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I
<br />90-40599C
<br />UNIFORM COVENANTS Borrower and Lender covenant and agree as follow:
<br />1. Ptsyttseat of Principal aural haters" Prepayaaent and Late Cluarges, Borrower shall promptly pay when due
<br />the principal of and interest on the debt evidenced by the Note and any prepayment and late charges due under the Note.
<br />2. Funds for Ta :a and Insurance, subject to applicable law or to a written waiver by Lender. Borrower shall pay
<br />to Lender on the day monthly payments are due under the Note, until the Note is paid in full, a sum ( "Funds ") equal to
<br />one- twelf1h of: (a) yearly taxes and assessments which may attain priority over this Security Instrument; (b) yearly
<br />leasehold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yearly
<br />mortgage insurance premiums. if any. These items are called "escrow items." Lender may estimate the Funds due on the
<br />basis of current data and reasonable estimstes of future escrow items.
<br />' The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a federal or
<br />r state agency (including Lender if [.ender is such an institution), Lender shall apply the Funds to pay the escrow items.
<br />Lender may not charge for holding and applying the Funds, analyzing the account or verifying the escrow items, unless
<br />mender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and
<br />Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is made or applicable law
<br />requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by
<br />obis Security Instrument.
<br />If the amount of the Funds held by Lender. together with the future monthly payments of Funds payable prior to
<br />the due dates of the escrow items, shall exceed the amount regvired to pay the escrow items when due, the excess shall be,
<br />at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. If the
<br />amount of the Funds held by Lender is not sufficient to pay the escrow items when due, Borrower shalt pay to Lender any
<br />amount necessary to make up the deficiency in one or more payments as required by Lender.
<br />Upon paythent in full of all sums secured by this Security Instrument. Lender shall promptly refund ter Bnrrower
<br />any Funds held by Lender. If under paragraph 19 the Property is sold or acquired by Lender, Lender shall apply, no later
<br />than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at t;he time of
<br />j application as a credit against the sums secured by this Security Instrument.
<br />j 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under
<br />paragraphs 1 and 2 shall be applied: first, to late charges due under the Note; second, to prepayment charges due under the
<br />Note; third, to amounts payable under paragraph 2. fourth, to interest due; and last, to principal due.
<br />4. Charm- Liens. Wrrrwer shall pay all taxes, assessments, charges, fines avid int"itionit "ItribAllahle to the
<br />Property which may attain priority over this Security Instrument. and leasehold payments or ground rents, if any.
<br />4 Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that manner. Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directly. Borrower shall promptly furnish to Lender
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<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has priority over this Security lost rumew unless Borrower: (a)
<br />agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to
<br />;
<br />prevent the enforcement of the lien or forfeiture of any part of the Property; or (c) secures from the holder of the lien an
<br />agreement satisfactory to Lender subordinating the lien to this Security Instrument. if Lender determines that any part of
<br />the Property is subject to a lien which may attain priority over this Security Instrument, Lender may give Borrower a
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<br />notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days
<br />i of the giving of notice.
<br />4:; �-
<br />I S. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property_
<br />insured against loss by fire, hazards included within the term "extended coverage" and any other hazards for which Lender
<br />requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The
<br />j insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall itadWe a standard mortgage clause.
<br />1 Lender shall have the right to hold She policies and renewals. If lender requires, Borrower shall promptly give to Lender
<br />all receipts of paid premiums and renewal notices. In the event of loss. Borrower shall give prompt notice to the insurance
<br />carrier and Lender. Lender may make proof of loss if not made promptly'by Borrower
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
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<br />of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. If the
<br />restorutOn or repair is not economically feasible or Lender's security would be lessened. the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. If
<br />Borrower abandons the Property, or does not answer within 30 day% s notice from Lender that the insurance carrier has
<br />offered to settle a claim, then Leader may collect dw insuratce proceeds. Lender may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Secanty Instmuwnt, whether or not then due. The 30.day period will begin
<br />when the nu ace is given.
<br />Unless Lender and Borrower otherwise aigree in writing, any application of proceeds to principal shall not extend or
<br />postpone the due date of the monthly payments referred to in paragraphs I and 2 or change the amount of the payments. If
<br />under paragraph 19 Ube Property is acquired by Lender. Borrower's right to any insurance policies and proceeds resulting
<br />PrYUtn ehm�or to fw Prnnwriv rvw �n raw arnwni� inn ebnll ns►ua in 1 nndPr en ibP.. ■ePni of rho coma w•nrnrt by t6ic Csruriiv
<br />Instrument immediately prior to the acquisition.
<br />6. Preservation sad Maintemme of Properjy; Leaseholds. Borrower shall not destroy. damage or substantially
<br />change the Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold,
<br />Borrower shall comply with the provisions of the lease, and if Borrower acquires fee title to the Property, the leasehold and
<br />fee title shall not merge unless Lender agrees to the merger in writing.
<br />7. Protection of Lender's Rights is the Property; Mortgage Insurance. If Borrower fails to perform the
<br />covenants and agreements contained in this Security Instrument, or there is a legal proxeeding that may significantly affect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or
<br />regulations), then Lender may doand pay forwhatever is necessary to protect t he value of the Property and Lender's rights
<br />in the Property. Lender's actions may include paying any sums secured by a lien which has priority over this Security
<br />Instrument, appearing in court, paying reasonable attorneys' fees and entering, on the Property to make repairs. Although
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<br />L Lender may take action under this paragraph 1. Lender does not have to do %o.
<br />Any disbursed by Lender 7 txxonic Borrower by
<br />amounts under this. paragraph shall additional debt of secured thi%
<br />Secunty Instrument. Unless Borrower and Lender agree to other term% of pay recent. these amorunt % %hall hear interest from
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<br />the dale of disbumenient at the Norte rate decd %hall 1'+e payable. with rntrre%t, uteri naive from I cnJcr to Ikirrower
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<br />requesting payment.
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