Sample Document. Intended as reference only
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6. LOAN CHARGES
If
a law, which applies to this loan and which sets maximum loan charges, is
finally interpreted so that the interest or other loan charges collected or to
be collected in connection with this loan exceed the permitted limits, then: (a)
any such loan charge shall be reduced by the amount necessary to reduce the
charge to the permitted limit; and (b) any sums already collected from me which
exceeded permitted limits will be refunded to me. The Note Holder may choose to
make this refund by reducing the Principal I owe under this Note or by making a
direct payment to me. If a refund reduces Principal, the reduction will be
treated as a partial Prepayment.
7.
BORROWER'S FAILURE TO PAY AS REQUIRED
(A)
Late Charges for Overdue Payments
If
the Note Holder has not received the full amount of any monthly payment by the
end of 15 calendar days after the date it is due, I will pay a late charge to
the Note Holder. The amount of the charge will be 5 .a a a % of my overdue
payment of principal and interest. I will pay this late charge promptly but only
once on each late payment.
(B)
Default
If
I do not pay the full amount of each monthly payment on the date it is due, I
will be in default.
(C)
Notice of Default
If
I am in default, the Note Holder may send me a written notice telling me that if
I do not pay the overdue amount by a certain date, the Note Holder may require
me to pay immediately the full amount of Principal which has not been paid and
all the interest that I owe on that amount. That date must be at least 30 days
after the date on which the notice is mailed to me or delivered by other means.
(D)
No Waiver By Note Holder
Even
if, at a time when I am in default, the Note Holder does not require me to pay
immediately in full as described above, the Note Holder will still have the
right to do so if I am in default at a later time.
(E)
Payment of Note Holder's Costs and Expenses
If
the Note Holder has required me to pay immediately in full as described above,
the Note Holder will have the right to be paid back by me for all of its costs
and expenses in enforcing this Note to the extent not prohibited by applicable
law. Those expenses include, for example, reasonable attorneys' fees.
8.
GIVING OF NOTICES
Unless applicable law requires a different method, any notice that must be given to me under this Note will be given by delivering it or by mailing it by first class mail to me at the Property Address above or at a different address if I give the Note Holder a notice of my different address.
Any
notice that must be given to the Note Holder under this Note will be given, by
delivering it or by mailing it by first class mail to the Note Holder at the
address stated in Section 3(A) above, or at a different address if I am given a
notice of that different address.
9.
OBLIGATIONS OF PERSONS UNDER THIS NOTE
IF
more than one person signs this Note, each person is fully and personally
obligated to keep all of the promises made in this Note, including the promise
to pay the full amount owed. Any person who is a guarantor, surety or endorser
of this Note is also obligated to do these things. Any person who takes over
these obligations, including the obligations of a guarantor, surety or endorser
of this Note, is also obligated to keep all of the promises made in this Note.
The Note Holder may enforce its rights under this Note against each person
individually or against all of us together. This means that anyone of us may be
required to pay all of the amounts owed under this Note.
10. WAIVERS
I and any other person, who has obligations under this Note waive the rights of Presentment and Notice of Dishonor. "Presentment" means the right to require the Note Holder to demand payment of amounts due. "Notice of Dishonor" means the right to require the Note Holder to give notice to other persons that amounts due have not been paid.
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MULTISTATE ADJUSTABE RATE NOTE--ARM 5-2Single Family-- Fannie Mae/Freddie Mac MODIFIED INSTRUMENT
FANNIE MAE ARM 4-2/5-2/6-2 Form 3502 1/01
Document Systems, Inc. (800) 649-1362 Page 3 of 4
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