the Borrower will pay to the Lender, on the first day of each
<br />month until the said note is fully paid. the following sums:
<br />(a) A sum equal to the ground rents, if any, next due, plus the
<br />Premiums that will next become due and payable on policies of fire
<br />and other hazard insurance covering the property. plus taxes and
<br />assessments next due on the property (all as estimated by the Lender)
<br />fens all sums already paid therefor divided by the number of months
<br />to elapse before one (1) month prior to the date when such ground
<br />rents, premiums, taxes and assessments will become deliquent. such
<br />sums to be held by Lender in trust to pay said ground rents.
<br />premiums, taxes and special assessments; and
<br />(b) All payments mentioned in the preceding subsection of this
<br />lauagraph and all payments to be made under the note secured
<br />". by shall be added together, and the aggregate amount thereof
<br />Ball be paid by the Borrower each month in a single payment to be
<br />applied by the Lender to the following items in the order set forth:
<br />(1) ground rents, taxes, assessments, fire and other hazard insur-
<br />ance premiums;
<br />(11) interest on the note secured hercbri-,
<br />(111) amortization of the principal of said note; and
<br />(iV) late charges
<br />Any deficienr,.y in the amount of such aggregate mon1l'111; Payment:..
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<br />shall, unless m good by the Borrower prior to the die ate of the
<br />next such pa meat, constitute an event of default under tlzb
<br />m,artgage. Tf%- Under may collect a "late charge" not to exceed four
<br />cents W) for each dollar ($I) of each payment more than fifteen
<br />(15) days in wears to cover the extra expert involved in handling
<br />delinquent pays, nts.
<br />3. That if the total of the payments made by the Borrower under
<br />(a) of paragraph 2 preceding shall exceed the amount of payments:
<br />actually made by the Lender for ground rene, taxes and assessments
<br />or insurance premiums, as the case may be -such excess, it' the loan it
<br />current, at the option of the Borrower, shall be credited by the
<br />Lender on subsequent payments to be made by tite Borrm+ver. or
<br />refunded to the Borrower. If, however, the monthly payrrrram made
<br />by the Borrower under (a) of paragraph 2 preceding shrdl,net be
<br />sufficient to pay ground rents, taxes and assessments or insurance
<br />Premiums. as the case may be, when the same shall become due and
<br />payable. then the Borrower shall pay to the Lender any amount
<br />r.,e:c;sary to make up the deficiency, on or before the date when
<br />payment of such ground rents, taxes. assessments. or insurance
<br />Premiums shall be due. If at any time the Borrower shall tender to
<br />the Lender. in accordance with the provisions of the note secured
<br />hereby, full payment of the entire indebtedness represented thereby,
<br />the Lender shall. in computing the amount of suvh,indebtedres.
<br />credit to the account of the Burrower any halant:e romainirrl; ir_ tte
<br />funds accumulated under the provisurns. of (a) of paragraph 2 he;ec.i
<br />if there shall be a default under any of the provisions of this
<br />instrument resulting in a public sale of the premise.; covered hereby,
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<br />or if the lender acquires the property other~ �}teT�auZl,iTte
<br />Lender shall apply, at the time of the cOmmcncrment of such
<br />proceedings, or at the time the property is otherwise acquired, the
<br />balance then remaining in the funds accumulated under (a) of
<br />paragraph 2 preceding, as a credit against the amount of principal
<br />then remaining unpaid under said note.
<br />4. That the Borrower will pay ground rents, taxes, assessments,
<br />water rates, and other governmental or municipal charges, fines, or
<br />impositions, for which provision has not been made hereinbefore,
<br />and in default thereof the Lender may pay the same. and that the
<br />Burrower will promptly deliver the official receipts therefor to the
<br />Lender_
<br />5. The Borrower will pay A taxes which may be levied upon the
<br />Lenders interest in said real estate and improvements, and which
<br />may be levied upon this instrument or the debt secured hereby (but
<br />only to the extent that such is not pttrhibited by law and only to the
<br />extent that such will not; inake this Wi n usurious), but excluding any
<br />income tax,, State or fi'Wrral. imposeikon Lender, and will file the
<br />oRciaJ. ties. showing such payment with the Lender. Upon
<br />viofatidn°.cf-this undertaking. or if the Borrower is prrrlribited by any
<br />-41-v now or hereafter existing from paying the whefe_gc.any portion
<br />of the aforesaid taxes, or upon the rendering of any: clnirt decree
<br />prohibiting the payment by the Borrower of any such taxes, or if
<br />such law or decree provides that any zbnount so paid by the
<br />Borrower shall be credited-on the 400.Oie Lender shall have the
<br />right to give ninety days` : -A ileri t;,3*a to the owner of the premises.
<br />requiring the payment of tire debt. iF such notice be given, the said
<br />debt shall become due, payable and collectible at the expiration of .
<br />said ninety days.
<br />6. That should the Borrower fail to pay any sum or-ki# ray
<br />covenant provided for in this instrument, then the Leudtr, at its
<br />option, may pay or perform the same, and all exp6dilinies so made
<br />-shall be added to the principal sum owing on the said note, shall
<br />be secured hereby, and shall bear interest at the rate set forth in ilia
<br />said note, until paid.
<br />7. That the Borrower hereby assigns, transfers and sets over.tu the
<br />Lender, to be applied toward the payment of the note and all'sums
<br />f=ared hereby in case of a default in the performance of any af,tho
<br />fl rr.� and o_rd,itions of this instrument or the said note. all the rents.
<br />�5 income to be derived from the said premises during
<br />nxFa air ;c as the indebtedness shall remain unpaid, and the lender
<br />:lrr:_t fza'�= lower to appoint any agent or agents it n:�; desire for the
<br />W:rpose ►Xrievairing said premises and of renting the same and
<br />collecting «ie cents, revenues and income, and it may pay out of said
<br />incomes all expenses of repairing said premises and necessary
<br />commissions and expenses incurred in renting and managing the
<br />same and of collecting ru:sv:s therefrom; the balance remaining, if
<br />any, to be applied town.& f rte discharge of said indebtedness.
<br />A. That th'; fJcrrower 1w. -N keep the improvements now existing cr
<br />hereafter erected on the p:,u &erty. insured as may be eaj&i,. ed from
<br />time to time by the Lend:. -sr against loss by fire and (Q ar hazards,
<br />ca sualties and eontingencces in such amounts and fo- <uch periods as
<br />tray be ter „ -ed by the Lender and wN ray prorr,;.t,),: when due,
<br />zap Pre+'*': u:'t_ on such insurance, pro•.ijij;n: for paur - -,eat of which
<br />tidy not }:l:W? n"ade herr.;rt .fore. All ins;:rarce shall be carried in
<br />aympamcs approved by the Lender and the policies and stnewats
<br />thereof shall be held by the tender and have attachrai thereto loss
<br />payable clauses in fa%or of and in form acceptable to the Lender. In
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