<br />200703032
<br />
<br />LOAW .. 82501'0803
<br />due under the Note, Borrower shal al$Q pay funds for EsCfOW Items pursuant to Section 3. Payments due under the
<br />Note and this Security Instrument shall be made in U,S. currency. HoweWI', if any check or other instrument received
<br />by Lender as payment under the Note or this Security 1l1lltfument Ia returned to Lender unpaid, Lander may require that
<br />any or all subsequent payments due under the Note and this Securily Instrument be made in one or more of the following
<br />forms, as selected by lender: (a) cash; (b) money order: (c) certIIled check, bank check, treaSurer's check: or cashier's
<br />check, proWled any such chook is drawn upon an institution whose deposits are insured by a federal agency,
<br />instfumentality. or entity: or (d) Electronic Funds Transfer,
<br />Payments are deemed received by lender when received at the location designated in the Note or at such other
<br />location as may be designated by Lender in accordance with the notice provisions In Section 15. Lender may return any
<br />payment or partial payment if the payment or paftial payments arfl insufficient to bring the Loan current, Lender may
<br />accept any payment or partial payment insutlk:ient to bring the Loan CUIT$nt, without waiver of any rights hereunder or
<br />prejudice to Its rights to refuse such payment or partial payments In the tlture, but Lender Is not obligated to apply such
<br />payments at the time such payments are accepted. If each Periodic Payment is applied as of Its scheduled due date,
<br />then Lender need not pay interest on unappied funds. lender may hold such unapplied funds until Borrower makes
<br />payment to bring the Loan current. It Borrower does not do so within a reasonable period of time, Lender shall either
<br />apply such funds or retum them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal
<br />balance under the Note immediately prior to foreclosure. No oftset or claim which Borrower might have now or In the
<br />future agUlst Lender shall releve Borroww from making payments due under the Note and this Security Instrument
<br />or performing the cownants and agreements secured by this Security Instrument.
<br />2. Application ofPayrMnts or ~ Exeeptas otherwise described in1l1is Section 2, aD payments accepted
<br />and applied by Lender shall be applied in the foBowing order of priority: (a) interest due under the Note; (b) principal
<br />due under the Note; (c) amounts due under Section 3. Such paymenb ",hall bEo applied to each Periodic Payment in the
<br />order in which it became due. Any remaining amounts ",hall be applied first to late charges. second to any other amounts
<br />due under this Securily Instrument, and then to reduce the principal balance of the Note.
<br />If LendlH' ~es a payment fTom 6ottOwer for a delinquent Penodic Payment which includft a :tUfflcient MlQUnt
<br />to pay any late charge due, the payment may be applied to the delinquent payment and the late charge. If more 11130
<br />one Pericxfic Payment is outstanding, I...ender may apply any payment received from Borrower to the repayment of the
<br />Periodie Payments if, and to the extent that, each payment can be paid in full. To the extent that any excess exists after
<br />tile payment Is appned to the fun payment of one or mol'Q Periodic Payments, such excess may be applied to any late
<br />charges due. Voluntary prepayments shall be applied first to any prepayment charges and then as described in the Note.
<br />My application of payments, insurance proceeds, or Miscellaneous Proceeds to principal due under the Note shaH
<br />not exlllnd or postpone the due date, or change the amount, of the Periodic Payments.
<br />3. FuncbI for &crow ltema. Borrower shall pay to Lender on the day Periodic Payments 8fe due under the Note.
