affidavit of danielle sterling -she did not endorse the note-junk v citi

8/2/2019 Affidavit of Danielle Sterling -she DID NOT ENDORSE THE NOTE-JUNK V CITI

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STATE OF SOUTH CAROLINA ))

COUNTY OF BEAUFORT )CITIMORTGAGE )

)Plaintiff, )

)v. )

))

DANIEL L. JUNK and )CHRISTINE H. JUNK, ET AL. )

)Defendants. )

))

DANIEL L. JUNK and )CHRISTINE H. JUNK, )

)Counterclaim Plaintiffs, )

)v. )

)CITIMORTGAGE, INC., )

)Counterclaim Defendant. )

)))

DANIEL L. JUNK and )CHRISTINE H. JUNK, )

)Third-Party Plaintiff, )

)v. )))RILEY POPE & LANEY, LLC, HEIDI )

CAREY, ESQ., ROY LANEY, ESQ., )T. LOWNDES POPE, ESQ., BAYVIEW )LOAN SERVICING, LLC, MERSCORP, )LLC, MORTGAGE ELECTRONIC )REGISTRATION SYSTEMS, INC., CITI )MASTER SERVICING, CITIGROUP )GLOBAL MARKEST REALTY CORP., )

IN THE COURT OF COMMON PLEASFOR THE FOURTEENTH CIRCUITCASE NO. 2009-CP~1O-05088D/

AFFIDAVIT OF THIRD-PARTYDEFENDANT DANIELLESTERLING


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CITIGROUP MORTGAGE LOAN )TRUST, INC., JOHN DOES 1-5,000, )JENNIFER OAKES, ROBERT G. HALL, )SECURITY CONNECTIONS, INC., )KRYSTAL HALL, DANIELLE )STERLING, ABC APPRAISAL GROUP, )INC., MARK A. RUPLINGER, LINDA )HELLER, HARRY JONES, COLONIAL )COAST TITLE AGENCY, INC., )LAWYERS TITLE INSURANCE )CORPORATION, CORELOGIC, INC., )and AMERICAN HOME MORTGAGE )HOLDINGS, INC., )

)Third-Party Defendants. )

PERSONALLY APPEARED before me Danielle Sterling, who being duly sworn,deposes and states as follows:l. I am over the age of twenty-one (21) years and make this Affidavit upon my ownpersonal knowledge and not upon any information and belief.2. I am resident of Brooklyn, New York,3. I was born and reared in Brooklyn, New York.4. I graduated from Bishop Kearney High School in Brooklyn in 2000.5. After graduating from Bishop Kearney High School in Brooklyn in 2000, I attended theCollege of Staten Island.6. I left the College of Staten Island after one and a half years and began my working career.7. After leaving the College of Staten, I moved to Arizona for six months were I had amarketing internship with a company called MediServe.8. I returned to Brooklyn in 2002.9. At that time, I began work at American Home Mortgage as a receptionist.

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to. I served as a receptionist at American Home Mortgage until 2005, when I was promotedto serving as a Collateral Reviewer.11. I kept that position as a Collateral Reviewer until American Home Mortgage closed in2007.12. In the position of Collateral Reviewer, I was responsible for making sure notes andmortgages were properly executed and properly reflected the parties to the documents and theamounts loaned and borrowed therein.13. I have been made a party to the above-captioned lawsuit as a Third-Party Defendant dueto the fact my alleged signature appears on the Notes and documents attached hereto and asdescribed in au Affidavit of Jennifer Oakes attached hereto,14. The first document contains a stamp that reads "PAY TO THE ORDER OFCITIMORTGAGE INC. WITHOUT RECOURSE BY: AMERICAN HOME MORTGAGEs/DANIELLE STERLING ASST. SECRETARY".15. The second document contains a stamp that reads "PAY TO THE ORDER OF __WITHOUT RECOURSE BY: AMERICAN HOME MORTGAGE slDANlELLE STERLINGASST. SECRETARY."16. I have reviewed the signatures on both stamps attached to these Exhibits, and they areNOT my signature.17. T can say without a doubt that I NEVER signed these documents.18. The signatures that purport to be mine are NOT MINE.19. As a Collateral Reviewer for American Home Mortgage, I did have the authority toendorse documents for American Home Mortgage as I was instructed to endorse the last page ofa Note using my stamp and signature from time to time.

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20. However, I did not sign the Notes attached hereto and did NOT endorse these Notes inany way.21. I have reviewed the Affidavit of Jennifer Oaks filed December 6, 2010, in the Office ofthe Clerk of COUltfor Beaufort County in Case No. 2009-CP-07-05088, which has the same casenumber as this case, but with a different Plaintiff.22. I have no knowledge of CitiMortgage's purchase of any Note from American HomeMortgage.23. I did not sign the Note as described in Paragraph 8 of Ms. Oakes' Affidavit.24. Ihave never met Jennifer Oakes, and Ido not know who she is or what position she mayor may not have.25. I have never mel Daniel L. Junk or Christine H. Junk.26. Thave NEVER endorsed the Notes signed by Daniel L. Junk or Christine H. Junk, and

FURTHER THE AFFlDA VlT SAYETH NOT!

55. :

SWORN TO BEFOREI/~/

Notary Public for the Stat~My Commission Expires:.~'2>f.iL!'7'f--'a....,L-


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Exhibit 1


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STATE OF SOUTH CAROUNACOUNTY OF BEAUFO l\T

)) IN THE COURT OF COMMON PLEA~) FOURTEENTH JUDICIAL CIRCUIT

vs.

)))))))))))

~--------------)

C iv il A ctio n N o. 2 00 9-C P-0 7-0 S08 Sayview Loan Servicing , LLC,P ia i nt i ff,

SUPPLEMENTAL A . FFIDAV IT OFJENNIFER OAKES

Daniel Ju nk ,tilc/a D aniel L. Junk ,Christine H . Junk and O ldfieldC omm u nity A ss oc ia tio n,

Defclldil l l lS.( J (_~r--\ ",t~~~: '.~~'-;', --r " - ,PERSONALLY APPEARED BEFORE lYm, J en n if er Oa k es , who ff i! ~l ~; ,b ,c il rg /d ll ly-_-\(j) ~";- c".)C)c:: "JIsworn , u nder oath , deposes and states that:

I. My nam e is Jennifer Oakes . J am of sound m ind UI1(1 am over the age oflwcnty-onc years.

2. I am cu rrently em ployed by Citiivlorrgagc, Inc. ("C itiM ortgage") (IS aBusiness Operations Analyst and have been employed by Citilvlortgage in that positionsince October 1 ,2010. Prior to that tim e, Iw ork ed as a Lcgal Su pport Specialist.

