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200506929 VA Case # 343460168716 Loan ID # 2383037 ADJUSTABLE RATE RIDER (1 Year Treasury Index - Rate Caps) THIS LOAN IS NOT ASSUMABLE WITHOUT THE APPROVAL OF THE DEPARTMENT OF VETERANS AFFAIRS OR ITS AUTHORIZED AGENT. THIS ADJUSTABLE RATE RIDER is made this 15th day of July, 2005 , 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 AMERICA I S CHOICE MORTGAGE, INC, (the "Lender ") of the same date and covering the property described in the Security Instrument and located at: 2131 PARK AVENUE, GRAND ISLAND, Nebraska 68803 [Property Address] 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: A. INTEREST RATE AND MONTHLY PAYMENT CHANGES The Note provides for an initial interest rate of 4.875 %. The Note also provides for changes in the interest rate and the monthly payments as follows: 4. INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Change Dates The interest rate I will pay may change on the first day of October 1st, 2008 , and on that day every 12'h 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 adjustable interest rate will be based on an Index. The "Index" is the weekly average yield on United States Treasury securities adjusted to a constant maturity of one year, as made available by the Federal Reserve Board. The most recent Index figure available as of the date 30 days before each Change Date is called the "Current Index." If the Index is no longer available, the Note Holder will use as a new Index an index prescribed by the Department of Veterans Affairs. The Note Holder will give me notice of this new Index. (C) Calculation of Changes Before each Change Date, the Note Holder will calculate my new interest rate by adding Two and one quarter percentage points ( 2.250 %) to the Current Index. The Note Holder will then round the result of this addition to the nearest one- eighth of one percentage point (0.125 %). Subject to the limits stated in Section 4(D) below, this rounded amount will be my new interest rate until the next Change Date. (D) Limits on Interest Rate Changes The interest rate I am required to pay at the first Change Date will not be greater than 5.875 % or less than 3.875 %. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than One percentage point(s) ( 1.000 %) from the rate of interest I have been paying for the preceding 12 months. My interest rate will never be more than Five percentage points ( 5.0 0 0 %) higher or lower than the initial interest rate stated in Section 2 of the Note. V.A. Adjustable Rate Rider - 1 -Year Treasury Index - Single Family - Amended For Veterans Affairs 10/03 (Rev. 12/04) Multistate 11" Version (page 1 of 2 pages) AA1VB1 - 03032005 www,ProClose.com