|
<br />'..
<br />
<br />:! t
<br />
<br />, \
<br />\
<br />
<br />200801356
<br />
<br />reason, the Mortgage Insurance coverage required by Lender ceases to be available from the mortgage
<br />insurer that previously provided such insurance and Borrower was required to make separately
<br />designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums
<br />required to obtain coverage substantially equivalent to the Mortgage Insurance previously in effect, at a
<br />cost substantially equivalent to the cost to Borrower of the Mortgage Insurance previously in effect,
<br />from an alternate mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance
<br />coverage is not available, Borrower shall continue to pay to Lender the amount of the separately
<br />designated payments that were due when the insurance coverage ceased to be in effect. Lender will
<br />accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortgage Insurance.
<br />Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan is ultimately paid in
<br />full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve.
<br />Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the amount and
<br />for the period that Lender requires) provided by an insurer selected by Lender again becomes
<br />available, is obtained, and Lender requires separately designated payments toward the premiums for
<br />Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan and
<br />Borrower was required to make separately designated payments toward the premiums for Mortgage
<br />Insurance, Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to
<br />provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in
<br />accordance with any written agreement between Borrower and Lender providing for such termination
<br />or until tem1ination is required by Applicable Law. Nothing in this Section 10 affects Borrower's
<br />obligation to pay interest at the rate provided in the Note.
<br />
<br />Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may
<br />incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage
<br />Insurance.
<br />
<br />Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and may
<br />enter into agreements with other parties that sharc or modifY their risk, or reduce losses. These
<br />agreements are on terms and conditions that are satisfactory to the mortgage insurer and the other party
<br />(or parties) to these agreements. These agreements may require the mortgage insurer to make payments
<br />using any source of funds that the mortgage insurer may have available (which may include funds
<br />obtained from Mortgage Insurance premiums).
<br />
<br />As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any
<br />other entity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts that
<br />derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance,
<br />in exchange for sharing or modifYing the mortgage insurer's risk, or reducing losses. If such agreement
<br />provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the
<br />premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further:
<br />
<br />(a) Any such agreements will not affect the amounts that Borrowcr has agreed to pay for
<br />Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the
<br />amount Borrower will owe for Mortgage Insurancc, and they will not entitle Borrowcr to
<br />any rcfund.
<br />
<br />(b) Any such agreements will not affcct the rights Borrower has ~ if any - with respect to the
<br />Mortgage Insurance under the Homeowncrs Protection Act of 1998 or any other law.
<br />These rights may include the right to receive certain disclosures, to request and obtain
<br />cancellation of the Mortgagc Insurance, to have the Mortgage Insurance terminated
<br />automatically, and/or to receive a refund of any Mortgage Insurance premiums that werc
<br />unearned at the time of such canccllation or termination.
<br />
<br />II. Assignment of Miscellancous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned
<br />to and shall be paid to Lender.
<br />
<br />I f the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the
<br />Property, if the restoration or repair is economically feasible and Lender's security is not lessened.
<br />During such repair and restoration pcriod, Lender shall have the right to hold such Miscellaneous
<br />Proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been
<br />completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender
<br />may pay for the repairs and restoration in a single disbursement or in a series of progress payments as
<br />the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to
<br />be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or
<br />earnings on such Miscellaneous Proceeds. If the restoration or repair is not economically feasible or
<br />Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured
<br />by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such
<br />Miscellaneous Proceeds shall be applied in the order provided for in Section 2.
<br />
<br />In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds
<br />shall be applied to the slims secured by this Security Instrument, whether or not then due, with the
<br />excess, if any, paid to Borrower.
<br />
<br />NEBRASKA - Sij,~h:: Plllllily. fll"f1Jt~ MII~~/fo'I"~lhlllt MII~' UMt'okJ\1 tN~rl"ktIME/"rI'"
<br />02004-2006 Copyright Compliance Sys.tems, Inc. 2D26.6F78 ~ 2006.1 t, 140
<br />[~.'!l~ F'lll!ly R<.l.~"~~< - S<cu,",y In,,,umcnt 0l.20.'
<br />
<br />Initials
<br />
<br />torm 3018 1I1I1
<br />www.c;urtlplilit.lce!i).!.itclTl!i.com
<br />800-96~-~522 - Fax 616.9%.1 ~6]
<br />
<br />ra~e 6 of 1)__.__.._..
<br />
|