horace note

8/7/2019 Horace Note

1/5

ADJUSTABLE RATE NOTE(LlBOR Six-Monlh llIde;( (As Published InT h e W l II I S tr ee t J ou rn al ) - Rate CR.pS)

THIS NOTE CONTAINS PROVISIONS AIJ.OW1NG FOR CHANGeS IN MY INTEREST RATE AND MYMONTHLY PAYMENT. THIS NOTE llMITS THE AMOUNT MY INTEREST RATE CAN CHANGE ATANY ONE TIME AND THE MAXIMUM RATE I MUST PAY.Novel!lb= 11, 2005[D.oe} [elly)

, PHEN~X CXTX, AL 36869Il'roJlCrtyA~.l

1. :BORROWER'S PROMlSE TO J?AYIn re tu rn f or 0. lo an th at! h av e re ceiv ed , I p ro rn lse to p a)' U .S. $ 283,500.00 ( th is a mo un t is c alle d"Prln cip al"), p lu s in tere st, to th e o rd er o f L en der. L end er Is !i:ncorQ CrGd.it corp. A CalifoJ:nia Corporation

I w il l make all payments under this N ote in the form of cash, check or moDey order.1 u nd erstan d th at L en de r m ay tran sfer th is Note. Lender OJ an yo ne w ho ta kes Ibis N ote b y tra nsfer an d who is entitled

10 r ec e iv e p a ym e nt s under t bi s N o te . 15c al le d t he " No te R o ld er . "2. lN1'lm.EST

Iurerest will be c harg ed o n u np aid principal u ntil th e fu ll amOUD! of Principal has been paid. I will p ay in terll$ t at ayearly rate of 7.740 % . T he in tere st ra te I will pay m ay c han ge III acee rd an ce w ith Se ctio n 4 o f tbi$ Note,

T he I nt er es t flue required. by t hi s S e ct lo n 2 . and Section 4 of this Note is the rate I will pa y b oth b efo re an d after an ydef .aul t described inSectioll 7(9) of this Note.3. PAYMENTS

(A) Tlme and Place of PaymentsI will p ay p rin cip al a nd U lIl!re 5l b y making a paymelll e ve ry m o nt h.I will m ak o m y m anth ly pa ym en ts 011th e first d 8 o f each month beginning o n J an .u all:Y 01,2006,

1 will make these payments every montb until 1 have paid all of the principal and interest and any other cbargll$described below that I m ay ow e under !his N Ole. Eacbm oD Ully pay ment w ill be applied as of its scheduled due date an.d w illbe a pp li ed . t o i nt er es t b e fo re P ri nc lp a l. Ir, on December 1" 2 035 , J 5@ o we am ou nts u nd er 11 Il$Note . J will pa y t ho se amoun ts In fu ll o n \h al d are . which is c alle d th e 'Maturilj' Date.

I will make my m on th ly pa ym en ts a t 1B33 Alton Parkway, !rvi.ne, CA 9260 6o r a t a d iffere nt p la ce if required by t he N o te Holder,

(5) Amount or My lnltial Monthly PlI;ymenlsB ac h o f m y in itia l m on th ly p ay .m cn lS w Ul'b c in : lbe a mount of U.S . $:2,0 29.0 7 Tills amount

m a y c ha ng e.(C) Mon th ly P I IJ "DJan tCha nge sC l I a n g e s In m y m on th ly p ay men t will r ef le c t c b ao g es in the unpaid pcinclpal of roy loan and in th e In terest rate th at Imust pay. The N ote H olc1cr will d e le tm . iJ le my new interest rate and the changed am ounc of illY m onLhly pay ment inaccordance with. S ec ti on 4 o hh is N o te ,

296457MU LT I5 1'A TE A DJ US TA BL E f lA TE NOT E.- L IB Ofl S IX M ON TH IN O EX t AS P UB LIS H EO I N THE WALL SrFlEET JOURNALI-SIngle FamilV Fonnl. Ma. UN IFORM INSTRUMENT

Farm, :3620 1/01IIMPMGRTGAUEfORMS'1800151.,.nD'p'Dt-\-

Ptg. 1 oJ 4 I n tI . l I l J . l . ; _


2/5

4. IN TE RE ST RAT E A ND MO l\"T JU .,Y P AY ME NT C HA NG ES(A ) Cbange DatesThe interest rate I w ill. pay m ay ehnnge on the first day ofD.eoemher r 20 07 , aod on that d ay e ve ry6th month thereafter. Each d at e o n w h ic b my interest rate could change is called a 'C hange D ate. '.(B ) The IndexBeginning with. the first Change D ale. m y interest rate will be based on an Index. The "Index" is the average ofI nt er ba nk o ff er ed r at es f or s ix mo nt h U .S . d ol la r- de nom in at ed d ep osits in t he L on co n ma rk e t ("LmOR'). !IS publlsncd ill

