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�6- 100978
<br />I \1FORMCOvF ,,IS Borrowerandlendercctecnaniandag [ceasfotlH`lrr <wrishaL' mom th avwhrndur
<br />1.
<br />Payment of Principal and interest; Prepayment and Late Charges. P p p
<br />the principal of and interest on the debt evidenced by the Note and am prepayment and late charges due under the Note.
<br />2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver fin Lender. Borrower shall pay
<br />to Lender on the day monthly payments are due under the Vote, until the Note is paid in full. a sum ( "Funds ) equal to I
<br />one - twelfth of. (a) yearly taxes and assessments which may attain priority over this Sect,nty Instrument (bl y'rarh'
<br />leasehoM payments or ground rents on the Property, if any; (0 yearly hazard insurance premiums: and (d) yearly
<br />mortgage insurance premiums, if any. These items are called "escrow, items." Lender may estimate the Funds due on the
<br />basis of current data and reasonable estimates of fur ure escrow items.
<br />The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a federal or
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the escrow items.
<br />Lender may not charge for holding and applying the Funds, analyzing the account or verifying the escrow` items, unless
<br />Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge Borrower and
<br />Lender may agree in writing that interest shall be paid on the Funds. finless an agreement is made or applicable law
<br />requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose for which each debit to the Funds was made. The Funds are pledged as addittonal security for the sums secured by
<br />this Security Instrument.
<br />together with the future monthly payments of Funds payable prior to
<br />If the amount of the Funds held by Lender,
<br />the due dates of the escrow items, shall exceed the amount required to pay the escrow items when due, the excess :hall be.
<br />at Borrow'er's option. either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. if the
<br />amount of the Funds held by Lender is not sufficient to pay the escrow items when due, Borrower shall pay to Lender any
<br />amount necessary to make up the deficiency in one or more payments as required by Lender.
<br />Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If under paragraph I9 the Property' is sold or acquired by Lender. Lender shall apply. no later
<br />than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of
<br />application as a credit against the sums secured by this Security Instrument.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under
<br />paragraphs 1 and 2 shall be applied: first, to late charges due under the Note: second, to prepayment charges due under the
<br />Note; third, to amounts payable under paragraph 2: fourth, to interest due: and last, to principal due.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the
<br />Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any.
<br />Borrower shall pay these obligations in the manner provided in paragraph 2, or if nett paid m that manner. Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directly. Borrower shall promptly furnish to Ixnder
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge arty lien which has priority over this Security Instrument unless Borrower (a)
<br />agrees in writing to the payment of the obligation secured by the lien to a manner acceptable to Lender; Ili) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to
<br />prevent the enforcement of the lien or forfeiture of any part of the Property: or (c) secures from the holder of the hen an
<br />agreement satisfactory to Lender subordinating the lien to this Security instrument. If Lender determines that any part of
<br />the Property is subject to a lien which may attain priority over this Security Instrument, Lender may Live Burrower a
<br />notice identifying the lien. Borrower shall satisfy the hen or take one or more of the actions set forth above within 10 days
<br />of the giving of notice.
<br />5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />insured against Ices by fire, hazards included within the term "extended coverage" and any other hazards for which Lender
<br />requires insurance. This insurance shall be maintained in the arnounts and for the periods that Lender requires. The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not he
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause
<br />Lender shall have the right to hold the policies and renewals. If Lender requires. Borrower shall prorptly gr.e to Lender
<br />all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insurance
<br />carrier and Lender Lender may make proof of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
<br />of the Property damaged. if the restoration or repair is economically feasible and Lender's security is not lessened. If the
<br />restoration or repair is not economically feasible or Lender's security would be lessened. the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower If
<br />Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30 -day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or
<br />postpone the due date of the monthly payments referred to in paragraphs! and ? or change the amount of the payments 1£
<br />under paragraph ly the Property is acquired by Lender. Borrower's right to any Insurance policies and proceeds resulting
<br />from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Securny
<br />Instrument immediately prior to the acquisition.
<br />6. Preservation and Maintenance of Property; Leaseholds. Borrower shall not destroy, damage or suhst:utrizlly
<br />change the Propero, allow the Property to deteriorate or commit waste If this Security instrument is an a iea,chold,
<br />Borrower shall comply with the provisions of the lease. and if Borrower acquires fee title to the Property. the leasehold anti
<br />fee role shall not merge unless Lender agrees to the merger in writing.
<br />7. Protection of lender's Rights in the Property: Mortgage Insurance. If Borrower tail:, to perform the
<br />covenants and agreements contained in this Security instrument, or there is a legal proceeding that may significauti> affect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy. probate, for condemnation iu to enforce laws or
<br />rngulattons }, then I.I.-rider may do and pay for whatever is necessary to
<br />protect [lie value of the Props n y :+rid Lender', i ighis
<br />in the Property. Lender ", actions may include paying any sums secured by it hen which lia, pnorm oNer this Se,ullly
<br />Instrument, appearing in court, paying reasonable attorneys* fees and etnering t ri the Propert+ t , make rut. ors A;thnugh
<br />Lender may tale action under this paragraph 7. Lendet dries not have to do sty
<br />Any arnounts dtshursedt` yLenderunderthisparagraph7shadheconi riitionu iuhi !It rr uris< uach.tlrn
<br />Securifyfnsirumrni Unless Brr,+w rrandl .endrrigrert<+,iihcrierrns fpiNrncni h < to u t stilt:i! ntere•itrom
<br />thn date ;,1 disbursement at .ht. 'tote rate and shall he paynhle, ssith into!'st. .il•on
<br />rcrvtur,ting pa': rrtent
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