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ADJUSTABLE RATE RIDER 100194
<br />(1 Year Treasury Index -Rate Caps)
<br />THIS ADJUSTABLE RATE RIDER is made this lath day of lantiary 19— $62- -•
<br />and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, or Security Deed (the "Security
<br />Instrument ") of the same done given by the undersigned (the "Borrower ") to secure Borrower's Adjustable Rate Note (the "Note") to HOME
<br />FEDERAL SAYINGS i LOAN ASSOCIATION OF GRAND ISLAND, NEBRASKA (the "Lender ") of the same date and covering the
<br />property described in the Security Instrument and located at:
<br />319 South Walnut, Grand Island, NE 68801
<br />(Property Address)
<br />This now contain provillk" allowiag for changes in my interest rate and my monthly
<br />payments. Tills note also limits the amount my interest rate can change at any one time and
<br />abe the Minimum and the maximum rate 1 meat pay.
<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 />A. /NTEMT RATE AND MONTHLY PAYMENT CHANGES
<br />The Note provides for an initial interest rate of 10.5 %. Section 4 of the Note provides for changes in the interest rate and the
<br />monthly payments, as follows: ,
<br />4. INTEREST RATE AND MONTHLY PAYMENT CHANGES
<br />(A) CMage Dtsles
<br />The interest rate I will pay may change on the first day or Fe b rl 3y 119 _ 87 , and on that day e'. -Y
<br />twel yP months thereafter. Each date on which my interest rate could change is called a "Change Date."
<br />(a) The index
<br />Beginning with the first Change Date, my interest rate will be based on an index. The "Index" is the weekly average yield on United States
<br />Treasury securities adjusted to a constant maturity of 1 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 longer 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 />(C) Caltadatton of Cin ages
<br />Before each Change Date, the Note Holder will calculate my new interest rate by adding three percentage
<br />point. ( 3 94) to the Current Index and rounding to the nearest 1 /8th of 1070, subject to the limits stated in Section 4(D) 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 he sufficient to repay in full the principal 1 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. IN,
<br />(D) Limi4 on Interest Rate Changes
<br />The interest rate i am required to pay at the first Change Date will not he greater than 12.5 _17n or less than
<br />9.0 %. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than two QPYsPn t
<br />(2 o/ �.�)
<br />from the rate of interest 1 have been paying for the preceding twelve months. The minimum interest rate on this loan will never be
<br />less than 9.0 % and the maximum interest rate will never be greater than
<br />(E) Effective Date of Changes
<br />My new interest rate will become effective 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 paymc .t changes again.
<br />(F) *4odce of Changes
<br />The Note Holder will mail or deliver to me a notice before each Change Date. fhe 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 Note Holder is required to disclose; and
<br />(iv) the address of the association you could contact regarding any questions about the adjustment notice.
<br />S. CHARGES; LIENS
<br />Uniform Covenant 4 of the Security Instrument is amended to read as follows:
<br />4. {,'hags; 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 />aB notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to
<br />Lerufer receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Security Instrument;
<br />however, Borrower shall not he required to discharge any such lien so long as Borrower: (a) shall agree in writing to the payment of the
<br />obligation secured by such lien in the manner acceptable to Lender; fb) 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 subordinating such lien to this
<br />Security Instrument.
<br />If Lender determines that all or any part of' the Property is subject to a lien which may attain a priority over this Security Instrument,
<br />Lauder shall give Borrower a notice identifying such lien. Borrower shall satisfy such lien or take one or more of the actions set forth above
<br />within fen day%of the giving of the notice.
<br />L
<br />C. NOTICE
<br />Uniform Covenant 14 of the Security I fall umem is amended to read as f allows:
<br />14. %Nice. Nxcept for any notice required under applicable law to toe given in another manner. (al any notice to Boltrwcr provided lo! m the,
<br />Smurity In+t.rument shall be given by delivering it or by mailing it III, hrst class !nail to Burrower at the Pr "per ty Addre,v o1 at'u. h :rthei addre'v
<br />as fintfower may designate by notice to I ender as provided txrem. anti (bt airs notice !n 1 ender 'hall he giver. t" !ir't ,ia„ mail n, I cadet .,
<br />addtess haled tiefeln tar !u km+other addre%, as I eitdel may designate M',,,live To 11(a7"wci :n ptw nit•d hefrill Am n.1N,C pis•,ided lot m iii,
<br />I^ a i I I y inorit men t shall iw deemed to have been liven to Borf —et ni I rndrr Nhrn pitcu in !hc m..tn It- 1 -4c, iVa;o (" I he!cui
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