T he W alt Street Jourtlal. The mo st r ecent . I nd ex f ig J. lr e a va ila ble ~ of th e 'm ( b usi ne ss d ay o f t he m ofll:h immediatelyp re ce di ng t he I Il O. II th .i n which !he C hang e D ate o ccurs is called th e "Cur re nt I nd e x. H

If the I n d e l o : is n o lo ng er a va ila ble , the Note: Holder will choose II new index thal Is based upon comparableinformation. Th e N ote H old er will give m e notice of this choice.(C) Calculation of Cbanges

B efo re each C han ge D ate, the N ote H older will c alc ula te m y n ew in te re st T ate by IlddLog five and ni:net:"'ninebundredth (s) pe rcent ag e po in ts ( 5 .990 % ) to th e CurrentIndex. The N ote H old er will thea round the result of this add itio n [0 th e nearest D oc-eigh th o f o ne pereeutage polm(0,125%). Subject 10 the l.imilSstaled inSection 4(D) below. this rounded amount will be my new i nt er es t r at e until the DeXIC ha ng e D ale .

T he N ote Holder w ill thea determ ine the amount of the monthly paymeot that w ould be su f fl C ie a l 1 0 re pa y th e u np aidp ri nc ip al i li a! 1 a m e xp eo te (l [0 ow e at !he Change D ate in fuU on the M arurity D ale at my new interest rate ia s ub st a nUa l lyequal payments. The result of this calculation will be UltneW amounl o fm ), m on th ly p ay me nt.

(D) Limits on Interest Rate ChangesT he interest. rate I am req uired to p ay ar U le first C han ge D all: will not be greater than 10 . 740 %

or less than 7 740 %. Thereafter, my interest TBIC will never be increased or decreased on any singleChange Dale by more than two percentage point(s) ( 2.0 DO %)from th e ra re o f interest I have been pay ing for the precedlng 6 moruhs. My i nt er es t r at e will n ev er b e g re ate rthan 14.740 % Orless !han 1.740 % . .

(E ) Eff ec ti ve Da te of ChangesMy Dew i nt er es t r at e wi ll b ecome effective 00 each Change Date, I will pa y the amount of my new IllOntbly payment

b eg in ning on the f ' l n I t monlhly p ay men t d ate after the C hang e D ate \Inti! th e am ou nt of m y m onthly p ay men l chan ges again.(F) Notice of ChaDgcsl'h~ Note Holder will d eliv er o r mnill!) m e a n otice of an y cb.anges inmy interest rate an d th e arn cun tcf m y m on lh ly

p ay ment b efore the effective d ate of any cban ge. Th e no tlce will i nc lu de in fo rm at lo n r eq ui re d by taw to be given to me l inda ls o t he ti tl e an d t ele ph oll e: I ll! 1l lb er o f a p er so n w h o will answ er any question I m ay have regarowlltbe notice.5.. BORROWER'S RIGHT TO l'REl.'AYI have the right to make p ay men ts of PrinCipal III a ny tim e before they are due. A pay ment o t Principal oo ly is knownas a "Prepay ment" W hC 1l I m ak e a Prepaym ent, I will te i I the N ote Holder in writing that I a m . do in g so . r may notd es ig na te a p aymen t a s a P te pa yme :n t if 1have no t made all the monthly JHlymentB due unde r this Note.

I m ay m ak e a full Prepay meol or partial Prepaym ents w ithout pay iog any I>repaym ent charge, The N ote H older willu se m y P re pa ym en t5 to re du ce th e lIJlI,Q un to f P rin cip al tha( low e under th is N ote. H ow ever, !he N ote H older rna)' apply m yP re pa ym en t to th e: a cc ru ed a nd \ln pB ld ln te re st


3/5

7. BORROWER'S FAILURE TO Pi\Y ASREQlJlREDCAlLate Charges f O I . Over du e Paymen ts]f the N om H old er lias n ot rece iv ed ta e fulJ am ount of any m ontbly paym ent by Iht: end of fiftae.n

c ale nd ar d ay s after the d are It is due. I will pa y II. lale charge [0 the Note H older. The amount of the: charge ",m be5 0 0 0 % o f m y o verdu e p ay men t of p ri~ cipal an d in te ~e st . I will pa y this la te ch arg e p ro mp tly b ut

o nly o nc e OJ] each l a te p ayment .(B) DefaultIf I do cot pay th e fu ll am oun t of each nw nlhl,y pay ment onthe dalei! is due , I will h e i n d ef au lt,(C) No ti ce o f D e fa u ltIf I am in d cc fa .u ll , t he No te Ho ld e r may send m e a w ritten notlce telling m e tha t if 1 do 00! p ay th e o verdu e am ou nt by

a certain da te, the N ole H older may reqllile me 10 pay immedi a te l y the full a mou nt of P rincip al th at h as 1I0! been pald anda ll th e Interest that low e 0 0 tha t am ount. TII:u date m ust he at le as t 3 0 days after the date on w hich the notice is m ailed fOme o r d eliv ere d. b y o th er m ea ns,

