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4L <br />'-166618 <br />(5) ❑ If this box is checked, the interest rate that I pay shall not decrease more than .................... <br />percentage points on any Rate Change Date. <br />(6) a If this box is checked, the interest rate that I pay shall never be more than ......12»9,%.% <br />(7) [} If this box is checked, the interest rate that I pay shall never be less than ......,�„s}kp•• -°,b <br />during the psl, I have my loan. <br />(a) ❑ If this box is checked, the principel and interest payment that I pay shall not inix+eaae <br />more than .. ..... c....... percent on any Payment Change Date. <br />(9) ❑ If this box is checked, the principal and interest payment that I pay shall not demease <br />more than ...................... percent on any Payment Change Date. <br />The Note Holder will adjust the interest rate on each Rate Change Date and on each Payment <br />Change Date so that the change in the interest rate will not be more than those limits marked above. <br />The mthly payment amounts will also change on Payment Change Dates as provided in the <br />Note. Because payment changes may occur lees often than interest, rate changes and /or may be subject <br />to certain limitations described in the Note, the monthly payments may be insufficient at times to pay -ae- <br />cruing interest. In such case, unpaid interest is added to the principal balance of the Note and itawin <br />accrue interest thereafter. Under the terms of the Note, the unpaid principal balance can never exceed a <br />maximum amount equal to One Hundred Twenty -Five Percent (125 %) of the principal amount originally <br />borrowed. <br />(C) Notice of Changes <br />The Note Holder will mail me a notice by first class mail of any changes in my interest rate and <br />the amount of my monthly payment at least thirty and no more than forty -five days before each Payment <br />Change Date. The notice will include information required by law to be given me and also the title and <br />telephone number of a person who will answer any questions I may have regarding the notice. The notice <br />will also include the following information: <br />(i) The Fixed Interest Rate I will pay if I choose to convert my loan into a Fixed Interest Rate <br />Loan as described in Section 3 below; <br />(ii) The amount of my new monthly payment at the Fixed Rate of Interest; and <br />(iii) A date not more than 15 days from the date the notice is given, by which I must execute a <br />Modification Agreement in the Form that Lender may require evidencing the Modification of <br />the Note to provide for a Fixed Interest Rate, and the payment of a conversion fee as <br />described in Section 4 of this Rider. <br />(D) Conversion to Fixed Interest Rate <br />The Note Holder will provide the Borrower the option to convert the Adjustable Rate Loan into <br />a Fixed Interest Rate Loan as follows: <br />.1 CONVERSION TO FIXED INTEREST RATE <br />(A) My Option to Convert <br />I may convert the Adjustable Rate Loan evidenced by a Note of the same date to a Fixed Interest <br />Rate Loan to be fully repaid in substantially equal monthly installments of principal and interest over the <br />ruining term of the loan on the .....1st... 2nd. ..aud..3xd --- - ............... .. ................. Payment Change Dates. <br />(B) My Fixed Rate of Interest and Monthly Payments <br />If I choose to convert to a Fixed Rate, the Note Holder will set the Fixed Rate of Interest at <br />._10-7w ........ %. The new Fixed Interest Rate will become effective on the Payment Change Date on which <br />I convert to a Fixed Interest Rate. <br />My monthly payments at the new Fixed Interest Rate will begin as of the first monthly payment <br />after the Payment Change Date on which I convert. The monthly principal and interest payment will be <br />the amount that is necessary to repay in full the principal I am expected to owe at that Change Date in <br />substantially equal payments on the maturity date at my Fixed Interest Rate. <br />(C) Required Conversion Fee <br />If I choose to convert to a Fixed Rate, I will be required to pay to the Note Holder a Conversion <br />Fee equal to ....1..50......... % of the original amount of the loan upon execution of a Modification Agreement. <br />(D) How to Convert <br />If I choose to convert to a Fixed Rate Loan, I will be required to execute a Modification Agree- <br />ment and pay the required Conversion Fee to the Note Holder within the period set in the Note Holders <br />notice as provided in Section 2 (C) above. If I do not do this within the specified period, I will not have <br />an option to convert unless I can exercise another option on other Payment Change Dates as indicated in <br />Section 3 (A) above. In that case, the interest rate that I will pay will continue to adjust in accordance <br />with Section 2 (B) above. <br />(E)` Effectiveness of Provisions <br />Upon Borrower's execution of the Modification Agreement and payment of the required Conver- <br />sion Fee, Section 3, (A) above shall cease to be effective. <br />4. LOAN' CHARGES <br />It could be that the ban secured by the Security Instrument is subject to a law which seta maximum <br />loan charges and that law is in ald so that the interest or other loan charges collected or to be collected <br />in connecter within the loan would exceed permitted limits. If this is the case, then- (A) any such loan <br />charge aliall be reduced by the amount necessary to reduce the charge to the permitted limit; and (B) any <br />rmum already collected [ram Borrower which exceeded permitted limits will be refunded to Borrower. <br />Lender <br />may choose to make this refund by reducing the principal owed under the Note or by making a <br />direct oavmneemt to Borrower. <br />