3 . [ am competent to testify to the m atters stated herein and if called to testifyJ would tcxtify to the fact stated herein .

4 . Except for state ments m ade ex p ress Iy upon inforru at ion and hel ief, them atters stated herein are based on my personal know ledge, or ' upon my review ofC itiM ortgage's records which were m ade at or ncar the event recorded, by or frominform ation transm itted by [l person w ith personal k now ledge of the event recorded, andwhich are created and m aintained in the regu lar cou rse of bu siness by C itii'v1ortgage.A dditionally , I have k now ledge of the mock in which those records are prepared and the


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manner in which they are kept.5. The NO ll' and Mortgage lh~\l are the suhjecl of this foreclosu re action were

da te d N ov em be r 3, 2006.6 . I am informed and believe that the original Note is in the possession 0['

C itiiv 1o l" tg ag e's a tto rn ey s, N els on Mullins Riley & Scarborough, LLP.7. CitiM ortgage pu rchased the Note from A IllC ric~1I1 HOl11e Mortgage an d

t oo k p os se ss io n of t he o ri gin al indorsed Note 011 or before January 22, 2007,8, C iriM ortgage's possession of th e original Note 011 January 22, 2007, is

evidenced by the fact that the Note was imaged into C :itiMortgagc's electronic recordssystem on that date. The Note that was imaged in to C itifv lo rtg agcs records OIl Janunry22,2007, be ars an in do rsem ent Oil puge 5 o r the Note sla ting "PA Y TO THE ORDER OFCitimortgugc, IIlC, WITHOUT I\ECOURSR BY: AMERICAN HOME Jv lURTGAGE"signed by Daniello Sterling, Ass t. S ec re ta ry . This is the only indorcscrncnt Oil the N ote,;\ copy of th e im aged N ote retrieved by me from Citilvlortgagcs electronic recordssystem is attached hereto ,IS Exhibit A.

l), Citilvlortgage also assumed servicing rights with respect to this loaneffective february I, 2007, C itirv lo rtg :lg e's rec ords ind icate thu l on February 7, 2007,CitiMmtgage inform ed M r. and M rs, Ju nk in w riting that the servicing of their loanwould be handled by Citilvlortgage.

10. The servicing right fu r tili, loan were later rranxfcrrcd hy CitiMungagc toBayview Loan Servicing, LLC ("l3ayview"), On June l'i, 2009, C itiM ortgagc inform ed1 V 1 r . and M rs . .funk in writing rhat, effective July 1,2009, their loan wou ld he serviced byB ayview . ;\ copy u f this letter is uu u chcd hereto as Exhibit S,


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1 1 . In M arch 2010, the servicing rights for this loan were transferred back toCit iMortgage from Bayview. On M arch 23, 2010, CitiMortgage notified M r. and M rs.Junk in writing thu t the servicing rights fo r this loan hac! been transferred from Bayviewback to CitiMortgage, effective Murch 9, 2010. i\ copy III th is le tte r is attached hereto asExllibit C.

12. Pamgraph:2 of my p rio r A ff id av it, dated March 25 , 20 j 0, slates thatC itilvlortgagc acqu ired the Note fro nt B ayview and that the Note had been indorsed toCitiMortgagc by B ayview . U pon fu rther investigation, (IS described above, I havedetermined that the Note Vias indorsed to Citiivlorrgagc by American Horne M ortgageaile! the Note has been owned by C irijvlortgage since Janu ary 2007, The only transferbetween C itilvlortgnge and Bayview that occu rred on or abou t M u rch 9, 2010, was atra nsJ'c r of th e s erv ic in g rig /liS fu r this loan from Bayview to Citi lvlortgagc.

1], Allor the documents identified and attached as exhibits to this A ffidavitwere m ade at or ncar the event recorded, by or from inform ation transm itted by a personw ith personal k now ledge of the event recorded, and which, as a regu lar practice , are'created and maintained in [he regu lar cou rse of C itiiV lortgage's bu siness activity,Additionally, I have know ledge of the means by which the records are prepared and [hemanner in which [hey arc k ept.

FURTHFR AFFIANT SAITH NOT.

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"~ ,This _L- day or UCunb,'_c, 2010,

Sworn to and subscribed befo re m e,

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IntcrestF irstlMAD JUSTABLE RATE NOTE(ODe-Year LII30H Index (As Published III The /Vall Strce! Journal)

Hale Caps - 10 Year Interest Ou ly Pcrlod)

NoveruJer J, ~(JOC;lDJ{c/

rrll t.r-ri H0:ld IGIClI1cl[City]

South C;;rolinil[s'3lc]

nus NOTE CONTAINS PROVISIONS ALLOWINC FOR A GlANCE IN 1\11' FIXl~]) 1N'I'ERf,'STHATE TO AN ADJUST,WLE INTEIU;ST RAni A:>II) FOIZ CHANGI';S IN MY MONT[[LYPAY;\ffi:NT 'l1lIS NOTE LI1\UrS THE AMOUNT lilY ADJl:STAHLE INTEIil'!TIiCrl(every mouth as p ro vi de d b el ow .

I w ill r n a k c my n .o uth ly pay.nent u f pI iucipal llliU interest b:;gLl.lllllt\ on [lie Firxt l'r iucipal an d Ink rw t P"YJllellt DueDn k ilS described in Sect:nTl 4 of thi~ ; Note. 1 w il. make tnese ])(lj'lllents every month u r.ti) I h:lvc paid ['til o f 1!j(~ p rin cip al an din terest an d ar.y o th er c ha rg es described below that I may oW e u nder .h is Note. E cc h m on th ly payment will be applied as or itss,_,LCl't,leJ d ue .L te, ruld if I he p ayme nt inc lude , ol'lll pr ir.cipal ami inter"I, il will b e a vp lic d [0 llM J est l.cfore I'r incijal . If, onlJecember' I. I 203 (, , I s .ill owe amonnts \IIlder this NC1te.,Iwilll'ay tho"" amounts in full en tbatd ale , w hic h i~,;,llcct th e "M x tu r it y Date."