(I) N o W a lv c:rB y N ote Ho ld .e rEven if. at a time when I am in default. the N ote 1I0 ldcc does not require m e to pay im me dia te ly in fu ll 9S described

ab ov e, th e N ote H old er wl1l s ti li h a ve llu: rig ht to d o 50 If I 11m Ind efa ult a t a la te r tim e.(E) Payment ot Note Holder's Costs an!l E : '( pensesIf th e N OIe H old er bas req uired roe to p ay im mediately in fi1ll all desc .nbed above. the N ote H older w ul have the right

10 be paid back by me fat all o f ils costs W Id expCf.1Ses inenforcing tbis. N ote to th e e xte nr n ot p .ro hih ile d by a pp li ca ble la w .Those e xp en se s i nc lu de , f ot e xa mp le , r ea so na bl e aneraeys' Iees,8. ,GIVING OF NOTICES

U nle ss a pp lic ab le la w re qu ire s a d iffe re nt m eth od , a ny n o ti ce t h a l . m ust b e give n to m e u nd er th is Note w ill b e g iv en byd eltv erin g it or by m ailioG it by fi rst class m ail to m e atthe Property A ddress above or at a different address if I give theN ote H old er a no tice o f m y differen t ad dress.

U nless the N ote H older req uires a d iffereo t m eth od, 8 I \ . Y n oti ce t ha I must b e g iv en (0 the N Ole H old er un der ibis N otewlll. be given by mailiDg II b y f ir st c la ss mail to the N ote H older at the address slated 10 Section 3(A ) above or at a differentaddress if I am glveo a nouce af t ha t d if fe re n t a d dr es s.9. OBLrGATIONS OF PERSONS tJNDEk TBlS NOTE

I f m o re than On e person signs th is N ote, eaeh person Is fully an d penonaJly O blig ate d to k eep all of th e p rom isee m ad eIn th is N ote , in clu din g th e p ro mise to pay the full am oun t o wed . A ny perso n wh o is a guarantor. surety or endorser of IhbNote is alaoobliga ted II) do these Ihlngs, A D)' person w bo tak es over these obllgatio.ns, tnelud log m e obligatirm s of ag uaranto r, su rety or e nd orsee o f th is N ote, is also o blig ate< ! to k ee p 0 .1 1of th e p ro mises m ad e in Ibis N ote. The N ote H olderm a y e n fo rc e its righ ts u nder this N ote a gain st ea l:b p erson ln div idu atly or agaln_st all o f u s t og et he r. ThIs m eans that any oneo f u s, m a y be required to pay all of the am ounts ow ed under this Note .lO.WAIVERS

1 and au)' other P Cl'SO Dw ho has o blig atio ns u nder th is N ote w aiv e the rlgb.u o f P rese ntm en t and N.otlce o f D l sh o no r,'P resen tm ent" m ean s th e rigbt 10 reqI!lre the N ote H older to dem and paym ent of am ounts due. "N otice of D ishonor" m eansthe right to requite the N ote H older to give notice to o ther persollll Ib at a mo un ts d ue h av e no t been pa i d .11.UNIFORM SECURED NOTE

' Th is No te is a u nif or m i ns tr um e nt with l im i te d va ri a ti c ns in some jur isd ic tions . In addition [0 t he p ro te ct io ns g iv en 10tlle N ote H older under lht~ N ote, a M ortgaJl,e. D eed of'rrust, o r 8ecurlty D ee d (th e S ecurity Instrum ent'), d ated the sam eda te a s r . h . l s N ote, prctccts th e N ote H older frOID p os sib le lo ss es th at m ig ht re su lt if I do nOE k eep the prom ises that I m ak e inI b is , No t e, That S ec llrily In stru me nt d esc rib es h ow a nd u nd er w ba t c on dlU Olls J ma y b e req uired to m ak e im med ia te p ay men tinfull o f all am ou nts lo we under this N ote. S om e of tho se cen dlrlon s read as fo llo ws:

