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200214263
<br />Morgagc Insurers evaluate their total risk on all such insurance to fume road time to time, and may enter into
<br />agreements with other Parties that share nr muddy their risk, or reduce lasses- These agreements are on terms and conditions
<br />that are satisfactory to the mortgage insurer and the other party ((it parties) to these agveements. These agreements may
<br />require the mortgage insurer to make payments using any source of funds that the mortgage insurer may have available
<br />(which may include funds obtained from Mor @age insurance premiums).
<br />As a result of these a ffrccmcntx, Lender, any purchaseiot the note, another insurer, any orn curcr, any other entity.
<br />nr adilfatc of any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized
<br />as) a portion of Borrower's pa s yruar for Mcrtgage Insurance, In exchange for sharing or modifying the mortgage insurer's
<br />risk, or reducing losses. If, agreement provided that an affiliate of Lander takes a share of the insurer's risk to exchange
<br />fir a share of premiums paid to the insurer, the at is often termed 'captive reinsurance" Further:
<br />(a) Any such agreements will not affect the amounts that Bnrrnwer has agreed to pay for Mortgage
<br />Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will awe for
<br />Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the rights Borrower has — it any — with respect to the Mortgage
<br />Insurance under line Homeowners Protection Act of 1998 or any other law. These rights may include the right to
<br />receive certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the Mortgage
<br />Insurance terminated automatically, and/or to receive a refund Litany Murtgage Insurance premiums that were
<br />unearned at the time of such cancellation or termination.
<br />11. AssigummatofMiseellaneous Proceeds; Forfeiture. All Miscellaneous Proceedsweheiebyassignedwand
<br />shall be paid to Lender.
<br />If the Property is damaged, such Miscellaneous Proceeds shall he applied to restoration or repair of the Property, if
<br />the restoration or repair is economically feasible and Lender's security is not lessened- During such repair and restoration
<br />period, Lender shall have the right to hold such Miscellaneous Proceeds until Under has had an opportunity to inspect such
<br />Property to ensure the work has been completed to I cnder's satisfaction, provided that such inspection shall be undertaken
<br />promptly. Lender may pay for the repairs and restoration in a single dis movement or in a series of pngmss payments as the
<br />work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such
<br />Miscellaneous Proceeds, fender shall not be required to pay Borrower any interest or earnings on such Miscellaneous
<br />Proceeds. If the restoration or repair is not economically fcasihle or Leader's security would be lessened, the Miscellaneous
<br />Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any,
<br />paid to But each Miscellaneous Proceeds shall he applied in the order provided for in Section 2.
<br />In the event of a total caking, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with the excess, it any, paid to Borrower
<br />In the event of u partial taking, destruction, or loss in value of the Property in which die fair market value of the
<br />Property Immediately before the partial tak ing, destruction, or loss in value is equal to or greater than the amount ofthe sums
<br />secured by this Security Instrument immediately before the Pat ter taking, destruction, or loss in value, unless Borrower and
<br />Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the
<br />Miscellaneous Proceeds multiplied by the following traction: (a) the total amount of the sums secured immediately before the
<br />partial taking, destruction, or loss in value divided by (b) the fair maket value of the Property immediately before the partial
<br />taking, destruction, nr loss in value. Any balance shall he paid to Borrower
<br />In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the
<br />Property immediately before Ore partial taking, destruction, or loss in value is less than the amount of the sums secured
<br />immediately before the Partial taking, destruction, nr loss in value, unless Borrower and Lender otherwise agree in wrung,
<br />the Miscellaneous Proceeds allnll be applied to the sums secured by this Security Instrument whether or net the sums are men
<br />due.
<br />If the Property is abandoned by Borrower, or it. after notice by Lender u1 Borrower that the Opposing Party (as
<br />defined in the next sentence) offer to make an award to settle a claim for damages, Borrower tails to respond to Lender
<br />u Thin 30 days offer the date the notice Is given, Lender is authorized to collect and apply the Miscellaneous Proceeds either
<br />to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due.