I will make my I IL l [l lh ly payments a l PO Dox (,60029, Dallas, 'L'X PJ2GG~0029

2. lNTEHESTinterest will be cimseri on l l l ipic! u ntil the C ill am ount of Principill1 iiiS ken p:cid. l w ill p;,y inleresl at iJ yearly

rate or G . s o o % T he in te re st 12t: I will pay .nay change ill accordance wiU] Secli;) '] 4 o r th is N ote .Th e ini"rc.';\ ride r equ ir cd b y this Secb[lI1 2 and Scclilill ,1 of llris Nole i . ' : U i J r2','; I w ill pay !)l/~" be Co r ,; a n. l alter an y

dcfru. l t described ill Sec.ion 7(D) of this No:c.

Of at a d if fe re nt p la ce if requ ired by the N ole Holder.

- F u un le MD.C U n lr c. ru i I nr tr u ro e ntrxx: ~;:H,~.4,05 APr[_, ti:OCOl(JJ2:s~tULTlS IAt E Inl"",FiIl[ ADJUSTABLE HAm 1\OT1', - 01\E-YEAil LlIlOfl INDEX _ 1 0 Yr. l nlc rcrt Only Pcrl od - SinE~c Family

I ~ I [ W r~ I J l I I Jl l i l f I ~ fm ! I l I


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(il) Am O\lllt of My In itial M Ol lthl y l 'u yin cn tsEach 011)]) , in il ia li l lont ll ly payincnts will be in the arnoun! of U . S . $ 6 ,500.00 u n t i l t:w f ir st C h an ge

Datu . Aller the Ilrst Change Date, m y m onthly payment will be il l an amount sufficient to pay accn:cn interest, at the rilledcrcrrninc.l as (ks("fi'~cd in Section 4 of this Note I1nlil the Firs! Principal am i Interest Payment Due Dale. On that dale andLi)ere:lIicr, my monthly paymcr.: w ill be in ('Jl amouu t su fhcicnt to rq:q the principal and inter est (:1 the rille determined asdescr ibed in Section 4 of this Note i n s u h st an t ia l ly e qu a l i ns ri ll m cn ts by Ihe Matu rity Date. The Notc Holder will notify meprior to the d ate o f ch an ges in m o ith ly p ny rn cu t.

(C) Monthly Payment ChRnge:;Changes in my m on thl y p ay men t will reflect changes in tl.c w r p a : d prul,;.i;l:J1 D C ray k ~lll JI:J in t i r e interest rate that I mus t

I" 'Y ' 'I'l. c N ote Holder will determine ru y n ew interes! fC'!c au d th e ch an ged :U T1 ('l'I,1 or fill' monllliy r: ;ynlcnt il l JCCO r d2 JlCe w it hSection.j or 5 of this Note .4 . A llJU STABLV INTEIU~ST R AT E ;\J"ID M ON TIIL Y PAYMENT CllAN(;ES

(A ) Change DatcsThe l:lilia l fixed intcrc3t r2 .\c 1 w ill jl3Y will ckmS" to en ;1I1j\',, \~1::k in \erest f"l\': on \f.e . [lIst day of

lJecember, 2011 , ,m u U 1C a dj us ta bl e i nt er es t ratc I w ill p a y 1:11Y on that da y e ve r; 1 2L ': ll ll on tl r t l. er ea ft cr .The date Oil wh.cl: Illy i ni ti al f ix ed interest nile cflal1gcs to au 3 uj u,ta blc in te re st rate, au d each dale ()II wllidl my edjustahlein terest ratc c ou ld change, is called a "C ha.ngc; D ete . "

(D ) Th~ In dcxU eginning with the [ 's st C h en g" - \ late, my a u j' .l st ab ie u r tc re st late \'Jill be b3scd Ol l nn 111( .\ ;: :< .TLe "ll lLk. ," i s U I ''; Clycrai;l ' , ofin.crbank DITncd ru cs fo r o ne-y ear U . S . d ollar-d en om 'Q Jll'd deposits ir; th~ LOI1Jun m a rk d ( ,, 1. lr lO K ." ), ,13 publ i shed in Th eWul f Si red J O l J l " J i a l . The l ll 0~ i r [; ~c ll t L,Jcx t \~ 'l fC J 'I fJ ,\ ab k 3,; c f Ih ,~ .


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5. BOmWWEH'S RIGHTTO I'REPAY1 h av e U lC right to mak e paymcntx of Prlocipdl at any tu nc before they arc due . A p a y m e l l t of P lln cipl ollly is K illJ Wn a s ii

"Prcpayrnent." When I mak e c Prepayment, I w ill \ell th~ Note !lD ldcr in wriling thaI [ am doing SQ . I may net dcsigm lc aP2YlllC'lll as 3 PrepaYlllent if I h ave no t milde 311 th e m o nt hl y p aym en ts du e u nd er lh c Note,

I may make


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]0. WluVERSJ and ~ n)' othe r p::rson wh o ha s obligations under ihis N ote waive tl.e rights o f P re sc u u ncu t , m z \ N otic e o f D is bo no r.

"Presentment" means the r ight to require the Note Holder to (~cnt;!nd p.:iyment of amounts due. "Notice of Dishonor" means theright lu requ ire tl'le Note Hohler 10 give nctice to other persons U lal ':llncu r:ls du e have n ot :y cen p ai d.

