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99 106864
<br /> 2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by Lender,
<br /> Borrower shall pay to Lender on the day monthly payments are du��nder the Note, until the Note is paid in
<br /> full, a sum ("Funds") for: (a) yearly taxes and assessments which may attain priority over this Security
<br /> Instrument as a lien on the Property; (b) yearly leasehold payments or ground rents on the Property, if any;
<br /> (c) yearly hazard or property insurance premiums; (d) yearly flood insurance premiums, if any; (e) yearly
<br /> mortgage insurance premiums, if any; and (fl any sums payable by Borrower to Lender, in accordance with
<br /> the provisions of paragraph 8, in lieu of the payment of mortgage insurance premiums. These items are called
<br /> "Escrow Items." Lender may, at any time, collect and hold Funds in an amount not to exceed the maximum
<br /> amount a lender for a federally related mortgage loan may require for Borrower's escrow account under the
<br /> federal Real Estate Settlement Procedures Act of 1974 as amended from time to time, 12 U.S.C. § 2601 et seq.
<br /> ("RESPA"), unless another law that applies to the Funds sets a lesser amount. If so, Lender may, at any time,
<br /> collect and hold Funds in an amount not to exceed the lesser amount. Lender may estimate the amount of
<br /> Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or
<br /> otherwise in accordance with applicable law.
<br /> The Funds shall be held in an institution whose deposits are insured by a federal agency,
<br /> instrumentality, or entity (including Lender, if Lender is such an institution) or in any Federal Home Loan
<br /> Bank. Lender shall apply the Funds to pay the Escrow Items. Lender may not charge Borrower for holding
<br /> and applying the Funds, annual(y analyzing the escrow account,or verifying the Escrow Items, unless Lender
<br /> pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. However,
<br /> Lender may require Borrower to pay a one-time charge for an independent real estate tax reporting service used
<br /> by Lender in connection with this loan, unless applicable law provides otherwise.Unless an agreement is made
<br /> or applicable law requires interest to be paid, Lender shall not be required to pay Borrower any interest or
<br /> earnings on the Funds. Borrower and Lender may agree in writing, however,that interest shall be paid on the
<br /> Funds. Lender shall give to Borrower, without charge,an annual accounting of the Funds, showing credits and
<br /> debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as
<br /> additional security for all sums secured by this Security Instrument.
<br /> If the Funds held by Lender exceed the amounts permitted to be held by applicable law, Lender shall
<br /> account to Borrower for the excess Funds in accordance with the requirements of applicable law. If the amount
<br /> of the Funds held by Lender at any time is not sufficient to pay the Escrow Items when due, Lender may so
<br /> notify Borrower in writing, and, in such case Borrower shall pay to Lender the amount necessary to make up
<br /> the deficiency.Borrower shall make up the deficiency in no more than twelve monthly payments,at Lender's
<br /> sole discretion.
<br /> Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund
<br /> to Borrower any Funds held by Lender. If, under paragraph 21, Lender shall acquire or sell the Property,
<br /> Lender, prior to the acquisition or sale of the Property, shall apply any Funds held by Lender at the time of
<br /> acquisition or sale as a credit against the sums secured by this Security Instrument.
<br /> 3. Application of Payments. Unless applicable law provides otherwise, all payments received by
<br /> Lender under paragraphs 1 and 2 shall be applied:first,to any prepayment charges due under the Note;second,
<br /> to amounts payable under paragraph 2; third, to interest due; fourth, to principal due; and last, to any late
<br /> charges due under the Note.
<br /> 4. Charges; Liens. Borrower shall pay ail taxes, assessments, charges, fines and impositions
<br /> attributable to the Property which may attain priority over this Security Instrument, and leasehold payments
<br /> or ground rents, if any. Borrower shall pay these obligations in the manner provided in paragraph 2, or if not
<br /> paid in that manner, Borrower shall pay them on time directly to the person owed payment. Borrower shall
<br /> promptly furnish to Lender all notices of amounts to be paid under this paragraph. If Borrower makes these
<br /> payments directly, Borrower shall promptly furnish to Lender receipts evidencing the payments.
<br /> Borrower shall promptly discharge any lien which has priority over this Security Instrument unless
<br /> Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable
<br /> to Lender; (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal
<br /> proceedings which in the Lender's opinion operate to prevent the enforcement of the lien; or(c) secures from
<br /> the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument.
<br /> If Lender determines that any part of the Property is subject to a lien which may attain priority over this
<br /> Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien
<br /> or take one or more of the actions set forth above within 10 days of the giving of notice.
<br /> 5. Hazard or Property Insurance. Borrower shall keep the improvements now existing or hereafter
<br /> erected on the Property insured against loss by fire, hazards included within the term "extended coverage"and
<br /> any other hazards, including floods or flooding, for which Lender requires insurance. This insurance shall be
<br /> maintained in the amounts and for the periods that Lender requires. The insurance carrier providing the
<br /> insurance shall be chosen by Borrower subject to Lender's approval which shall not be unreasonably withheld.
<br /> If Borrower fails to maintain coverage described above, Lender may, at Lender's option, obtain coverage to
<br /> protect Lender's rights in the Property in accordance with paragraph 7.
<br /> All insurance policies and renewals shall be acceptableto Lender and shall include a standard mortgage
<br /> clause. Lender shall have the right to hold the policies and renewals. If Lender requires, Borrower shall
<br /> promptly give to Lender all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall
<br /> give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
<br /> by Borrower.
<br /> Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to
<br /> restoration or repair of the Property damaged,if the restoration or repair is economically feasible and Lender's
<br /> security is not lessened. If the restoration or repair is not economically feasible or Lender's security would be
<br /> LOAN ID: 5700191009
<br /> NEBRASKA-Single Family-FNMA/FHLMC UNIFORM INSTRUMENT A�I FORM 3028 9/90(page 2 oJ 6 pages)
<br /> DT3028A.NEM [UR 2/3/98]
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