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<br />10. Mortgage Insurance. If I..ender required Mortga�e Insurance as a condition of making the Loan,
<br />Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage
<br />Insurance coverage requ�red by L,ender ceases to be available from the mortgage insurer that previously provided such
<br />insurance and Borrower was required to make separately designated paymants toward the premiums far Mortgage Insurance,
<br />Borrower shall pay the premiums required to obtain coverage substant�ally equivalent ta the Mortgaga Insurance previousty
<br />in effect, at a cost substantially equivalent to the cast to Borrower of the Mortgage Insurance prevrously in effect, from an
<br />alternate rnartgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available,
<br />Borrower shall continue to pay to Lender the amount ofthe separately designated payments that were due when the insurance
<br />coverage ceased to be in effect. Lender will accept, use and retain these payments as a non-refundable loss reserve in lieu of
<br />Mortgage lnsurance. Such loss resarve shall be non-refundable, notwithstanding the fact that the Loan is ultimately paid in
<br />full, and I.ender shall not be rec�uired to pay Borrpwer any interest or earnings on such loss reserve. Lender can no longer
<br />require lass reserve payments if Mortgage Insurance coverage (in the amount and for the period that L.ender requires)
<br />provided by an insurer selected by Lznder again becomes available, is obtained, and Lender requires separately desi�nated
<br />payments toward the premiums for Mortgage Insurance. If Lender reyuired Mortgage Insurance as a condrtion ofmakuig the
<br />Loan and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance,
<br />Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to provide a non-refundable Ioss
<br />reserve, until Lender's rec�uirement for Mort�age Insurance ends in accordance with any written agreement beriveen
<br />Borrower and Lender prov�dmg for such termmation or until termination is required by Applicable Law. Nothing in this
<br />Section 1 p affects Borrower's obligation to pay interest at the rate pravided in the Nata.
<br />Martgage lnsurance reimburses L.ender (or any entity that purchases the Note) for certain losses it may incur if
<br />Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance.
<br />Mortgage Insurers evaluate their tatal risk on all such insuranca in force from time to time, and may enter into
<br />agreaments with othar parties that share or modify their risk, or reduce losses. These agreements are on terms and conditions
<br />that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agreements may
<br />require the mortgage insurer to make payments using any source of funds that the mortgage insurer may have availabla
<br />(which may include funds obtained from Mortgage Insuranca premiums).
<br />As a result ofthese a�reements, Lender, any purchaser ofthe note, another insurer, any reinsurer, any other entity,
<br />or affiliate af any ofthe foregomg, may receive (directly or indirectly) amounts that derive from (or might be characterized
<br />as) a porcion of Borrower's payments for Mort�a�e Insurance, in exchange for sharing or modifymg the mortga�e insurer's
<br />risk, pr reducing losses, If such agreement prov� ed that an affiliate of Lender takes a share ofthe insurer's risk m exchange
<br />for a share ofthe premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further:
<br />(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage
<br />Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for
<br />Mprtgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the rights Barrower has — if any — with respect to the Mortgage
<br />Insurance under the Homeowners Protaction Act ot' 1998 or any other law. These rights may incl�de the right to
<br />receive certain disclasures, ta request and obtain cancellation oFthe Mortgage Insurance, to have the Mortgage
<br />Insurance terminated automatically, and/or to receive a refund of any Mortgage Insurance premiums that were
<br />unearned at the time of such cancellation ar termination.
<br />11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and
<br />shall be paid to I,ender.
<br />(fthe Property is damaged, such Miscellaneaus Prpceeds shall be applied to restoration or repair ofthe Property, if
<br />the restoration or repair is economically feasible and I.ender's security �s not lessened. During such repair and restoration
<br />period, Lender shall have the right to hold such Miscellanaous Proceeds until Lender has had an opportunity to inspect such
<br />Property to ensure the work has been campleted to Lender's satisfaction, provided that such inspect�an shall be undertaken
<br />promptiy. L.ender may pay for the repairs and restoration in a single disbursement or in a series of progress payments as the
<br />work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such
<br />Miscellaneous Proceeds, L.ender shall not be required to pay Barrower any interest or earnings on such Miscellaneous
<br />Proceeds. lfthe restoration or repair is not econom�cal ly feasible or Lender's security would be lessened, the Miscellaneous
<br />Proceeds shall be applied to the sums secured by this Security Tnstrument, whether or not then due, with the excess, if any,
<br />paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2.
