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ADJUSTABLE RATE RIDER 85- 003668
<br />(I Year Treasury Index -Rate Caps)
<br />THIS ADJUSTABLE RATE RIDER is made this 25th day of Jul y 85
<br />and is incorporated into and shall be deemed to amend and supplement the 1q
<br />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 k LOAN ASSOCIATION OF BRAND ISLAND NEBRASKA (the "Lender ") of the same date and covering the
<br />property described in the Security Instrument and located at:
<br />2747 Lakewood Drive, Grand ?slard, NE 68801
<br />(Property Address)
<br />This note contains provisions allowing for changes in my interest rate and my monthly
<br />Payments. This note also limits the amount my interest rate can change at Soy one time and
<br />also the minimum sad the maximum rate I must 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. INTEREST RATE AND MONTHLY PAYMENT CHANGES
<br />The Note provides for an initial interest rate of _ 10 %. Section 4 of the Note provides for changes in the interest rate and the
<br />monthly payments, as follows:
<br />4. INTEREST RATE AND MONTHL Y P.4 YMENT CHANGES
<br />(A) Change Dates
<br />The interest rate ) will pay may change on the first day of August
<br />_ I q 86
<br />) 2 months thereafter. Each date on which my interest rate could change is called a "Change Date.' and on that day every
<br />(8) Tielntkx
<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 and one -half
<br />points (_ percentage
<br />v/s) to the Current Index and rounding to the nearest I.Bth of 1076, 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 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) Lmib on Interest Rate Changes
<br />The interest rate I am required to pay at the first Change Date will not be greater than v
<br />- 4 - ❑ ' ` � o or less than
<br />Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than *LID
<br />a� 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 _ 9 - 11 alo and the maximum interest rare will never be greater than 14_ Wp,
<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 payment changes again.
<br />(F) Notice of Clihagta
<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 />60 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, Ch$M -: Liests. Borrower shall pay all taxes, assessments, and other charges, fines, and impositions attributable to the Property which mac
<br />attain a priority over this Security Instrument, and leasehold payments of ground rents, if any, in the manner provided under paragraph 2 hercot
<br />or, if not paid in such manner, by Borrower nuking 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 lien in the manner acceptable to Lender; fb) shall in good faith contest such lien by, or defend against enforcement of
<br />such hen m, legal proceedings which in the opinion of Lender operate to prevent the enforcement a the lien or forfeiture of the Property or any
<br />Pan thereof; or (c) shall secure from the holder of such lien an agreement in a form satisfactory to Lender subordinating such hen to ifus
<br />Security Instrument,
<br />If Lender determines that all or any part of the Property is subject 10 a lien which may attain a priority over this Security instrument.
<br />Lender shall give Borrower a notice identifying such lien Borrower shall satisfy such lien or take one or more of
<br />within ten days of the giving of the notice, the actions set lnnh above
<br />C. NOTICE
<br />Uniform Covenant 14 of the Scr :urity lnstrurneni is amended tO read as fo:low,
<br />14. Notice. P.xcept for any notice required under applicable law to he given m anulher manner, (ti) any nuusr w Bon Dori, t,r,n dca I +i n, rhr,
<br />Security Instrumem shall he given by deb wring it Or h.v tnailntg I by lira clan mall 10 lim, raw cr at thr 1,, open% Address rn ai surly , +i hri addr",
<br />a, BbrrOwer may d"tge :ai, by tlwtrce to Lender a, prtwrded herein, and (tit any mnnr to Lender shall hr Rivera tits trash ,Ins• rang i,. I rudci
<br />addre!vs atatet9 hereut ur r v,ch rrt nor address a, Iende+ may destgnalc I +y nnncr iu Bun uw r a -,uu, Boni hcn, m And runi.. ,. I•. ,,, uir,(� r: �r ;,..
<br />'^tmly Im" n>ew shall h, J: rriwd t., hasr been gtcp❑ to Flrnruwrr o, I endr•, .+hen F "In in it a ,
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