<br />"Opposing Party" means the third party dial owes Borrower Miscellaneous Proceeds or the party against whom Borrower
<br />has a right of action in reward to Miscellaneous Proceeds.
<br />Borrower shall Abe in default if any action or proceeding whether civil or criminal, is begun that, in Lender's
<br />judgment could result in forfeiture ofthe Propertyor other muteris g impairmentoflender's interest in the Propertyorrights
<br />under this Security Instrument. Borrower can cure such o default and, ifacceleration has occurred, reinstate as provided in
<br />Section I9, by causing the action or proceeding to he dismissed with a ruling that, in Lender's judgment precludes forfeiture
<br />of Property or other material impairment orLeader's interest in the Property or rights under this Security Instrument. The
<br />proceeds of any award or claim for damages that are attributable to the impairment of lender's interest in the Property are
<br />hereby assigned and shall be paid to Lender.
<br />All Miscellaneous Proceeds that are not applied tit rutomtion or repair ofthe Property shall be applied in the order
<br />provided for in Sccdun 2.
<br />12. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or
<br />modification of amortization of die sums secured by this Security instrument granted by Lender to Borrower or any Successor
<br />in Interest of Borrower shall not operate to release the liability of Burrower of any Successors in Interest of Borrower.
<br />Lender shal I not he required to commence In oceedings against any Successor in Interest of Borrower or to refuse to extend
<br />time for payment or otherwise modify amortizuuion of the sums secured by this Security Instrument by reason of any demand
<br />made by the original Borrower or any Successors in Interest of Borrower - Any forbearance by Lender in exercising anyright
<br />ear remedy ineluding, without limitation, Lender's acceprmec of payments from third persons, entities or Successors in
<br />Interest of Borrower or in
<br />amounts less than the amount then due, shall not be a waiver of or preclude the exercise of any right or remedy.
<br />13. ,Joint and Several Liability; Co- signers; Successors and Assigns Bound. Borrowercoverems and agrees
<br />that Borrower's obligations and liability shall be joint and several- Ifoweveq any Borrower who co -signs this Security
<br />Instrument but does not execute the Note (a'co- signer') (a)isco - signing this Security Instrument only to mortgage, grant
<br />and convey the co- signer's interest in the Property under the terms of this Security Instrument. (b) is no[Personally obligated
<br />to pay the sums secured by this Security Instrument; and (c) agrees that lender and any other Borrower can ages to extend,
<br />modify, forbear or make any accommodations with regard to the terms of this Security Instrument ear the Note without the co-
<br />signer's consent
<br />Subject to the provisions of Section 18, any Successor in Interest of Borrower who assumes Bonower s obligations
<br />under this Security Instr ument in writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under
<br />this Security Iustrumen6 Borrower shall not be released from Borrower's obligations and liability under this Security
<br />Instrument unless Lender agrees to such ofruse in writing, The covenants and agreements of this Security Instrument shal I
<br />bind (except as provided in Section 20) and benefit the successors and assigns ofizeder.
<br />14. Loan Charges. Lender may charge Borrower fees for services per formed in connection with Bon rower's
<br />default, for the purpose of protecting Lender's interest in the Property and rights under this .Security Instrument, including,
<br />but not limited to, attorneys' fees, property inspection and valuation fees. In regard to any other fees, the absence of express
<br />authority in this Security Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the
<br />charging of such fee. Lender may not charge fees that at expressly prohibited by this Security Instrument or by Applicable
<br />Ls w.
<br />If the Iran is subject to a law which secs mnxlnturn loan charges, and that law is finally interpreted so that the
<br />interest or other loan charges collected or to be collected in connection with the Iran cxcand the permitted limits, men'. (a)
<br />any such loan charge shat I be reduced by the amount accessary to reduce the charge to the permitted limit and (b) any sums
<br />NE R2LSKA Single PUmily— Fannie MaetrYeddle Mao UNIFORMINS 'fRpMENT Fonn3028 I /oil (,aye5,,[8,xw,o
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