<br />In the event of a total taking, destruction, or loss in value of the Aroperty, the Miscellaneous Praceeds shall be
<br />appli�d to the sums secured by this Security Instrument, whethar or not then due, with the excess, if any, paid to Borrower.
<br />In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value af the
<br />Property immediately before the partial taking, destruction, or loss in value is equal to or greater than the amount ofthe sums
<br />secured by this Security Instrument immediately before the partial taking, destruction, or loss in value, unless Borrower and
<br />Lender otherwise agree m writing, the sums secured by this Security ]nstrument shall be reduced by the amount of the
<br />Miscellaneous Proceeds multiplied by the following fraction: (a) Che total amount ofthe sums securad immediatelybefore the
<br />partial taking, destruction, or loss in value divided by(b) the fair market value ofthe Praperty immediately befare the partial
<br />taking, destruction, or loss in value. Any balance shall be paid to Borrower.
<br />ln the event of a partial taking, destruction, or loss in value of the Praperty in which the fair market value of the
<br />Property immediately before the �artial takinp, destruction, or loss in value is less than the amount of the sums secured
<br />immed�ately beFore the partial takmg, destruct�on, or loss in value, unless Borrower and L.ender atherwise agree in writing,
<br />the Miscellaneous Proceads shall be applied to the sums secured by this Security Instrument whether or not the sums are then
<br />due,
<br />If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the Opposing Party (as
<br />defined in the next sentence) offers to make an award to settle a claim for damages, Borrower fails to respond to L.ender
<br />within 30 days after the date the notice is given, L,ender is authorized to collect and apply the Miscellaneous Proceeds either
<br />to restoration or repair of the Aroperty or to the sums secured by this Security Instrument, whether or not then due.
<br />"Opposing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower
<br />has a right of action in regard to Miscellaneaus Aroceeds.
<br />Barrower shall be in default if any actian or proceeding, whether civil or criminal, is begun that, in I.ender's
<br />judgm�nt, could result in forfeitura of the Property or other material im�airment of I.ender's interast in the Proparty or rights
<br />under this Security Instrument. Borrower can cure such a default and, �facceleration has occurred, reinstate as provided in
<br />Section 19, by causing the action or proceeding to be dismissed with a ruling that, in L,ender's jud�ment, �recludes forfeiture
<br />ofthe Property or other material impairment ofLender's interest in the Property or rights under th�s SecurityInstrument. The
<br />proceeds pf any award or claim for damages that are attributable to the impairment of Lender's interest in the Property are
<br />hereby assi�ned and shall be paid to Lender.
<br />All Miscellaneous Proceeds that are not applied to restoration or repair ofthe Property shall be applied in the order
<br />provided for in Section 2.
<br />12. Borrower Not Released; Forbearance By Lender Not a Waiver. �xtension afthe tirne for payment or
<br />modification of amortization ofthe sums secured by this Security Instrument granted byl.ender to Borrower or any Successor
<br />in Interest of Borrower shall not oparate to release the liability of Borrower ar any Successars in Interesf of Borrower.
<br />Lender shall not be required to commence praceedings against any Successor in lnterest of Borrower pr to refuse ta extend
<br />time for payment or otherwise modify amortization of the sums secured by this Securiry Instrument by reason ofany demand
<br />made by the original Borrawer or any Successors in Interest of Borrpwer. Any forbearance by L.ender in exercising any right
<br />NEBRASKA--Single Family—Fannie Mae/Freddie Mac [1NIFORM iNSTRLJMENT Form 3028 1/Ol (page 5 af8�ages)
<br />9754.CV (3/09) 91 IG9USB / 9902425019 Creative Thinking, Inc.
<br />GOTO(OOOad4d9)
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