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<br />Borrower and Leader covenant and agree as follows:
<br />I- That Borrower will pay the indebtedness, as hereinbefore
<br />Provided. privilege is reserved 10 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 />Wes mints next due on the property (all as estimated by flee Larder)
<br />lest 411 sums already paid there€ec divided by the ngmber off months
<br />to clot pse before one (I ) mpn,Ctn pr+ar to the date wbo i �wh ground
<br />rents, premiums, taxes and aW*6ments will h txame deliOent, such
<br />sums to be held bz -, lender in trust to pay saiA ground rents,
<br />Premiums. taxe's W4 special assessments; and
<br />(b) All payments mentioned in the preceding subsectivnig this
<br />Paragraph and all payments to be made under the note sepi rd
<br />hereby shall be added together, and the aggregate amount thereof
<br />shall be paid by the Borrower each month in a single payment to be
<br />applied by the Lender to the Billowing items in the order set forth:
<br />(1) ground rents, taxes, rive Meats, fire and other haraid insur-
<br />ancc premiums;
<br />(11) interest on !be emote secured hereby.
<br />(111) amortizatwedof the principal of said note; and
<br />(IV) late charges.
<br />Any deficiency in the amount of such aggregate monthly payment
<br />shall, unless made good by the Borrower prior to th. due, date of the
<br />next such paytttent. constitute an event of default under this
<br />mortgage. The Lender may collect a "late charge' not to exceed four
<br />cents (4e) for each dollar M pof each payment more than fifteen
<br />(IS) days in arrears to cover thee_etra expense involved in handling
<br />delinquent payments.
<br />3- That if OK 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 rents, taxes and assessments
<br />or insurance premiums, as the case may be, such excess, if the loan is
<br />current, at the option of the Borrower, shall be credited by the
<br />Lender on subsequent payments to be made by the Borrower, or
<br />refunded to the Borrower. If, however, the monthly payments made
<br />by the Borrower under (a) of paragraph 2 preceding shall not be
<br />sufficient to pay ground rents, taU:3 and assessments or insurance
<br />Premiums- as the- CAM may be, v lien the same sl-cgl become due and
<br />payable. there 0e.Smawer sftali pay to the l endrfr, arny amount
<br />necessary to mane up the deficiency, on or Ware the a date when
<br />payirtnt of such ground rents, taxes, assessments.' or an, sufarrCle
<br />premiums shall be due. If at any time the Born}wer shall tender to
<br />the Lender, in scoordanee with the provisions of the note secured
<br />hereby. full paymatr¢ of the entire indebtedness represented thereby.
<br />the Lender shall, in Computing the amount of such indebtedness,
<br />credit to the account of the Borrower any balance remaining in the
<br />funds accumulated under the provisions of (a) of paragraph 2 hereof.
<br />If theft shall be a default under any of the provisions of this
<br />instrument resulting in a public sale of the premises covered hereby.
<br />89-- 103202 -- - - -
<br />or if the tender acquires the property otherwise after default, the
<br />Lender shall apply, at the time of the commencement 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 />0. 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 hercinbefore,
<br />and in default thereof the Lender maw pay the same; and that the
<br />Borrower will promptly deliver the official receipts therefor to the
<br />Lender.
<br />S. The Borrower will pay all taxes which may be levied upon the
<br />Lender's interest in said real estate and improvements, and which
<br />may be levied upon this instrument or the debt secured hereby (btj .:
<br />only to the extent that staO -i& npt prohibited by law and only to the•
<br />extent that such will not make this loan usurious), but excluding any
<br />income tax. State or Federal l'.imposed on Lender. And sFiff file the
<br />official receipt showing such payment witlt;tbe Len&r. -Upon
<br />violation of this undertaking, or if the BOiw%>:r is prohibited by any
<br />law now or hereafter existing from payingabe whole cr any portion
<br />of the aforesaid taxes, or upon the rendering of any court decree
<br />prohibiting the payment by the Borrower gf.any such taxes. or if
<br />such law or decree provides that any amouca.so paid by the
<br />Borrower SW be credited on the debt, tk Under shill have the
<br />right to give ttr.*tety days' written notice to the owner of the premises,
<br />requiring the payment of the 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 keep any
<br />covenant provided for in this instrument. then the Lender, at its
<br />Option. may pay or perform the same, and all- expenditures cn.m*de
<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 the
<br />said note, until paid.
<br />7. That the Borrower hereby assigns, transfers and sets. over to the
<br />Lender, to be applied toward the payment of the note amd. all sums
<br />secured hereby in case of a default in the performance of any of the
<br />terms and conditions of this instrument or the said note, all the rents,
<br />revenues and i&,:omc to be derived from the said premises during
<br />such time as the indebtedness shall remain unpaid. and the Lender
<br />shall have power to appoint any agent or agents it may desire for the
<br />Purpose of repairing said premises and of renting the same and
<br />collecting the rents, 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 rentatstherefrom : the balance remaining, if
<br />any, to be applied toward the diwharge of said indebtedness.
<br />8. That the Borrower will keep the improvements now existing or
<br />hereafter erected on the property. irtsurW as may be required from
<br />time to time by the Lender again:m,loas• by fire and other Hazards,
<br />casualties and contingencies in; such amounts and for sum periods as
<br />may be requirtod.by the Ua'der*. rand will pay promptly, when due.
<br />any premium on such insurance; provWda for payment of which
<br />has not been mode hereinbefore. All inuronce shall be carried in
<br />companies awyved by the Lender and dir policies and renewals
<br />thereof shall be held by the Lender and haae'attached thereto loss
<br />payable clauses in favor of and in form acceptable to the Lender. In
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