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88- 105195 ADJUSTABLE RATE RIDER (1 Year Treasury Index-R.le Clps-Fb;ed Rate Connrslon Option) THIS ADJUSTABLE RATE RIDER is made this 27th day of September , 19 88 , and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed (the IISecurity InstrumCI1If1) of the same date given by the undersigned (the "Borrowertl) to secure Borrower's Adjustable Rate Note (the IINole") to Central IWrl.gage Corporation (the "Lender") of the same date and covering the property described in the Security Instrument and located at: 3120 Brentwood Circle, Grand Island, Nebrsska 68803 [Property Addrcss) THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT, THE NOTE LIMITS THE AMOUNT THE BORROWER'S ADJUSTABLE INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE THE BORROWER MUST PA V. THE NOTE ALSO CONTAINS THE OPTION TO CONVERT THE ADJUSTABLE RATE TO A FIXED RATE, ADDITIONAL COVENANTS, In addiIion Lo the covenants and agreements made in Ihe Security Ins\rumenL, Borrower and Lender rurl her covenant ilnd agree as Follows: A. ADJUSTABLE RATE AND MONTHLY PAYMENT CHANGES The Nt'le provides for an initial interest rate of 8.125 in the adjustable interest ratc and the monthly payments, as follows: %. The Note provides for changes 4. ADJUSTABLE INTEREST RATE AND MONTHLY PAYMENT CHANGES (AI Chanli. Dat.s The adjustablc interest rale I will pay may change on thc first day of October , 19 89 ,and on that day evcry 12th month thereafter, Each da'e on which my adjustable interest rate cOllld change is caJled a "Chansc DDle," (B) The Ind.. Beginning with the first Chonse Date, my adjustable imerest rOle will be based on an Jndex, The "Jndex" is the weekly average yield on United Sloles Treasury securities adjusted 10 a constant maturity of I year. as made available by the Federal Reserve Board. The most recem Index figure available as of the date 45 days before each Change Date is called the IICurrenr Index, II If the Index is no longcr avaUablc, thc Nolc Holder will choose a new index which is based upon eomparable information. The NOle Holder will give me notice of this choice. (C) ClIIeulll10n of Chana" Before .sch Change Date, the Note Holder will calculate my new interest rate by adding two and seventy-five hundredths percentage points ( 2.75 %) 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(0) below. this rounded amount will be my new interest rate until the next Change Date, The Note Holder willlhen determine the amount of the monthly payment that would be sufficient 10 repay the unpaid principal thai I am expected to owe at the Change Date in full on the maturity date at my new interest rate in substsntially equal payment', The result of this calculation will bc the new amount of my monthly payment. (D) Umlts on Int..... Rite Changes The interest rale I am required to pay at the tirst Change Date willnot be greater than 10. 125 % or less than 6. 125 0/0. Thereafter, my adjustable interest rate will never be increased or decreased on any slnglc Changc Date by more than two perccntagc points (2,0%) from Ihc rate of intere51 I have been paying for the preceding 12 months, My interest rate will never be greater than 14.125 %, which is called the "Maximum Rate". (E) Enecllve Date of Changes My new interest rate will become effective on each Change Date. I will pay the amount of my new monthly paymenl beginning on the first monthly payment date after t~e Change Dale until the amount of my monthly paymenl changes again. (FI Notice of Chanae. The Note Holder will deliver or mail to me a notice of any changes in my adjustable interest rate and the amount of my monthly payment before the effective date of any change. The notice will indude information required by law to be given me and also the title and telephone number of a person who will answer any question I may have regarding the notice. B. FIXED INTEREST RATE OPTION The Note provides for the Borrower's option to convert from an adjustable interest rnle with interesl rate limits to a fixed interest rate. ns follows: 5. FIXED INTEREST RATE CONVERSION OPTION (AI Opllon 10 Convert '0 Fixed Rate I have a Conversion Option that I can exercise unless I am in defaull or thi.. Section 5(A) will not pcrmil mc to do so, The "Conversion Option" is my option to convert lhe interest rate I am required 10 pay by this Noll' from an adjustable rate with intc:resJ rale limits to the fixed Tilte calculated under Section 5(8) below, The conversion can ollly lake place all a datets) specified by the Note Holder during Ihe perioll hc!!.inllllll,! 011 the first Change Dute and ending on Ihe fifth Change Dale. Each date on which my adjustable illll're.'tl rail' ('lIn \.:011\ L'll 10 th~ nc:w Oxcd rutc is culled the "Conversion Date. ,. UULTlITAn ADJUITABLE RATE AIDEA-ARM PLAN 57-5lnglo Fall1lly Fannl. M.. UnIForm Instrum.n1 ~... -84&A 'II/1J. 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