2516457

Pig, 3 0 1 C


4/5

"FnmNrer of the P ro p el 'l y o r II B en ef ic ia lln le rc sl in B or ro we r. M used in this S ec tl on 1 8, " In te re st i n theP ro p er ty " m e an s a ny I .e ga l or b en ef ic ia l i nt er es t ill th e P ro pe rly , i nc lu din g, b ut n ot lim ite d to , th os e b en ef ic ia lin te re sts tr an sf er re d in a b on d f or d ee d, c on tr ac t f or d ee d, installment sales C O l 1 fC l I C I o r e sc ro w a gr ee me nt, th einlBllI o f w hic h is th e t ra nsf er o f title by n ar ro we r a t a f utu re d ate to a p ur ch ase r.If a ll o r a ny p art o f t he Property o r a ny I nte re st in t he P ro pe rty is s old o r tr an sf er re d ( or if B crro wer is n ot an at ur al p e rs on a nd II benefi c ia l in te rest inBor rowe ri s SQ l do r t ra n sf e rr ed ) w i thou t Lende r' 5 p r io r w r it te n cons ent ,L en de r m ay r eq uir e I mm ed ia te p aym en t in f ull o f a ll s um s s ec ur ed by t hi s S ec ur it y I ns tr um e nt , H ow ev er , t hi so pti on s ha ll n ot be exercised by Le nd er i f s uc h e xe rc is e i s p ro h ib it ed by / l. pp l il li lb le Law . Lende r a ls o s hal l no texercise lhi$ option if: (a) Borrower causes 10be submitted to Lender i nfonna tion required by Lender [0 evaluate 't he i nt en d ed t ra ns fe re e a s if II n ew l oa n w er e b ein g m ad e 10 t he t ra ns fe re e; a nd ( b) L e nd er r ea so n ab ly d et erm in est hat Lende r 's s ecu ri ty w i ll no ! 0 0 impa ir e d by t he l oa n a ss um p ti on I I1 1 dt ha t t he r is k o f a b re ac h o f an y covenan t o ra g re emen t i n t hi s S e cu r it y I n st rument i s a c cep ta b le t o Lende r .T o t he e xt en t p ermi tt ed by A~p li c8b le Law , Lende r mB)' ~ b lU 'g ea r ea so n ab le f ee a s a c on d it io n 10 Lender' 5consent to t he l oa n a ss umpt lo n. L en de r also may r eq u ir e t he t ra ns fe re e t o s ig JI .a n a ss um p ti on a gr eem en t t ha t i sa cc ep ta bl e t o L e nd er a nd t ha t o b li ga te s t he t ra ns fe re e 1 0 k e e p a ll th e p romi se s a nd a gr ee me nio m ad e in th e N ot ea nd in th is S ec urity rn stru m~ nt. B orro we r w ill co n tin u.c to b e o bi 19 ste d u nd er th .e Note a nd tb ls S ec ur ityI ns tTum~[ )t un le s s L e nd e r r el ea s es Bo rr ower i n wr it in g .I f L en de r e xe rc is es th e o pt io n to r eq uir e imm ed ia te p aym en t in r u n , L en de r s na ll g iv e B or ro we r n otic e o fac cele ran on . T he n otic e sh all p ro vid e a p erio d o f n ot le ss than 30 days from the date lhe notice is glven inaccordance w ith S ec ti on 1 5 w ith in w hi ch B or ro we r m us t pay a ll s um s s ec ur ed by t h is S e cu r it y Instrument, 1fB o rr ow e r f ai ls t o p ay t he se s um s p ri or to t he e xp ir at io n o f t hi s p er io d , L e nd er m a y i nv o ke a ny r em e di es p erm it te dby !hls Secu r it y i n st rument w i thou t f u rt fl er no ti ce o r demand on BOf rowe r.

W ITNE SS T IlE HAND (S ) AN D S EAL eS ) O F THE UNDERSIGNED.CAUTION - IT IS IMPORTANT THAT YOU THOROUGHLY READ THE CONTRACT BEFORE YOU SIGN 1T.(ALA CODE 6-19-6)______________ (Seill)

~BorfaMrPHYLLIS D. UORACE______________ (Seal)

- B D r r o , \ o c r

(~al)-Beeewer

______________ (Seal)~Barrowct

______________ ~(S~al)-BouG'V/cr

________________ (Seal)...BOHIlWCf

_______ .....:.... (Senl)~80r'G'Wcr

________________ (~Ul)6ofTD\Vet

[Sign Original Only]

296457PIQtI. 0'-4 Form 3520 lID 1


5/5

Pay To T l1 t: "O rd e r O f

horace note

Documents