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<br />of the separately designated payments #hat were due when the insurance coverage ceased to be in effect.
<br />Lender will accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortgage
<br />Insurance. Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan is ultimately paid
<br />in full, and Lender shall not be required to pay Borrower any interest or earnings on such lass reserve. Lender
<br />can no longer require loss reserve payments if Mortgage insurance coverage (in the amount and for the period
<br />that Lender requires) provided by an insurer selected by Lender again becomes available, is obtained, and
<br />Lender requires separately designated payments toward the premiums for Mortgage Insurance. If Lender
<br />required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately
<br />designated payments toward the premiums for Mortgage Insurance, Borrower shall paythe premiums required
<br />to maintain Mortgage Insurance in effect, or to provide anon-refundable loss reserve, until Lender's
<br />requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and
<br />Lender providing far such termination ar until termination is required by Applicable Law. Nothing in this Section
<br />10 affects Borrower's obligation to pay interest at the rate provided in the Note.
<br />Mortgage Insurance reimburses Lender (or any entity that purchases the Nate) forcertain losses it may
<br />incur if Borrower does not repay the Loan as agreed. Harrower is not a party to the Mortgage Insurance,
<br />Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and may
<br />enter into agreements with other parties that share or modify their risk, or reduce losses. These agreements are
<br />on terms and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these
<br />agreements. These agreements may require the mortgage insurer to make payments using any source of
<br />funds that the mortgage insurer may have available (which may include funds obtained from Mortgage
<br />Insurance premiums).
<br />As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any
<br />other entity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts that derive from
<br />(or might be characterized as) a portion of Borrnwer's payments far Mortgage Insurance, in exchange for
<br />sharing or modifying the mortgage insurer's risk, or reducing lasses. If such agreement provides that an affiliate
<br />of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the insurer, the
<br />arrangement is often termed "captive reinsurance." Further:
<br />(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for
<br />Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount
<br />Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the rights Borrower has - if any -with respect to the
<br />Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may
<br />include the right to receive certain disclosures, to request and obtain cancellation of the Mortgage
<br />Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a refund of any
<br />Mortgage Insurance premiums that were unearned at the time of such cancellation or termination.
<br />11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby
<br />assigned to and shall be paid to Lender.
<br />If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration orrepair of the
<br />Property, if the restoration ar repair is economically feasible and Lender's security is not lessened. During such
<br />repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds until Lender has
<br />had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction,
<br />provided that such inspection shall be undertaken promptly. Lender may pay far the repairs and restoration in a
<br />single disbursement or in a series of progress payments as the work is completed. Unless an agreement is
<br />made in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds, Lender shall
<br />not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If the restoration or
<br />repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with the excess, ifany, paid to
<br />Borrower. Such Miscellaneous Proceeds shall be applied in the order provided far in Section 2.
<br />In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proneeds
<br />shall be applied to the sums secured by this Security Instrument, whether ar not then due, with the excess, if
<br />any, paid to Borrower.
<br />In the event of a partial taking, destruction, ar loss in value of the Property in which the fair market value
<br />of the Property immediately before the partial taking, destruction, ar loss in value is equal to or greater than the
<br />amount of the sums secured by this Security Instrument immediately before the partial taking, destruction, nr
<br />lass in value, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security
<br />Instrument shall be reduced by the amount of the Miscellaneous Proceeds multiplied by the following fraction:
<br />NEBRASKA--Single Family--Fannie MeelFreddle Mec UNIFORM INSTRUMENT (Page 7 of
<br />Nebraska peed of Tnast 3028
<br />NE DDT 01/01
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