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ADJUSTABLE RATE RIDER �• 101890
<br />(1 Year Tteasury Index -Rate Caps)
<br />THIS ADJUSTABLE RATE RIDER is made this _16.tYt_.__ day of Apr-1 1 _, 14 86
<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 date given by the undersigned (the "Borrower ") to secure Borrower's Adjustable Rate Note (the "Note ") to HOME
<br />FEDERAL SAVINGS & 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 />3106 W. North Front Street_ Grand Tsland- NF 68803
<br />(Property Address)
<br />This *oft cootahm proviafous allowing for changes In my interest rate and my monthly
<br />payments, This note also limits the amount my interest rate con change at any one tithe and
<br />also the minimum and the maximum rate 1 toast pay.
<br />ADDITIONAL COVENANTS. In addition to the covenants and agreements made „r the Security Instrument, Borrower and Lender
<br />further covenant and agree as follows:
<br />A. INTEREST RATE AND MONTHLY PAYMENT CHANGES
<br />The Note provides for an initial interest rate of 8.25 __._°JS. 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) Change Data
<br />The interest rate I will pay may change on the first day of _ tia�' — , 19.2_ , and on that day every
<br />f—p l op months thereafter. Each date on which my interest rate could change is called a "Change Date."
<br />(B) 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 I 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) Calculation of Changes
<br />Before each Change Date, the Note Holder will calculate my new interest rate by adding two & one half percentage
<br />points ( 2.5 %) to the Current Index and rounding to the nearest 118th of 1 %, subject to the litnits 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 be sufficient to repay in full the principal I 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.
<br />(D) Litoits on Interest Rate Changes
<br />The interest rate 1 am required to pay at the first Change Date will not be greater than __ 10.25 n or less than
<br />7 - 5 r/s. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than t-ion ppp_rr An t
<br />4 ?'/- j. from the rate of interest I have been paying for the preceding twelve months. The minimum interest rate on this loan will never be
<br />less than 7 - 5 ----17* and the maximum interest rate will never be greater than _ 1 1 - 9
<br />(E) Effective Date of Changes
<br />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
<br />monthly payment date after the Change Date until the amount of my monthly payment changes again.
<br />(t) Notice of Changes
<br />The Note Holder will mail or deliver to me a notice before each Change Date. The 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 />B. CHARGES; LIENS
<br />Uniform Covenant 4 of the Security Instrument is amended to read as follows-
<br />4. Cltnrga; Lien. 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 />all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to
<br />Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Security Instrument;
<br />however, Borrower shall not be 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 hen in the manner acceptable to Lender; (b) 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; of (c) shall secure from the holder of such lien an agreement in a form satisfactory to tender subordinating inch 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 />t.an der 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 ten days of the giving of the notice.
<br />C. NOTICL
<br />Uniform Covenant 14 of the Security Instrument a atnended to read a. follows.
<br />14. Notice. Except for any notice required under applicable law to be given in another manner, (a) in% notice to Borrower ptovwed for m this
<br />Seaurity Instrument %hall he {teen by de i%cring it nr by maiDng a by Ile %t etas, marl to Borrower at the Property Address or at such othet address
<br />as BiKfVwer may dr.%ignate by notice to Lender AN provtd ^d frerem, an<i (b) any nouee to I. ender shalt he gnrn he fast ,.lass mail !„ i ende
<br />addrn%stated hetrrn of to such other addres %as I endct may de ifinate by nonce in Borower ., pnnide,f hr,rnn No, n.....e ,.,., .fed lo, n. th,,
<br />%C'uHiy lntitrumem shalt he r]rerrwii — havr Bern li,,o, to l;nrntwtr err l ender wheft then �n ihr ma j,�vt hcw- !)
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