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I I ~; [. " l 81~ JQ734A r ;~~ '<-' ~ ; (f) The method set forth in this Paragraph 3 of this Adjustable Rate Rider, for deter- mining whether or not an adjustment must be made to the Existing Interest Rate incorporate the effects of the provisions of 24 CFR203.4g(e) (1) and 234.79(e) (1) which require that changes in the Index in excess of one percentage point must be carried over for inclusion in adjustments to the Existing Interest Rate in subsequent years. (g) If the Index is no longer available, Mortgagee will be required to use any index prescribed by the Department of Housing and Urban Development. Mortgagee will notify Mortgagor in writing of any such substitute index (giving all necessary information for Mortgagor to obtain such index) and after the date of such notice the substitute index will be deemed to be the Index hereunder. 4. (a) If the Existing Interest Rate changes on any Change Date, Hortgag~e will recalculate the monthly installment payments of principal and interest to determine the amount which would be necessary to repay in full, on the maturity date, the unpaid principal balance (which unpaid principal balance will be deemed to be the amount due on such Change Date assuming there has been no default in any payment on the Note but that all prepa)'llll!nts on the lIote have been taken into account), at the new Existing Interest Rate, in equal monthly paycents. On or before the Change Date, Mortgage~will give Mortgagor written notice (.Adjus~nt Notice-) of any change in the Existing Interest Rate and of the revised acount of the monthly installment payments of prinCipal and interest, calculated as provided above. Each Adjustrr~nt Notice will set forth (I) the date the Adjustment Iootice is given, (II) the Change Date, (III) the new Existing Interest Rate as adjusted on the Change Oate, (IV) the amount of the adjusted monthly installment pa}~nts, cal- culated as provided above. (V) the Current Index, (VI) the method of calculating the adjustment to the monthly installment pa)~nts, and (VII) any other info~~tion which may be required by law from time to time. (b) Mortgagor agrees to pay the adjusted ~thly installment acount beginning on the first payment date which occurs at least thirty (30) days after Mortgagee has given the Adjustment Notice to Mortgagor. Mortgagor will continue to pay the adjusted ~nthly installment amount set forth in the last Adjustment lIotice given by I~rtgagee to Mortgagor until the first payment date which occurs at least thirty (30) days after mortgagee has given a further Adjustment Notice to Mortgagor. Notwithstanding any- thing to the contrary contained in this Adjustable Rate Rider or the Mortgage. Mortgagor will be relieved on any obligation to pay. and r.ortgagee will have forfeited its ~ight to collect, any increase in the monthly installment amount (caused by the re- calculation of such amount under Subparagraph 4(a) for any pa)~nt date occurring less than thirty (30) days after Mortgagee has given the applicable Adjust=ent Notice to Mortgagor. (c) lIotwithstandlng anything contained in this Adjustable Rate Rider, in the e~ent that (I) the Existing Interest Rate was reduced on a Change Date. and (II) Hort9a~ee failed to give the Adjustlllent liotice l<hen required. and (J1l) Mortgagor, consequently, has made any monthly installment pa)~nts in excess of the avount which would ha~e been set forth in such Adjusbment notice (-Excess Pa)~nts-), then Mortgagor, at ~rtgagor's sole uption, may eitner (1) demand the return frea Mortgagee (who for the purposes of this sentence will be deemed to be the ~rtgagee, or ~rtgagees, who received such Excess Pa)~nts. whether or not any such cortgagee subsequently assigned the Mortgage) of all or any portion of such Excess Pa)~nts. with interest thereon at a rate equal to the Index on. the Change Date l<~en the Existing Interest Rate was so reduced, from the date each such Excess Pa}~nt was made by Mortga~or to repa)~nt, or (2) request that all or any portion of such Excess Pa)~nts, together with all interest therEon calculated a.s~r'ovided above, be applied as pa)-::.ents against principal. 5. Nothing contained in this Adjustable Rate Rider will perGit Mortgagee to acco~plish an interest rate adjustment through an'increase (or decrease) to the unpaid prinCipal balance. Changes to the Existing Interest Rate may only be reflected through adjust~~nt to I~rtgagor's monthly installment payments of principal and interest. as provided for herein. BT SIGIIIllG BElOl/, r.ll)rtgagor accepts and agrees to the terr:>s and covenants contained in this Adjustable Rate Rider. ~ , i; I:.. ~: ~. i. I l I i I i I Mortgagor '5~ '/,0'1 ,;rl/j;/... <:. ',~~:)J(':('')'' BarrvR. NcCormick (Sea I) L I~) ..,.~/- "7/~ ',.' -,).')" ,-.1, -, , I" l.c.' .. '. c ,. . d L 1-. Horlgagor Ronda J. NcCorm1ck ,<Seal) ( h i ~