I!. U!,;IFOnM SI~ClnlliD KOTETl.is N"tc is " uniform instru ment with l.m itcd v.ir iations in 5011;0 jurisdictions, In ndd.tion to the protections given to the

Not" Holder under this Note, a MOIIBage , Deed of Tru st, or Secu r ity Deed (the "Security Instrument"), dated the sam e date 35th is N u lc , p r o.ects lite Note Holder Ir om poss ibie losses that might resu lt if I do no t k eep the promises th a t I m ak e in t his N ot e,Thal S e cu r it y I l1 :: tn lm e nt deser;hes how Zill\{\\ndn w h at c on d jt jo n s 1 m ay be f\:ll\lired to make im "le lliu te p aym ent in rull of aUamcunts lowe under this Note. Some of those conditions reid as fu llows:

(A ) U n ti l n.y iniliai fixed interest rate changes to LU I adjustilblc interest rate .indcr tl e terms stated ill Section 4 above,UlIiCorIll Cnvcnan l H \ o f I .h e S ec uri ty In stru m cn ; s ha ll re id ,15 f01l0'l,'s',

Transfer of the Property or H Ilcu cflcial l urervs! in Borrower, As vscd in tr.is ~Clln!l 18, "Interest in theProperly" m eans any legal or b en ef ic ia l i nte re st in the Proper I)" incitldin8, I ll J I, n e t lilllikd I .) , t ho se hClJdici?1in ter ~sts lr:{ j!:..;k rrcd in a honJ for d~edl con 'r ac! for deed, ins12l1m cnl S 3;C S c ou 'rnct or escrow ag_rl:Crnellt, U I i nt e: nor \l,;b :ch is th e trrm sfer o f l.tlt(~by Q crrC Jw (~ ( a\. a fu uu c d ate to a pn rc1 taser,

If' oil or zlny parlor the Propel ty or any Jrtercst ill u ,e Property is sold Or tr an slcr rc.i ( or if Oorrower is 1101 anatu ra] person ami J bcncf.cial i r u c r cst in Ilorruw rr is sold or li'Jz :si~rrcd) withou t Lender's prior w ritk ll consent,Lender l lIay re'quiIe i nu ne.li atc p :.ty mc nl :1 1 lu ll of "II S I iI l lS SCCU.f " :\ by lhi'; SC ,:l:rity lns~u menl. H ow ever, this optionsl1311 nC11L x : ,,;(ercised by Lender if su ch exercise: is pr"hibitnl b y Applicable LWi.

J:~ l.ender exercises this option, Lender s h 2 J l give Borr ower notice of accclcr.u ion. The notice s ! 1 8 1 1 provide ap cr i od 0:' not less than .10 days from the date the notice is given in .rccorrlancc w illi Section 15 w ithin whichl . lcTfc" ,, , 'e r I l lest pay all s ums secured l J J ' t hi s S ec ur it y I n.s :n IT Jlc n\. i f B urr ow er fails to pay these sums pr ior to thec xp ir a li on of [),is p,criod, Lender may invoke any remedies l'crllli:lcd o y this Secu r!ly luxtru rne.rt withou t [u r thcrn o.icc o r ( \'I Il:1 11 d o n B orr ow er .

(rJ) ""len Illy inilid' fi:\ed inlere:;t iatc ch,lngcs to all adju stal.lc u ilc 'rcst r~ te Il:ic1er tl.c te rm s srab_: in Sectiun ~ above,Uniform Cove.r.n! 18 of lte Secu rity lnslnnncr.t dcscr.bcd in Secti'JIl 11(/ \) above sl.u ll Ule! : C l '- :l SC to O 'J in ef lc ct , Old Uniformwendl]1 18 of the Security Ins.rumc.rt shall ir.siead I edd il" fll.llows:

Transfer of the Proper ly or u Ilen eticlal Interest in l lo.rower. As used ill lhis Section 16, "[I1II;res\ in thePropc.ty" I L ea ]j !~ a n y legal or bene fici:tI intere,1 in J IC P r ,) pD r ly , DIClu,j iJ 'g, bu t ou t lim ited to, thu se beneficiali n tc r csL~ r r an s fc r rc d in a bon.I for eked, conu act fu r deed, inSl:111J:J~1I1 ~ ;3k :; conu act or escrow i l " reemenl , t he i nt en tof which is U l~ I1r!llsfer of title b y B or ro we r ,it a f u l', er e lbk to < l pllrdL1SC'r.

[I' all or :lny part of the Property or Rny Interest in the P loperL ), is su ld or u ans lcrr ed (or if B orr owcr is nol amtur?1 person and a beneficial interest i.i Bor rowcr is sold or trnn., 'c:orl't.'c) witho:Jt Lender's prior wr ittcn consent,Lender lIlay req uire iiu mcdiatc paym ent ill fll'l of all slim s secu red by this Secu rity Instrcme: . However, this option5[1311 not be exercised by Lender if su ch exercise is prohibited by i\P?Lcauk Law , Lender also shall not exercise thisoption il'; (a) Bon ower Ci lUSCS 10 be submitted to Lender intouuatiun requ ired by Lender to evalu ate the intendedtransferee ClS if Q new loan were being lIlaJc to the transfcrc ; and (b) Lender reasonably determ ines tl131 LCliclec'ssl'Cu rity w iil not k imp.iir c.I by the loan assnmption ilnel that the risk 01 a breach of '''ly COVC14Ult o r a gr eem en t inthis Secur i ty I ns tr um en t i s a cc ep ta ble 10 Lender.

To the ex len 1 perm itter' by Appl ic2bJe l.u w, L ender lll"y cliJIgc ;1 rC3.lDT,,,;)!e Ito as a condition to Lender'scor.sent to the loan assump.ion. Lender also lllay requ ire the lr} [llferce In sif',11 an assumption ll!'!ccmcnt that isacceptable to Lender and lilat obligotes 111l' t[,Ulsfcrcc to keep .111 the promises alto 3grccOlcnis rnadc ill the N ote , , : - t oi ll ti li s Secu rity lnsrru mcni. fic1rrolY cr wi\! continue to be obligz,td under lh~ Note and this SecErit)' lu stm ruer.tlin less L ender releases B orrow er in writing.