<br />unlll the Note Is paid in till, a sum (the "Funds") to prOYide for payment of amounts due for; (a) taxes and assessments
<br />and other items which can attain priority over this Security Instrument as a lien or encumbrance on the Property; (b)
<br />leasehold payments or ground rents on the Property, if any; (c) premiums for any and an insurance required by Lender
<br />under Section 5; and (d) Mortgage Insurance premiums, if any, or any sums payable by Borrower to Lender in Deu of
<br />the payment of Mortgage Insurance premiums in accordance with the provisions of Section 10. These lrems are called
<br />"Escrowltems." Atoriglrlalkln otatany~ durirtg e.tltlm ofiM Loan, LendermayrequirfllhatCommunity As$Oeiation
<br />Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall be an
<br />Escrow Item. Borrower shall prompUy fumlsh to Lender all notices of amounts to be paid under this Section. Borrower
<br />shall pay Lender the Funds for Escrow Items unless Lendef waiveG Borrower's obligation to pay the Funds for any or
<br />all Escrow Items. Lendef maywaiw Bom:lwer's obligation to pay to I..ender Funds for any or all Escrow Items at any time.
<br />My suchwalYer may only be in writing. In the event ofsuch waiver, Borrowershall pay directly, whoo and where payable,
<br />the amounts due for any Escrow Items for which payment of Funds has been waived by Lender and, If Lender requires,
<br />shaD fUmiSh to Lender receipts evldenck1g such payment wllhln such time period as Lender may require. Borrower's
<br />obligation to make such payments and to provide receipts shall for all purposes be deemed to be a covenant and
<br />agreement contained in this Security Instfument, as the phrase "covenant and agreement" is used in Section 9. If
<br />Borrower. obligated to pay Escrow Items directly, pursuant to a waMlr. and Borrower falls to pay the amount due for
<br />an Escrow hern, Lender may exercise its rights under Section 9 and pay such amount and Borrower shall then be
<br />obligated under Section 9 to repay to Lender any such amount Lender may rell'Oke the waiver as to any or all Escrow
<br />Items at any time by a notice given in accordance with Section 15 and, upon such revocation, Borrower shal pay to
<br />Lender al Funds, and in sueh amounts, that are then required under this Section 3.
<br />Lender may, at any lime, collect and hold Funds In an amount (8) sufficient to permit lender 10 apply the Funds at
<br />the time specified underRESPA, and (b) notto exceed the maximum amount a lender can require under RESPA. Lender
<br />shal estimate the amount of Func/$ duill> on the basis; of current data and reasonabJt, estimates ofill>xpenditu/'t!$ of future
<br />Escrow Items or otherwise in accordance with Applicable Law.
<br />The Funds shall be held in an institution whose deposits are insured by a federal agency, instrumentality, or entity
<br />Qncluding Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan Bank. lender
<br />shall apply the Funds to pay the Escrow Items no later than the time specitied under RESPA. Lender shall not charge
<br />Borrower for hc:IIding and applytlg the Ftlnds. annually analyzing the escrow account. or verifying the Escrow Items.
<br />unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge. Unless
<br />an agreement Is made In wrltlng or Applicable Law requires lntereStto be paid on the Funds, Lender shall not be required
<br />to pay Borrower any interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest
<br />shall be paid on the Funds. Lender shall give to Borrower, withouteharge, an annual accounting of1l1e Funds as required
<br />by RESPA.
<br />If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the
<br />eXl;:&$S funds in accordance with RESPA.lfthereis a shortage of Funds held in escrow, as defined under RESPA,lender
<br />shall notilY Borrower as required by RESPA, and Borrower $haII pay to Lender the amount necessary to make up the
<br />shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held in
<br />escrow, lI$de1Ined underRESPA, Lendershal notify Borrower as required by RESPA, and Borrower shall pay to Lenderthe
<br />amOlmt necessary to make up the deticimcy in accordance with RESPA, but in no more than 12 monthly jEts.
<br />Upon payment in full of d sums secured by this Security Instrument. Lender shaH promptly refund to any
<br />Funds held by Lender.
<br />Initial...
<br />NIE8flASl(A.-SlngIe F..mlly-"...... ..,."....... _ UNIFORM lMImUMEHT Fom _, /In
<br />C 1~ Onin.. Doc:urt-.ls, Ino. Page 3 of 9 UOEEO ll4O'.:I
<br />
|