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<br />Borrower and Lender covenant and agree as follows:
<br />1. That Borrower will pay the indebtedness. as hercinbefore
<br />provided. Privilege is reserved to pay the debt in whole or in pan 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 hoard insurance covering the property, plus taxes and
<br />assessments next due on the property (all as estimwed by the Lender)
<br />less all sums already paid therefor divided by the number of months
<br />to elaW 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 />paragraph and all payments to be made under the trace secured
<br />hereby shall be added together, and. the aggregate amount thereof
<br />shall be paid by the Borrower ewch 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, tuts, assessments, fire and other honrd insur-
<br />ance Peg mums;
<br />(11) interest an: the mote secured hereby;
<br />(111) amortisation-of.the principal of said note; and
<br />(IV) late charges.
<br />Aeydeficiency in the amount of such aggregate monthly payment
<br />shall. unless made good by the Borrower prior to the due date of the
<br />next such payment constitute an event of default under this
<br />mortgage. The Lender may collect a "late charge" not to exceed four
<br />cents (49) for each dollar (SI ) of each payment more than fifteen
<br />( 15) d=Ys in arrears to newer the cm m expcwx involved in handling
<br />delinquent payments.
<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 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, taxes and assessments or insurance
<br />premiums, as the case may be, when the same shall become due and
<br />payable. then the Rerrower shall pay to the Len fea 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 />premiiLms shall be due. If at any time the Borrower shall tender to
<br />tine Lender, in accordance with the provisions of the note scoured
<br />bereby;.full payment of the entire indebtedness represented thereby,
<br />the. Lender shall, iii computing the amount of Bade indebted'tte<s.
<br />cred" to -the ats.-ount of the Borrower any balance remaining.in.the
<br />fud&.2mumulatecf.under the provisions of (a) .Uf Fwagraph.2litwl' of.
<br />If these shall be a default under any of the proi4idbns ofth:N'
<br />instrument resulting in a public We of the premises covered hereby,
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<br />or if the lender acquires the property otherwise after default, the
<br />Lender shall apply. at the time of the commencement of such
<br />prtaeedings, or at the time the property a otherwise acquired. the
<br />bttlhnce then remaining in the funds accumulated under la) 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 chargm 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 />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 improvement% and which
<br />may be levied upon this instrument or the debt secured hereby (but
<br />oely to the extent that such is not prohibited by. law and only to the
<br />extent that such will not make this loan usurious), but excluding any
<br />iodure tax, State or Federal, imposed on Lender, and will file the
<br />off vial receipt showing such payment with the Lender. Upon
<br />violation of this undertaking, ix.- if the Borrower is prohibited by any
<br />law now or hereafter existing'from paying the whole or any portion
<br />of the aforesaid tares., cr upon the rendering of any court decree
<br />prohibiting the payrnezt,tly tftd: Borrower of any such taxm or if
<br />sud t law or decree pwvides that any amount so paid by the
<br />But�yrrawer shall be credited or; the debt the Lender shall have the
<br />riAti to give ninety days' written notice to the owner of the premises,
<br />requiring the payment of the debt. If such notice be given, the said
<br />d& shall become due, payable and collectible at the expiration of
<br />wind ninety days.
<br />6. That should the Borrower fail to pay any sum or keep any
<br />covenant providal for in this instrument, then: the Lender, at its
<br />option, may pay-or: perform the same, and all expenditures so made .
<br />yk—sli lr wA :d.tL. tAw pewn:i entn nynnott �g tide Sam note, �!1
<br />be secured hereby, and shall bear interest at the rate set forth in the
<br />said mote, until paid.
<br />7. That the Borrower hereby assigns, transfers and sets over to the
<br />LetWer. to be applied toward the payment of the note and all sums
<br />secumd hereby in case of a default in the performance of any of the
<br />terms,and conditions of this instrument or the said note,,W the rents.
<br />revenues and Income to be derived from the said premises durin8
<br />such time as the indebtedness shall remain unpaid, and the Lender,
<br />shall have power-0 appoint any agent or agtnts it may desire for the
<br />purpose of repairing said premises and of renting the same and
<br />allecting the rents, revenues and income, and it may payout of said
<br />int.vmes all expenses of repairing said premises and nea-naaiy
<br />commissions and expenses incurred in renting and insaaging the
<br />same and of collecting rentals therefrom; the balartue remaining, if
<br />any, to be applied toward the discharge of said indebtedness.
<br />8. That the Borrower will keep the improvements now existing or
<br />hereafter erected on the property, insured as may be required from
<br />time to time by the Lender against loss by fire and other hazards,
<br />casualties and- puningencies in such amounts and for such periods as
<br />may be required by the Lender and will pay promptly, when due,
<br />any premiums on such insurance, provision for payment of wbich
<br />hits not been made hereinbefore. All insurance shall be carried in
<br />companies approved by the Lender and the policies and renewals
<br />thereof shall be held by the Lender and have attached thereto loss
<br />payable clauses in favor of and in form acceptable to the Lender. In
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