If Lender exercises the option to requ ire im .ne.liatc p"yrnC[lt in Iu .I, Lender '[lall give BorrDwer notice ofacceleration. The notice s l w l l provide a pcr iod of nc( k s:; than JO .L1YS from the date the notice is given in:,ccllrlLm ee w ilh Section 15 w ilhin w flich Borr owc: 'ulDl P:'i a 'l sums secu r cd by t hi s S ec ur it y lnstrun.cnt. IfH orr ower fails 10 pay these s um s p ri or 1 0 ( lie c xp ir utio i: (If 'Iii" p er iu d, L en der 1T\8y invoke I my r c rr.e dic s p erm itte d bythis Secu rity !?btru lllcnl witl.ou ! fu rther notice or J"lll,ud OH Bo r rowe r,

APPL !1:OD01~90226


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SEAL(S) or " i' HE : JNDERS IC lNE [ ).~Jt-~Christt0IC :- r Junkaniel L Junk - I J . JrrowCT

.: ~jl[0Wrl

_ (Stal)

APPL ~:CC011J02:6

_ _ (S eJI)

_(Se:il)

jS ig Jl O rig in ul O nly )

For-o J SJ S 6 /0 "5


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Cit iMcrtgayeP .O . B ox 9438Gaitherburg, ,\1[) 20R9H-9438 ' , '! "ww.ci! imortQaGe.com

Ju ne 1 5,20 09C itiM ortg agc A ccou nt N um ber: 0 77 082 53 46

DANIEL L JUNKCHRISTINE H JUNK181 OLDFIEL .D WAYi1LUFFTO N SC 29909-7013

1 " 1 , 1 1 , 1 " 1 , 1 , , 1 1 , , , 1 , 1 " 1 , " 1 1 1 , " , " 1 1 , , 1 1 , 1 , , 1 , " , 1 1 , , , 1 1 1

D em C il iM o ng 1lg e C li en t( ,) :CitiMollg,age, I nc , W31 ;l s 10 lake this opponuniry tu say "tha nk Y:J u -. E ff ec ti ve July I, 2009, your rn[)rigugc loanscrv icillg w ill h e IlnnslcfTro f i ' " 1 1 l C i(IM nr(g'lg~ to B ayview Loan Servicil1B , U .C . This transfer docs not affect theterm x or cord itions of you r loan d ocu ments other (;lall th e terms d irectly related to the servicing of you r loan.

A F ew Im por tsn t PointsIn 211 e l fOl t to m ak e 11m transfer :l.S smooth 88 po ssible C or you, please find below a oricf lis t o fc ha llg cs a ftc clin gyuur l l\U ltg il ge paymenl s, as well 3'> o th er i mp or ta r. t updates. P!cZlSC tak~ J few moments to review tllis iuforrn.uion.The: ch?eges you will scc~

I. C',tiMl1rtsag\.O will stop [ lc ce pl i; lg your 1 l1 (: lt s, lBC payments after June 3 0, 2 00 9.2. The date your new xcrvlce r, Buyvicw LORn Scrvlcing, LLC, will quI'! Hcttpting payments is

J uly 1 ,2 00 9. As of th is d ure , ni l payments s hou ld be rcui luer l to B ayv iew l.o a n Servicin g,LLC.

3. ,IIvou have r ec cu t lv l li ll ikd a payilimt (0 C ilif'.l\lrtgi1:ic 3 1JU w e receive it a fter th e t ransfer\\,\iX, w e w ill ! ' t11war, \ i t t o I :l a; vi ew Lo w S erv ic in g, IL C f or p ro ce ss in g.

,1. This t rans fer dJJ~_S_Dt afferJ the statu s of any pending b an kru ptc y o r f ore clo su re p ro ce ed in gs .5. If y ou r payment is cu rren .ly b ein g au to matically d ebited , this serv ice w ill be can celled C IS of

June 3D , 2 0 09 .How to Contact Us

I I' y uu h av e q ue stio n.';, hnc ar c \hl~ n pp li c: \b 1e m ai lm g a tl dr c:s se s, lull-freeliumbers, f iI ld h o u rs 0['operation.CO :--lTACT YOUn. PRESENT SERYJCEf{ , C ITL \IORTCAGE , ON OR IlI~FORE .JUNE 30, 200~ :

S~:N)) C()RRESPONOFNCE 1'0:C itiM ortg J8 l" in c.P .O . B ox 9438

G aith ersb urg, M D 2 089 8-9 438

CUSTOMER SERV lCE :TOLL FREE NUM BERS & 110URS1-800-283-7918

7:00 a.m , to 12:00 a.m . (ET ) M - Fs : o o a.m. to 7:00 p .m. (ET) SatllfdayJ 2:0U p.m . to J j :0 0 p.rn . (2 :T ) SUCdllY


18/37

T he fo llo win g N otic e is r eq uire d by S ccticu S of tile H eal E stale S ettlem ent Procu!urcs Act (HESPA)(12 U.S.C.) Section 2605)

N onCE O F A SS[G 0:!'.W NT, SA Lb, Ol { 'mANSFEr~ O F SFRVICING RIGHTSYo u are hereby notified that the servicing of your mortgage loan, L l a t is, t 1 \ C r:ght to collect payments f r o m you , isbeing assigned, sold or tr an sf er re d fr om C itiM ortg ag e, Iuc, 10 B ayview L oan Servicing, I.LC effective July I , 2009.'111C asslg[1Jl1Cnt, sale Of transfer of the servicing of you r 1ll00ig~gc loan does nol afrect any terms or conditions of themortgage instru ments, other than the terms directly r el at ed t o t he 'LTIicinl', of you r loan.The law requ ires that you r present scrvicer send you this noiicc a t l ea st IS Jays before the effective dil:e oftrnnsfer,or at c;nsing. Your new scrviccr mus t also S C f l U you this notice r:o later I h a n 15 days alltT t hi s e ff ec ti ve dele or atc\05in,;.You r present servicer is CitiMortgage, Inc. If you hove ilfly qllCstiollS rebtiflg to the transfer u f servicing frcm you rp rc sc ntx er vicc r, c all C usto me r S erv ic e a t 1 -SOO-2 83 -7 9I S' lv lu,1 ,by th:011g11 hiclay from 7:00 a.rn . to 12'00 1 1 . m . ,Saturday from 8:00 a.m . to 7:00 p.m ., il!lj SW:(;, l), fro m 1 2.t )[ ) p .l Jl . tel II :00 [1.01., ET. This ic i1 t ol l- fr ee n um be r.Y uU ! new servicer w 1 l1 b e Bayview l.oan S(T ', ,:, jllg , L LC . 'l hc bus iness address fo r ycur ne w servicer is:

