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<br />Borrower and Lender covenant and agree as follows:
<br />I. That Borrower will pay the indebtedness, as hereinbefore
<br />provided. Privilege is reserved 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 />berehy, the Rorrower will pay to i'te 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
<br />pzemniums that will next beao -me due and payable on ps�avvitj:of f::
<br />and other hooped -
<br />insurance covering the property, plus �z as
<br />assesswent wz?d due on :he property (alias estimated by the Lercb3ry
<br />less all st:—;s avjrady gad therefor divided by the number of mon:hs
<br />to elapse b�� one (I D m- Mih prior to the date when such ground
<br />re 13, preps =�Mi. taxes an3.:ssessments will become del:quent. such
<br />suers to be heed by Lender in trust to pay said ground rents,
<br />premiums, taxes and special assessments• and
<br />(b) All pag-tments mentioned in the preceding subsection of this
<br />paragraph and all payments to be made under the note secured
<br />lereby shall be added together, and the aggregate amount thereof
<br />shall be paid by the Borrower each month in a single payment to he
<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 />(II) interest on the note s9 r:ed hereby;
<br />(ill) amortization of the principal of said note; and
<br />(IV) late charges.
<br />Any deficiency in the arrQ;;rt of such aggregate mo ~cL' payment
<br />shall, unless made good by the Borrower prior to the due date of ti:e
<br />next such pavinent, constitute an event of default under this
<br />mortgage. The Londer may collect a "late charge" not to exceed for
<br />cents MC) for each dollar ($I) of each payment more than fifteen
<br />(15) days in arrears to u ver t +rte extra expense involved in handling
<br />delinquent payments.
<br />3. That if *.tip total of the pa ; :, I ; :,.ewe by the Borrower under
<br />(a) of paragra�s� 2 p:ecetl:TY sh: -': exceed the amount of payments
<br />actually made by the Le cts'f:ir ground rents, [axles and assessments
<br />OT insurance premium, as C'W' case may be, such excess, if the loan rs
<br />current. at the option 5` a Borrower, shall be credited by the
<br />Lender on subseq�;c t payments to be made by the Borrower, o.-
<br />refunded to thr P ;- rower. If, however, the monthly payments mace
<br />by the Borrow ur under (a) of paragraph 2 preceding shall not 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 />necessary 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 />alma Render, in accordance with the provisions of the note secured
<br />rcr.:i�y, full payment of the entire indebtedness represented thereby,
<br />the fJl-cier si.1- is computing the amount of such indebtedness.
<br />Bred cis the a�:w::unt of the Borrower any balance remaining in the
<br />f"- ,, accumulated under the provisions of (a) of paragraph 2 hereof.
<br />if tCere shall be a default under any of the provisions of this
<br />instrument resulting in a public sale of the premises coi-cred hereby,
<br />on
<br />or if the Lender acquire the property otherwise after default, the
<br />Lender shall apply, at the time of the commencement of such
<br />Proceedings, ar 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 Bormtger will pay ground rents, taxes, assessments.
<br />water rates, and other governmental or municipal charges, fines, or
<br />impositions, feu which provision has not been made hereinbefore,
<br />and in.default.thereof the Lender may pay the same; and that the
<br />Borrower will promptly deliver the, official receipts therefor to th4
<br />Lender.
<br />5. The Borrower will pay all taxes which may be levi,!d uvz the
<br />Lenders interest in said real estate and improvements, and which
<br />may be levied upon this instrument or the debt secured hereby ibut
<br />:o d-.e extent that such is not prohibited by law and only to the
<br />Uhst such will not make this loan usurious), but excluding any
<br />income tax, State or Federal, imposed on Lender, aiid will file the
<br />official receipt showing such payment with the Lendei t. Upon
<br />violatio- of this undertaking, or if the Borrower is prohibited by any
<br />law nev:, Zs hereafter existing from-raW g the whole or any pertibn
<br />of the a. 7 esaid taxes, or upon the reri,,ie ing of any court decree
<br />prohibiting the payment by the Borroweir of any such taxes, or if
<br />such law or decree provides that any amount so paid by the
<br />Borrower shall be credited on the debt, the Lender shall have.tt.:
<br />right to give ninety days written notice to the owner of the p-w ,
<br />requiring the payment of the debt. If such notice be given, to �f
<br />debt shal! become due, payable and collectible at expirrio— of
<br />said ninety days.
<br />6. That should the Borrower fail to pay any sum or keep any
<br />covenant provided for in this instrume;: then the Lender, at its
<br />Option, may pay or perform the same, and all expenditures so made
<br />shall be added to the nrincinal sum owing on t) a note, sha!f
<br />be secured hereby, and shall bear interest at the rat s�A forth in the
<br />said note, until paid.
<br />7. That the Borrower hereby assigns. Transfers a:,' :,i.; over to the
<br />Lender, to be applied toward the payment of the n and all sums
<br />secured hereby in case ct'.a default in the perforr•z%t: of any of the
<br />terms and conditions of this instrument o- the sa. Z, rase, all the rents,
<br />revenue•.. ar..d income to be derived fr;,_-T* 'AZ said premises during
<br />such :irre as the indebtedness shall recta;.- enpaid, and the Lendef
<br />shall have power to appoint any agent cr a;er,N i, :-:a desire for the
<br />purpose of repairing said premises and of rert:ng tra. C,z ~e and
<br />collecting the rents, revenues and income, and a :r:a, yay out of said
<br />incomes all expenses of repairing said premises and necessary
<br />Winmtsstons and expenses incurred in renting and managing the
<br />same and of collecting rental% therefrom; the balance remaining, if
<br />any, to he applied toward the discharge of said Indebtedness.
<br />R. That the Borrower will keep the improvements now existing or
<br />hereafter erected on the property, insured as may he required from
<br />time to time by the Lender against loss by fire and other hazards,
<br />casualties and contingencies in such amounts and for such periods as
<br />may he required by the lender and will pay promptly, when due.
<br />any premiums on such insurance, provision for payment of which
<br />has not been made hereinbefore. All insurance shall tx: carried in
<br />companies approved by the Lender and the policies and renewals
<br />thereof shall be held by the Lender and hase attached thereto loss
<br />payable clauses in fawr of and in form acceptable to the Lender. In
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