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ADJUSTABLE RATE RIDER '200405407 (LIBOR Index - Rate Caps) THIS ADJUSTABLE RATE RIDER is made this 30th day of April 2004 and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed (the Security Instrument) of the same date given by the undersigned (the "Borrower ") to secure Borrower's Adjustable Rate Note (the "Note ") to FIDELITY MORTGAGE INC (the "Lender ") of the same date and covering the property described in the Security Instrument and located at: Proverty Address: 4004 MANCHESTER ROAD, GRAND ISLAND, NE 68803 Address # 2: Address # 3: THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT THE BORROWER'S INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE THE BORROWER MUST PAY. ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Lender further covenant and agree as follows: 1. INTEREST RATE AND MONTHLY PAYMENT CHANGES The Note provides for an initial interest rate of 7 •390 %. The Note provides for changes in the interest rate and the monthly payments as follows: 2. INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Change Dates The interest rate I will pay may change on the 18t day of June 2007 and on that day every sixth month thereafter. Each date on which my interest rate could change is called a "Change Date." (B) The index Beginning with the first Change Date, my interest rate will be based on an Index. The "Index" is the average of interbank offered rates for six -month U.S. dollar - denominated deposits in the London market ( "LIBOR "), as published in "The Wag Street Journal." The most recent Index figure available as of the 15th day of the month 2 months prior to the month in which the Change Date occurs is called the "Current Index." If the index is no longer available, the Note Holder will choose a new index that is based upon comparable information. The Note Holder will give me notice of this choice. (C) Calculation of changes Before each Change Date, the Note Holder will calculate my new interest rate by adding Six and 990 Thousandths percentage point(.) (6.990% %) to the Current Index. The Note Holder will then round the result of this addition to the next highest Five Basis Points (.05 %) Subject to the limits stated in Section 4(D) below, this rounded amount will be my new interest rate until the next Change Date. The Note Holder will then determine the amount of the monthly payment that would be sufficient to repay the unpaid principal that I am expected to owe at the Change Date in full on the Maturity Date at my new interest rate in substantially equal payments. The result of this calculation will be the new amount of my monthly payment. (D) Limits on Interest Rate Changes The interest rate I am required to pay at the first Change Date will not be greater than 10 .3 9 0 % or less than 7.390 Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than one percentage point (t.0 %) from the rate of interest I have been paying for the preceding six months. My interest rate will never be greater than 14.390 or less than 7.390 %, (E) Effective Date of Changes My new interest rate will become effective on each Change Date. 1 will pay the amount of my new monthly payment beginning on the first monthly payment date after the Change Date until the amount of my monthly payment changes again. (F) Notice of Changes The Note Holder will deliver or mail to me a notice of any changes in my interest rate and the amount of my monthly payment before the effective date of any change. The notice will include information required by law to be given me and also the title and telephone number of a person who will answer any question I may have regarding the notice. BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Adjustable Rate Rider. DATE: April 30, 2004 ANTHO R EMPFIELD CPNY R ItPFIELD Doc #20919 - ARMRIDI