BA Y VIE \V L OA N SI~l\V JCIN U, LL e'1425 Ponce de L e ol l l JI ve l.5 '1 F lo or J \1 2i lc oo ll lCoral ( ' : iuie" F [, T l1 46

If Y OIl l.avc an y qu estio !ts rdatillg (0 the tru nsfcr of to yu ur new scrvicer, call rLy\'i~.',w L. , , ,)an SZ'{vlc ing,U_C at 1-800-457-5105 Monday through Fiiday lium 8:00 a.rn. an,l 7:00 p.rn, PT111t : date thet Y OU f p rcscu : s e r v i c c r w ill stop accepting pay.ncnts f r U I l l you is J u . r c 3 0, )0 11 '). Il.~ :L lIe th ill your news e r v i c e r will Sl i lr t acc i ;; J ling t J C l y m c r J I s r~om you is Ju ly I, }OOy, Send 0 1 \ p :~ Y l ll c: n ls o u e on or , d l C T July I , 2 0( )l ) toyour new sen/jeer.T he t r'H is le r urservicini~ r .gh ts lI 1:iY ,:ffed the tClJ l1S of, or the coruinu ed availability of allY optional insu rancecuver 'J!ie (if '< : tw r membership produ cts. If your monthly !,ilyrnen l included tIle c ol le ct io n o lu p rio na l i[15[\[[1[1C"prr.riiu ms or rnelnbcr,hip f ee s, tl .c sc scrviu::; willnot co.itinuc. Y ou ,fl(lu ld centilcl tl.e proVldcr o ft :l e o pt iU [l 3ii l lSLJI2,IlCC or rltlJu crsllip product directly tll d cr e r . u iu c y o u r c()J:linuatiuli privilc[?cs, if a p p l i c a b l eY ou shou ld also be aw are oFtlic following infou nation, w hich is se t [lilt iii more rldil il i ll Secti(l :1 (j of the R ealrc:st~ tc Setl!ell\< :[,( l'roc,Ju rcs A ct (R ES1)A ) (17. U .S .c.'[hl,i ng the G ij~ 5y period follow ing tl.e effective: oM t: of il.e transter ofthe loan ;] [(J'll) pa ym ent re ceiv edby you r old serviccr before its d.ic date may not OC tTCG tcci by tl.c ncvv loan service: ll:i i:Jle , and :1 litc fee m il)' not beimposed on you.Section I) of I U~ SP ;\ ( 12 U .S .C . 2(05) gives you ccr.ain consu mer rigilts. If you scud" 'qualified written re qucx!' toyour l oa n s cr vi cc r concem ing the servicing of your 10 r "Uln p ;l ymcn t TY ,eC\ i'. ll l1 supplied by the - .crviccr , whichiocludes your n.uue and dCCOUlll number, (~llci yourrcnsons [or [he request. If you want t~ seud ( l l lqu2.1ificd Wl'i1tCIlr cqucs : " rq;rlrding the. servicing of you r lean, it must be sent to t hi s a dd re ss :

BAYVIEW LOAN SE[i .VICl t~C;, LtCA tten tio n: C us tom er ~l:lvicG DqlC,rlrr.l:llt4425 Ponce de Leon lllvd.5 th F lo ol M ai lr oo m( 'o :nIG I'b ;cs, FL 131':6

Not later than G O [ lu siness Days after receiving your request, yOU] serviccr must make any approprinte corrections toYUU I accu unt, ;1I\d Illust provide yu u willi d wr i. tc n cbrilic;\liull r~ ga !(:illg u uy dispu te. Du rinG tnis 6J-Bus iness Da yperiod, yow servicer may not provide inforrn.u ion ',[) a consumer reponing agency cor.ccming any overdue paymentrcillk J 10 o uch p eri od or qualified written request. However, this docs ro t prevent tJ:c serviccr from i.iitiaringforcclnsure ifproper grounds exist under the m or tg ag e d oc um en ts . A B u si ne ss Day is a da y on which the offices ofthe bus iness rrni.y arc open to the public for carrying on substantially all of its bus iness f.n.ctions,S eelio ll 6 of l{ ES I'A also provides for dcc1\lIlt:es 81[(1 costs for individu als or classe, of individu als in circum stanceswhere service.s are shown to have violated the requirements of rhcr S"ction. Yo u shuu ld seek legal (ldvi~e if youbelieve you r rights hove been violated."ea ) ~ \ X : 0 . e L I ' M o , 1 .]J()[' , j n c ( , :t i M o r t r ,- a g f l , i n: . d e " .' ;) b u s i n e s s 05 C i ~ i c O l p ~lf~r~~[~lj;; in " n ~ . ~ i l i ~ j C r - ! . I J J ~ I_',1:1c . i s ell 1 2 , : ] L J d I (cus;n(j : e 1 J e r . C i t i , / \ 1 C O ~ ' s i 9 r ]. a , r , U C i l ! d r ; ( i A rc rl") i~iI i(; [ e 9 i ~ [e l e o ~ e ! v i ( ( :

u -" ,- . " m a (~ 5 o r C r t r ' , ) f C > U P 1 1 L C 2 1 s Joe f i i i l C O , , 1 f i r n o n i lQ r e a a n t . I I~ ' ( o ,- J c r J fu r 'lUdl:ty a ~ ~ u a r c \!


