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20100848G
<br />collect and hold Punds in an amount not ta exceed the lesser amount. Lender rnay estimate the amount of Funds
<br />due on the basis of current data and reasonable estimates of expenditures of future Escrow Itetns or atherwise in
<br />accordance with Applicable Law.
<br />The Funds shall be held in an institution whose deposits are insu.red by a federal agency, instrumentality, or entity
<br />(including Lender, if Lender is such an institution) or in any Federal Home L.oan Bank. Lender shall apply the
<br />Funds ta pay the Escraw Items. Lender may not charge Borrower for holding and applying the Funds, annually
<br />analy2ing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds
<br />and Applicable I.aw permits Lender to make such a charge. Hawever, Lender may require Borrower to pay a one-
<br />time charge for an independent real estate ta7c reporting service used by Lender in connection with this loan, unless
<br />Applicable Law provides otherwise. Unless an agreement is made or Applicable Law requires interest to be paid,
<br />Lender shall not be required to pay Borrower any interest or earnings on the Punds. Borrower and Lender may
<br />agree in writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, without charge,
<br />an aruival accounting of the Fun,ds, showing credits and debits to the Funds and the purpose for which each debit ta
<br />the Funds was made. The Funds are pledged as additional security for all sums secured by this Security Instrum�ent.
<br />If the Funds held by Lender exceed the amounts permitted to be held by Applicable Law, Lender shall account to
<br />Bonower for the excess Funds in accordance with the requirements of Applicable Law. If the amount of the Funds
<br />held by Lender at any time is not suff'icient to. pay the Escrow Items when due, Lender may so notify Borrawer in
<br />writing, and, in such case Borrower shall pay to Lender the amount necessary to make up the de�ciency. Borrower
<br />shall make up the deficiency in no more than twelve monthly payments, at Lender's sole discretion.
<br />Upon payment in full of all sums secured by this Security Inst.�ument, Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If, under the section titled Acceleration; Remedies, I.ender shall acquire or sell the
<br />Property, I�endar, prior to the acquisition or sale o� the Property, shall apply any Funds held by Lender at the time
<br />of acquisition or sale as a credit against the sums secured by the Security Instrurnent.
<br />Application of Payments. Unless Applicable Law provides otherwise, all payments received by Lender shall be
<br />applied: first, to any prepayment charges due under the Note; second, to amaunts payable under the section titled
<br />Funds for T�xes and Insnrance; third, to interest due; fourth, to principal due; and last, to any late charges due
<br />under the Note.
<br />Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines azid impositions attaributable to the
<br />Property which may attain priority ov�r this Security Instrument, and leasehald payments or ground rents, if any.
<br />Borrower sha11 pay these obligations in the manner provided in section titled Funds for Taxes and Insnrance, or
<br />if nat paid in that manner, Borrower shall pay them on time diractly to the person owed payment. At the request of
<br />Lender, Borrower shall promptly fiu�nish to Lender receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has priority over this Security Instnunent unless Borrower: (a)
<br />agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b)
<br />contests in good faith the lien by, or defends against enfarcement of the lien in, legal proceedings which in the
<br />Lender's opinian operate to prevent the enforcement of the lien; or (c) secures from tha holder of the lien an
<br />agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender detertnines that any
<br />part of the Property is subject to a lien which may attain priority over this Security Instruznent, Lender may give
<br />Barrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth
<br />above within 1 Q days of the giving of notice.
<br />Hazard or Property Insuranee. Borrower shall keep the improvements now existing or hereafter erectad on the
<br />Property insured against loss by fire, haxards included within the term "extended coverage" and any other hazards,
<br />including floods or flooding, far which Lender requires insurance. This insurance shall be maintained in the
<br />aznounts and for the periods that Lender requires. The insurance carrier providing the instu'ance shall be chosen by
<br />Barrower subject to �.ender's approval which shall not be unreasonably withheld. If Borrower fails to mairxtain
<br />coverage 'tlescribed above, L.ender may, at I.ender's npti�n, abtain coverage to protect Lender's riglrts in tkte
<br />Froperly in accordance with section titled Protection of Lender's Rights in the Property.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause.
<br />Lender shall have the right to hald the policies and renewals. If Lender requires, Borrower shall promptly give to
<br />Lender all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice
<br />ta the insurance 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 to restoration or
<br />repair of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not
<br />lessaned. If the restoration or repair is not economically feasible or Lender's security would be lessened, the
<br />insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with
<br />any excess paid to Borrower. If Barrower abandons the Property, ar does not answer within the ntunber of days
<br />prescribed by Applicable Law as set forth in a notice from Lender to Borrower that the insurance carri�r has
<br />offered to settle a claim, then L.ender may collect the insurance proceeds. Lender may use the proceeds to repair or
<br />restore the Property or to pay sums secured by this Security Instrument, whether or not then due. The period of
<br />time for Borrower to answer as set forth in the notice will begin when the notice is given,
<br />Unless Lender and Borrower otherwise agree in writing, any application of praceeds to principal shall not extend
<br />or postpone the due date of the payments referred ta in the sections titled Payment of I.'rincipal and Interest;
<br />Late Charges and Funds for Taxes and Insurance or change the amount of the payments. If un.der the section
<br />titled Acceleration; Remedles, the Property is acquired by Lender, Borrower's right to any insurance po.licies and
<br />� 2004-2009 CompGance Systans, Inc. 002D-46E1 - 2009.12.368
<br />Consumer Real Estatc - Sccurity Instrument DL2D36 Page 2 of 6 www.compUaneeeyetems.com
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