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<br />200608497
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<br />Insurance previously In effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance
<br />previously In effect, from an alternate mortgage insurer selected by Lender. If substaotially equivalent Mortgage
<br />Insurance coverage is not available, Borrower shall continue to pay to Lender the amount of the separately designated
<br />payments that were due when the Insurance coverage ceased to be In effect. Lender will accept, use and retain these
<br />payments as a non"refundable loss reserve In lteu of Mortgage Insurance. Such loss reserve shall be non-refundable,
<br />notwithstanding the fact that the Loan is ultimately paid in full. and Lender shall not be required to pay Borrower any
<br />interest or earnings on such loss reserve. Lender can no longer require loss reserve payments If Mortgage Insurance
<br />coverage (In the amount and for the period that Lender requires) provided by an insurer selected by Lender again
<br />becomes available, Is obtained, and Lender requires separately designated payments toward the premiums for
<br />Mortgage Insurance. If Lender required Mortgage Iusurance as a condition of making the Loan and Borrower was
<br />required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay
<br />the premiums required to maintain Mortgage Insurance In effect, or to provide a non-refundable loss reserve, until
<br />Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and
<br />Lender providing for such termination or until termination is required by Applicable Law. Nothing In this Section
<br />10 affects Borrower's obligation to pay interest at the rate provided In the Note.
<br />Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur
<br />if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance.
<br />Mortgage Insurers evaluate theIr total risk on all such Insurance In force from time to time, and may enter into
<br />agreements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and
<br />conditions that are satisfactory to the mortgage Insurer and the other party (or parties) to these agreements. These
<br />agreements may require the mortgage insurer to make payments using any source of funds that the mortgage Insurer
<br />may have available (which may Include funds obtained from Mortgage Insurance premiums).
<br />As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any other
<br />entity, or any affiliate of any of the foreguing, may receive (directly or indirectly) amounts that derive from (or might
<br />be characterized as) a portion of Borrower's payments for Mortgage Insurance, In exchange for sharing or modifying
<br />the mortgage insurer's risk, or reducing losses. If such agreement provides that an aDIIiate of Lender takes a share
<br />of the Insurer's risk In exchange for a share of the premiums paid to the Insurer, the arrangement Is often termed
<br />"captive reinsurance." Further:
<br />(a) Any such agreements will not affect the aDlOunts that Borrower has agreed to pay for Mortgage
<br />Insurance, or any other terms of the Loan. Such agreements will not Increase the amount BorroweT will owe
<br />for Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements wiD not affect the rights Borrower has - If any - with respect to the Mortgage
<br />Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may include the right
<br />to receive certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the
<br />Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insurance premiums
<br />that were unearned at the thue of such cancellation or termination.
<br />11. Assignment of MIsceIla:neous Proceeds; Forfelture_ Ail Mlsce1laneous Proceeds are hereby assigned to
<br />and shall be paid to Lender.
<br />If the Property is damaged, such MisceUaneous Proceeds shall be applied to restol1ltlon or repair of the Property.
<br />if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and
<br />restoration period. Lender shall have the right to hold such MIscellaneous Proceeds until Lender has had an
<br />opportonity to inspect such Property to ensure the work has been completed to Lender's satisfaction. provided that
<br />such Inspection shall be undertaken promptly. Lender may pay for the repairs and restol1ltion In a single disbursemellt
<br />or In a series of progress payments as the work Is completed. Unless an agreement Is made in writing or Applicable
<br />Law requires interest to be paid on such Miscellaneous Proceeds. Lender shall not be required to pay Borrower any
<br />Interest or earnings Oil such Miscellaneous Proceeds. If the restol1ltion or repair is not economically feasible or
<br />Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security
<br />Instrument, whether or not then due, with the excess, If any, paid to Borrower. Such Miscellaneous Proceeds shall
<br />be applied in the order provided for in Section 2.
<br />In the event of a total taking, destruction, or loss in value ofthe Property. the MisceJIaneous Proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any. paid to
<br />Borrower.
<br />In the event of a partial taking. destruction, or loss in value of the Property in which the fair market value of
<br />the Property immediately before the partial taking. destruction, or loss In value is equal to or greater than the amount
<br />of the sums secured by this Security Instrument immediately before the partial taking, destruction. or loss in value,
<br />unless Borrower and Lender otherwise agree in writing. the sums secured by this Security Instrument shall be reduced
<br />by tbe amount of the Miscellaneous Proceeds multiplied by the following fraction; (a) the total amount of the sums
<br />secured immediately before the partial taking. destruction, or loss in value divided by (b) the fair market value ofthe
<br />Property immediately before the partial taking. destruction, or loss in value. Any balance shall be 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
<br />the Property inunediately before the partial taking. destruction. or loss in value Is less than the amoont of the sums
<br />secured immediately before the partial taking. destruction. or loss in vaiue. unless Borrower and Lender otherwise
<br />agree In writing. the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument whether
<br />or not the sums are then due.
<br />If the Property is abandoned by Borrower. or If. after notice hy Lender to Borrower that the Opposing Party (as
<br />defined In the next sentence) offers to make an award to settle a claim for damages. Borrower falls to respond to
<br />Lender within 30 days after the date the notice is given, Lender is authorized to collect and apply the Miscellaneous
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<br />NEBRASKA--Slngle Famlly--Fannle Mae/Freddie Mac UNIFORM INSTRUMENT - MERS
<br />Form 3028 1/01 Page 6 of 10
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<br />I)oc....c~ 800-849-1362
<br />www.doctrYg/c.cam
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