19/37

CONTACT YOLR N [~W SERV ICEI{ , BAYVIEW LOAN SERV IC ING , LLC, ON OR AFn:R. r U L Y I , 2 U U 9 :

SEND PA Y MENT TO :Bayview Loan Servicing, LLC

i '.U . B ox 3042M ilw au kee, W I S .l201-3U 42

CU STO MER SERV ICE:TOLL FREE NL:MDER& HOURS

1-300-'\57-51058:0Cl tun. v 7:00 p.m., (5T)

Mond"y v Fridr.yY ou r A nnu al Sta tem ents

In Janu ary lO IO , you wil! rece ive tw o sepnrate ~l(lIig:,gc I nt er es t S ta tem en ts (form 1098) reom CitltvlUltGd(ie am ]Bayview Loan Servicing, LLC . These annual staternnu s w iil report the umount of i.itcrcst and re d e,l


20/37

E.XfIIBIT C


21/37

C i t iMorlgal)eP.O. B o x 660065Da llas , TX 75266 -0065 wY { , 'f . ci l i mo r t ~JG(\COln

M arch 23, 2 0 j 0D A N IE L L J U N KC H R IS T 1 N E H J U N K181 O LD FIE LD W AYBLUFFTON , SC 29909 -7 0 13

New C i tiMor tg~gJ Accoun t r~umbe r: 0 770825246Aay vi ew Loan Serv ic 'r ,g , L LC Ac cc urt Numbe r: 0 000403634

Dear Ci icnl (s ):The serlicing 01 you r mO lly aQ 8 lo an , \ ha \ is , th e liiJ ht to c o: lo c\ p ayments from you , w as u a n s l e r r e c from Bay view Loan Ser vic in o, L LCto Cit iMolIgago affective Malch 9, 20 I O . This transfer 01 scrvicirlg does not af fe ct I ho t81m or condilions 01 you r loan other Ihan thote rm s d ire ct ly rela ted 10 \ 'iho Is seN icing your loan.I o r r. a k o this transfer as Sil 10IJIh as possible, b e l o w is a li~t 01 ili lportant inrcrmation. W e h a v e a ls o e n c l o se d a C lt iMor tgage f ef !sch cdu !e G nd ou r P r ivJcy Policy.

Monthly P i \y rT lcnt .? , : Effective March 9 , 2 01 0, Gily payments should b e sent 10 CitiMortgage:C I T IM O R I G /I G E : , i N C .

1 )0 & I x 6 SB 1 9 6D e;; M oine s, III 5 036 6 - 91 S 6

e fl ow to R each Us: I f you have quest ions , p lea se cal f 1 -8 00 ~3 3- 79 18 ', Monda y th rou gh F rid ay , fr oIII 7:00 a . m , 10 12:003.111, S aturday from 8 :00 a.m . to 1 :00 p.rn., and S unday nom 1 2:0 0 p.m , to 11 :00 p.m ., t: r .'r'ear_Q_lld,~lJ!QillSIJ\!3_:: y ou pa id a ny inte re st. la x c r ir ,s ur an ce pa ymen ts dU rin g 2 01 0, Wi] w i l l send you a F onm 1098 b yJanu ary 3 1, 2 01 1, A ls o, if a pp lic ab le , 1 '/ 8 wifl s en d i 'OU a F orm 10 99C , relfecting Ih e am ount 01 d ebt Ih a I W3S cancelled.

" II you send a 'qu ;} [j li cd w ri 'to n request ' to yeu r IOJn sc. vi cc r conce rn ing m e sSNicing a t your loan, Y O L r s e r v ic e r mus t p ro vid e y ou w ilha writ ten ackn -Y ll ie z lg rnon t w ithin 20 B IJ si ll 8SS Ouys 0( rece; ,p to f your re< luesl . A ' q u C \ li l, e d w r iH e n re que s[ ',s a \ ' l r i U e n conespondence,other t h a n no tic o on a p ai'm en! c oup on or oth er pa ymen l r r : & d i u m suppl ied by the sorv icer , w h i c h includes y our n ame and a ccoun ln um b e r, a r . d y o u r r e as o n s f o r t i l e r e qu e s t . I f y o u w a n t t o s e n d a 'qualified w r : t \ e l 1 r equest ' r egarding the ser vi cing o f you r loan, il rnustbe sen t 1 0 :

C r n M O R T G A G E , I NC ,A nN : CUSTO ME R RE SE AR CH

PO B O X S442GAJTHERSBURG M D 20898-9442

No t Jat ar than 60 Business Days a fte r r ecoi ving you r request , you r servicer must make any appropriate correct ions 10 your account andmus t p rov ide you with a written clilrilicatiol1 rcga~d ing ( lny d ispu te . During this 60-SusinGss D3Y p etio d, y our s crv ic or may n ot providei nl omnal io n t o a consumer repor ti ng agency conce rn ing any o ve rdue pay rncn l r elated to such per iod o r qua li fi ed w rn ten request .Howeve r, t hi s does not p re vent t ha ser vl ce r [ rom ini ti al in g loroc lo su re if pr ope r g ro un ds e ): :5 t u nd er th e mo r1 ga ge d ocumen ts . AB usiness D ay is a day on w hich the oltlces of ID e b usiness ert:ty are open 10 th e pu blic [ or c arr yin g o n sub sla nti 3ty al l o f its b us ine sstunctions.'Welc ome on b ehai f 0 1 the entire Ci:i (amily.Sincerely,C iIiM or1 ga ;e , In c.Enclosures

~ mO l D C I !i M~ r IQ a () ,' .I II [. : lt iM o rl q" Q I' .l nc . d u e S I llJsin('I las [I!iccrp M r : r l r ) i q c in I,iil Ci(iIJOIi'l)Ql', I fle . is ~ I l e , u a l hO.'i l in); l e rd e r . ( i ii .' A rc Dhlqr. 3 n dC i li a ~ d ~J C D e s i q n are r " ' J i s l , r c J servia, ! ; ; ; y j mar,s 0 1 C , tl C jI O U P Inc [ 2 1i S l re r andomly mon liored end r e c o r d e d lu r q u o ' i l y duranCe. [1(I.~orl\a'le I', debt uJ ll l' tl or c lnd ,1oln lo rmat lcn o b t . < r c l l , j Will b e t r se d l o r ttlal pu r p o s e .


