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Lender pays Borrower interest on the Funds and applicable law permits 1. ndcr to slake such a ;hL,r.;e Borrower and
<br />Lender
<br />may agree in wnting that interest shall be paid on the Funds. Unless 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 />"I give to Burrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />for
<br />purpose which each dehit to the Funds was made. The Funds are pledged as additional security for the sums secured by
<br />1
<br />1
<br />this Security Instrument.
<br />If the amount of the Funds held by Lender, together with the future monthly payments of Funds payable prior to
<br />the due dates of the escrow items, shall exceed the amount required to pay the escrow items when due. the excess shall be,
<br />at Borrower's option, either promptly repaid to Borrower or credised 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 o- more payments as required by Lender.
<br />Upon payment in full of all sums secured by this Secunty lintrument, Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If under paragraph 19 the Property i, soitl or acquired by Lender, Lender shall apply, no later
<br />than immediately pnor to the sale of the Property or its acqulsulorl by Lender, any Funds held by Lender at the time of
<br />application as a credit against the sums secured h} r um
<br />this Security instent
<br />3. Application of Payments. Unless applicable law pro.tdcs otherwise, all payments recctyed by Lender under
<br />paragraphs 1 and 2 shall be applied: first. to late charges due under thz Note: second, to prepayment charges due under the
<br />Note; third, to amounts under 2; fourth,
<br />payable paragraph 10 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 />'Security
<br />Property which may attain prionty over this Instrument, and leasehold payments or ground rents. if any.
<br />Borrower shall pay these obligations in the manner provided in paragraph -', or if riot paid in that manner. Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall furnish
<br />promptly to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directly, Borrower shall promptly furnish to Lender
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has priority t-er (his Security Instrument unless Borrower iaf
<br />agrees in wnting to the payment of the obligation secured by the uen In a manner acceptable to Lender t hi contests in good
<br />faith the lien bv, or defends against enforcement !Ion
<br />of the In, legal proceedings which m the Lender . „pinion operate to
<br />prevent the enforcement of the lien or forfeiture of any part of the Property. or icl ,ecures from the ht)fder of the lien an
<br />agreement satisfactory to Lender subordinating the lien to this Secunty Instrument if Lender derermlnes that any pan of
<br />the Property is subject to a lien which may attain Secunty
<br />priority dyer this Instrument. Lender mad give Borrower a
<br />notice identifying the lien. Borrower shall satisfy the ben
<br />or take one or more of the actions set forth above within 10 dais
<br />of the giving of notice.
<br />5. Hazard Insurance. Borrower shall keep the :mprovcmerus now existing nr hereafter erected on the Property
<br />insured against loss by fire, hazards included within the term "extended coverage ' and anv other hazard, toe which Lender
<br />requires insurance. This insurance shall be maintained in the amounts and for the periods that Lander requires The
<br />insurance earner providing the Insurance shall be chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withheld.
<br />All Insurance policies and renewals shall be acceptable ro Lender and shall Include a standard mortgage clause.
<br />Lender shall have the right to hold the policies and renewals. If Lender
<br />requires, Borrower snail promptly give to Lender
<br />all receipts of paid premiums and renewal notices. In the event of toss. Borrower shall give prompt tiotice to the irsuraucc
<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 tr restoration or repair
<br />of the Property damaged, If the restoration or repair
<br />is economically feasible and Lender's security Is riot lessened. If the
<br />restoration or repair is not economically feasible or Lender's security would tic lessened, the Insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument.
<br />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 :o repair or restore
<br />the Property or to pay sums secured by this Security Instrument, whether or not then due. The +0
<br />-day period will begun
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree in wnting, any application of proceeds to pnncipai shall not extend or
<br />postpone the due date of the monthly payments referred to in paragraphs i and 2 or change the amount of the payrnenis 11'
<br />under paragraph 19 the Property is acquired by Lender, Borrower's right to any insurance policies and
<br />pr cceds resulting
<br />from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security
<br />Instrument immediately prior to the acquisition.
<br />6. Preservation and Maintenance of Property; Leaseholds. Borrower shall not desirov, daniagir or substantially
<br />change the Property, allow the Property to deteriorate
<br />or commit waste, if this Security Instrument is tin a leasehold.
<br />er shall comply with the provisions of the lease, Borrower
<br />and if acquires fee title to the Property. the leasehold and
<br />festitleshall not merge unless Lender agrees to the merger in writing.
<br />7. Protection of Lender's Rights in the Property: Mortgage Insurance. if Borrower Fails to perform the
<br />covenants and agreements contained In this Secunty Instrument. or there is a legal proceeding That may significantly 'Iffect
<br />Lender's rights in the Property (such as a bankruptcy,
<br />proceeding In probate, for condemnation or to enforce iaws or
<br />regulations). then Lender may do and pay for whatever is
<br />necessary to protect the value of the Property and L..ender's rrchis
<br />in the Property. Lender's actions may include paying, .toy Burn.' secured by a hen which has pnoriry over this tiacurlry
<br />[ttstruincnt, appearing in court, paying reasonable attorneys' Ices
<br />,no entering on the Property to ['rake repairs lthoulth
<br />Lender may take action under this paragraph'. Lender Joe!, not have to jit, so
<br />Any amounts disbursed by Lender under this paragraph ' shi.ili heiaaoc add, 1lona) debt of lit) IOWCI set Ur•tI !w This
<br />Security Instrument Unless Borrower and Lender agree to other terms
<br />of Paymenl. Ihcse amounts shall hear inreresr 11, 31
<br />the date of disbursement at the Note rate and shall he Payable, wish interest, upon ['('flee Iron, Lender 10 fill tatter
<br />rilquesting payment.
<br />If Lender required mortgage insurance as a condition of nlakinhg file loan secured by ihis Security Insuunicnt.
<br />Borrower shall pay the premiums required to maintain the
<br />unuiance in <,tlect r.intil such time as (tic requirement fix the
<br />i rsnre terminates In accordance with lloirrower's anti Lend,•', written agleernent or applicable law
<br />g. inspection. Lender or its agent may make reasonahle entries ulnln inal nispectlolls of ;he Property I,cnder
<br />shalltive Borrower noli ce at the time of Ilr prior to Lin Inspection
<br />NPecllying teasonable Cause for file In,PC01olr
<br />9. Condemnation. The pr(icceds 01' any award or chine for damages, direct or t :onsequenuai. ur i,nnet lwn
<br />'
<br />t will,
<br />any condemnation or other taking of any part of the Property, or for conveyance in lieu of aondrrmwtiixn, .tic herrlty
<br />fined and shall lips paid to Lender. �
<br />il_
<br />In the event of a total taking of the Properiv, the Pr',eeds ,hall tV applied lo the ,urns ,el 'Ir fit by (life tie Ill It
<br />Instrument, whether or mo their dare, will
<br />u �
<br />ally excws4 h�eltl Gi Bnrt lwrr Iii the r+tRl -il a Paihdi ;.11 uI�' .,7 !hr Prnl,t'tly
<br />tml "Orrrlwet J-1 I oldef - fherw',%e apre it' wrlflny; the ;r, .! '!I, `'
<br />J ho I', +1•,'llrrl i(th(rlllFt i-"I, �l,lll I,P !•i� ,i(
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