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<br />ADJUSTABLE RATE RIDER
<br />
<br />88- 100848
<br />
<br />(1 Ycar Treasury Indcx-Ratc Caps)
<br />
<br />THIS ADJUSTABLE RATE RIDER is made this l6th day of F ehrllRry , 19~,
<br />and is incorpo.atcd into and shall be dcemcd to amend and supplcment the Mortgage, Deed of Trust, or Security Deed (the "Security
<br />Instrument") of the ~ame date given by the undersigned (the "Borrower") to secure Borrower's Adjustable Rate Note (the "Notc") to !:!QM.!;
<br />FEDERAL SAVINGS & LOAN ASSOCIATION OF GRAND ISLAND, NEBRASKA (the "Lender") of thc same date and covcring the
<br />property describcd in the Security Instrument and located at:
<br />
<br />1135 South Locust, Grand Island, NE 68801
<br />(Property Address)
<br />
<br />This note contains provisions allowing for changes In my Interest rate and my monthly
<br />payments. This note also limits the amount my interest rate can change at anyone time and
<br />also the minimum and the maximum rllte I must pay.
<br />
<br />ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Lender
<br />further covenant and agree as follows:
<br />
<br />A. INTEREST RATE AND MONTHLY PAYMENT CHANGES
<br />The Note provides for an initial interest rate of q '1 flJo, Section 4 of the Note provides for changes in the interest rate and the
<br />monthly payments, as follows:
<br />
<br />4. INTEREST RA TE AND MONTHL Y PA VMENT CHANGES
<br />(A) Change Dates
<br />The interest rate I will pay may change on the first day of March , 19 ~,and on that day every
<br />1::' months thereafter. Each date on which my interest rate could change is called a "Change Date."
<br />
<br />(8) The Index
<br />Beginning with thc first Change Date, my interest rate will be based on an Index. The "Index" is the weekly average yield on United States
<br />Treasury se~urities adjusted to a constant maturity of I year, as made available by the Federal Reserve Board, The most recent Index figure
<br />available as of the date 45 days before each Change Date is called the' 'Current Index,"
<br />If the Index is no longcr available, the Note Holder will choose a new index which is based upon comparable information. The Note
<br />Holder will give me notice of this choice.
<br />
<br />(C) Calculation of Chang~
<br />Before each Change Date, the Note Holder will calculate my new interest rate by adding three percentage
<br />points ( ~. n OJo) to the Current Index and rounding to the nearest 1/8th of I flJo, subject to the limits stated in SCl:tion 4(0) below.
<br />This rounded amount will be my new interest rate until the next Change Date.
<br />The Note Holder will then determine the amount of the monthly payment that would be sufficient to repay in full the principal I am
<br />expected to owe on that Change Date in substantially equal payments by the maturity date at my new interest rate. The result of this calculation
<br />will be the new amount of my monthly payment.
<br />
<br />(D) Limits on Interp.st Rate Changes
<br />The interest rate I am required to pay at the first Change Date will not be greater than l4 . 5 flJo or less than
<br />7. '1 0J0, ~~~~~M)tot>Mll<OOtM:b.ll.~llSltGt.~/!ItUUrd<OtMm~~Kate<~~tl.tt)KDt~1bQltla2< x x x x x x x xx
<br />xx ')( ')( ')( ')( x ')( ')( x ')( rmt'll)(be(ltOl:JOf<iJlteJero4Xtlt~gfoubeJPJl:Codi:Di!Xl'101~OlJ(bs, The minimum interest rate on this loan will never be
<br />less than 7 . '1 "10 and the maximum interest rate will never be greater than 1 U '1 0J0,
<br />
<br />(E) Effective Date of Changes
<br />My new interest rate will become effCl:tive on each Change Date. I will pay the amount of my new monthly payment beginning on the first
<br />monthly payment date after the Change Date until the amount of my monthly payment changes again,
<br />
<br />(.') Notice of Changes
<br />The Note Holder will mail or deliver to me a notice before each Change Date, The notice will advise me of:
<br />(i) the new interest rate on my loan as of the Change Date;
<br />(ii) the amount of my monthly payment following the Change Date;
<br />(iii) any additional matters which the Not~ Holder is required to disclose; and
<br />(iv) the address of the association you could contact regarding any questions about the adjustment notice.
<br />
<br />B. CHARGES; LIENS
<br />Uniform Covenant 4 of the SCl:urity Instrument is amended to read as follows:
<br />
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments. and other charges, fines, and impositions attributable to the Property which may
<br />attain a priority over this Security Instrument, and leasehold payments of ground rents, if any, in the manner provided under paragraph 2 hereof
<br />or. if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish Lender
<br />all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to
<br />Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Security Instrument;
<br />however, Borrower shall not be required to discharge any such lien so long as Borrower: (a) shall agree in writing to the payment of the
<br />obligation sCl:ured by such lien in the manner acceptable to Lender; (b) shall in good faith contest such lien by, or defend against enforcement of
<br />such lien in, legal proceedings which in the opinion of Lender operate to prevent the enforcement of the lien or forfeiture of the Property or any
<br />part thereof; or (c) shall secure from the holder of such lien an agreement in a form satisfactory to Lender subordinat.ing such lien to this
<br />Security Instrument.
<br />If Lender determines that all or any part of the Property is subjCl:t to a lien which may attain a priority over this Security Instrument,
<br />Lender shall give Borrower a notice identifying such lien, Borrower shall satisfy such li(l1 or take one or more of the actions set forth above
<br />within ten days of the giving of the notice.
<br />
<br />r
<br />
<br />C. NOTln:
<br />Uniform Covenant 14 of the Sccurity Instrument is amended to read as follows:
<br />
<br />14.' Nollce. Except for any notice required under applicable law to be given in another manner, (a) any notice to Borrower provided for in this
<br />Security Instrument shall be given by delivering it or by mailing it by first class mail to Borrower at the Property Address or at such olher address
<br />as Borrower llIay designate by notice to Lender as provided herein, and (b) any notice to Lender shall be given by first class mail to Lendcr's
<br />address stated herein or to such other address as Lender may designate by notice to Borrower as provided herein, Any notice provided for In Ihis
<br />St.'1:urity Instrumelll shalllx deemed 10 haw heen given to Borrower or Lender when given In the manner deSIgnate,! herem
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