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ADJUSTABLE RATE RIDER 41 Year Treasury Iaskx—Rate Caps —Fixed Rate Convention Option) J THIS ADJUSTABLE RATE RIDER is made this 24th day of September 19 87 , and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed (the "Security Instrument ") of the same date given by the undersigned (the "Borrower ") to secure Borrower's Adjustable Rate Note (the "Note ") to Superior Mortgage, Inc. (the "Lender ") of the some date and covering the property described in the Security Instrument and located at: 4247 Spur Lana, Grand Island, Nebraska 68803 (Property Address► THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT THE BO.IROWER'S ADJUSTABU INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM ADJUSTABLE RATE THE BORROWER MUST PAY. THE NOTE ALSO CONTAINS THE OPTION TO CONVERT THE ADJUSTABLE RATE TO A FIXED RATE. ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Leader further covenant and agree as follows: A. ADJUSTABLE RATE AND MONTHLY PAYMENT CHANGES The Note provides for an initial interest rate of 7.375 56. The Note provides for changes in the adjustable interest rate and the monthly payments, as follows: 4. ADJUSTABLE INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Chomp Data The adjustable interest rate I will pay may change on the first day of October 19 88 . and on that day every 12th month thereafter. Fach date on which my adjustable interest rate could change is called a "Change Date." (B) TIM Iatlex Beginning with the first Change Date, my adjustable interest rate will be based on an Index. The "Index" is the weekly average yield on United States Treasury securities adjusted to a constant maturity of I year, as made available by the Federal Reserve Hoard. The most recent Index figure available as of the date 45 days before each Change Date is called the "Current index." If the Index is no longer available, the Note Holder will choose a new index which is based upon comparable information. The Note Holder will give me notice of this choice. (C) CalculaMm of Cltaages Before each Change Date, the Note Holder will calculate my new interest rate by adding two and nine – tenths percentage pants ( 2.90 fir) to the Current Index. The Note Holder will then round the result of this addition to the nearest one- eighth of one percentage point (0.1259(). Subject to the limits stated in Section 4(D) below, this rounded amount will be my new interest rate until the next Change Date. The Note Holder will then determine the amount of the monthly payment that would be sufficient to repay the unpaid principal that I am expected to owe at the Change Date in full on the maturity date at my new interest rate in substantially equal payments. The result of this calculation will be the new amount of my monthly payment. (D) Units an laterest Rate Changes The interest rate 1 am required to pay at the first Change Date will not be greater than 9.375 % or less than 5.375 %. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than two percentage points (2.0%) from the rate of interest 1 have been paying for the preceding 12 months. My interest rate will never be greater than 13.375 %. The interest rate limits of this Section 4(D) will not apply if I exercise my Conversion Option under Section 5 of this Note. (E) Effective Date of Cite" My new interest rate will become effective on each Change Date. 1 will pay the amount of my new monthly payment beginning on the first monthly payment date after the Change Date until the amount of my monthly payment changes agakf: (F) Nadu of Chaftes; 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 include 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. nXED- INTEREST RATE OPTION The Notice provides for the Borrower's option to convert from an adjustable interest rate with interest rate limits to a fixed interest rate, as follows: s. FIXED isnium RATE CONVERSION OPTION (A) to Calvert to Fixed Rate 1 have a Conversion Option which 1 can exercise unless I am in default or this Section 5(A) will not permn me to do so. The "Conversion Option is my option to convert the interest rate I am required to pay by this Note from an adjustable fate with interest rate limits to the fixed rate calculated under Section 5(0) below. The conversion can only take plaice on a date specified by the Note Holder during the period beginning on the first Change Dam and coding on the fifth Change Date. Each date on which my acljustahle interest rate can comers to the new fixed rate is called the "Conversion Date." 1110I4"PATE ADJUSTAKE RATE 11101101 - -Anal PLAN a7.- Single Fsowy Fww" Mee Unitotm Msnutnent Farm 3110 717 tbtffi-Ai�r €6$. vMdMgN767AG4rq')p,;,ffi . i)9:1t7UDXICb4l • ifttit�l4Y� 1pN1 gg �