22/37


23/37

02/07/07

-Review Requestcd-OJl_J\_lIEL J. ,JUNKCIFnSTHIE H ,JUNK181 OLD~lELD WAYOKATIE SC 299C9

mner ( ):

;'ic: 1COil", t.o Citi,/l()rt~ilg('! Rcc"nt-ly, you should have been notified byp,mC?ri_Cdn Hume >:ortgaCJp Corp~~ratiCln that the Sl-?L \.'icin~J I incllld-i_nq theright t.o collect p_~yl:1(-:1l1;;, of you:c ll1ort'jc\(_fe Loun is being transferredl~n Cj_ti~1nr~ga0P effective02/01/07. BCg.illlLi_fl1it- rnio prccp:Cl1l1 C311 be found on t;-ltc bClcJ~ of yC.LI:rronthly biLLinq :3t.all'llt81 t. OJ I)fj Din web :li 1 - ,

BeC}JIlllinq::Il 02/01/[)7 Lor GO UelY:; Uwn,Jfl-""r, no payment 1!1ill beIT(':d:c'd dS Iatc _ No late charqes w iL.l ; : : > e aFJsess~,d by Cili ~Ic)-r-:-(_i;lC,C:i . t 1:11e paY![CcIC_ ii: n~c('ivnr] by X\r.lc:cican :Iomo 1,~()]:tcJase Corporationprien- to o the end of l:Lc' applicable ldly c11:n:']\O CJri1ce period,If ~/()Ll bave al:Y CfLlestlOl1S o r ncc~d dU;:>j.llL.i:l_nCJ: c()nc(':rni_~l(J your loanaft t_llc t_Y'()T1sfer date, call ti1(~ C':tiNo:::-tgC:-J..ge Ct:_~~L\._-:;lllP_L~ Sprv.i.(~t-:JJe'puctmenL at :L--30U-28J '19Hl' (TDD :l-ilOOVF;-),S16). You r1:\y alsow ri.to to us a.t: r .. Ilox 'J4Jll Gaithersburg, HD 20293--)'2,lC,refer to your C.LLiHurl:cJi-i'Jp loa-, rumbo r 0770[J;~S3'lG_

If you lL"'v,= dl.y lFH'~31_ .L ')lW prior to 1))/0]/07, pleas,? contact Jl,me)::~Ciil\llome Hort~a~e Corporation hy calling (877) 301-3100 or writing to:Jlmeri (:;,n H()rne: Hortqi_\L]C Corpora t .ioi: 52 J BroadholloVi Eoad tfJeJ vi .li .e I Ny1 :_ :_ ' 7 r} ' / .

III JanuJ_r~{1 CitiG'IoJ::tga


24/37

PilCJl' Two02/07/0107708::


25/37

0:2/07/0'7Hl?OFTMJT MTOUHT INPOEI!ATION

Loan N"m)Y'r: 077082531GPaYliC.ent Duc natc: 02/01/0'7

please review the following inforrna~ion to confirm itsaccuracy.

If necessary, n,aKe any chauge,; OT a(ldi~ions on rhi f orm .Jf this info.[I\1dLicn (J.CCI)rate, no furt}ler action is J_-(:;(_J_LLj_rc:d.

Primary Hurrower:S 3 ,1 6S".$~---......--$

citinoc,-tgCllje, Inc.P.O. Box GOO: ;

The Lakes, NV 88~01-G006Send Payment to:


26/37

Exhibit 2


27/37

InterestF irst'i'iI1AD JUST ABLE RATE NOTE(O ne- Y ear LI B OR Index (A s Pu blished II I T he W a ll S tr ee t J OI IJ 'rI al )

Hate Cups - 10 You r Interest Only Period)

Uovcl.Lber J, 2()UG[f)"cl

H il tol l H eJ .d I bl an d[Cily)

SO\ltJl Ca r o li ria[Sta te]

I1I1S NOTE CONTAIKS PROVISIONS ALLOWING POl{ A CHANGE TNMY FIXED lNTRRRSTRATE TO AN ADJIJSTABLE [NTFHEST ]{ATE AND FOR CHAJ'IGES IN MY MONTHLYPA Yl\1ENT. nHS NOTE U1\HTS TilE AMOUNT MY ADJUSTABLE IN1EREST HATE C:\NCllAI-.'GE AT ANY ONE '1111111AN)) nm :\IAXIMfCM HAlE I MllST PAY.

181 Olclfir:ld \~ilY, oK2tie, sc 29909IP'''i' '' 'Y Ad.Jrcs]

I. 1l01U{OWEWS l'HOl\USE1\) PAYIn rc.u rn for a loa:1 that J 113\'" received, J promise to pa y U.S. 1,:2 0 0 , 00 C J 0C

" Princ ip al"), p l.l:i L r. ic re ,l , t o 'JlC order of Lender. L eu -lo r is i\me):ic;dl [l01"'0 1>lurtgc:ge( tli s W IH lW l1 i s c al le d

I w ill III:!ke alllw{l11cnts under I:lis Note in the form or cash, check or lI1ulley order,I llndcrst;ll1d tn;lI I .cndcr m 3Y tr ansfer tLis 0.'utc, Lel,l:'~i' o r a ny on e '.\']-,0 takes thi: N(;i~ by l ra :t :f 'c r : l' IJ 1'1]:" is entit:cd to

r ec ei ve p y ln ~f )t s ullJc;r this Note is called the "Nc,[c Holder,'2. lNTEHEST

1:llcrcst w ill b : chllrgcd on u npaid p.inc ipal u ntil lh~ C ud JIIIOlll1t Df PI iucipol !L;JS lx:cn r a in . [ will pay interest at a yearlyrate of 6. SO 0 %, Th e n:l:rest rille I will p " ' y m ay c ha Il ge in accordance with Section 4 of this Note,

Th e inkrc.;t rilte required by this Section 2 ;l!ld Sectlon '1 cf this Note is tl.c rate I w ill pay ')oU] ly:f'orc and elk r on)'d ef au lt c te sC fl Dc d i n Sec ti on 7(U ) of this N ote ..1. PAYI\H:NTS

(A ) T im e 811d l 'I ac c o f I 'n yr nc nt sI will make a pi1Ylllcnl on the lu s: rilly of every m onth, bcgiunin; ('1\ ~ r0.nu ary 1 , 200'/ . Hetorc the

Fin'. P r i ncipal and Interest Payment Du e Dale 3S d cs cr i bc d it ! Sectio.; 4 o f ' L 'l i' ; Note, my ))]IYll1elll will cOllc;ic,I, only of theinterest due on the unpaid principal balance of tl.is Nuk . [hereafter, I wi!! pay pr incipal anri intcrcs: by making a p ay me ntevery 1I10nih as pruvidcd below.

J will make Illy monthly payments of principal lUlU imcrcst beginnmg 011 the F irst P t ir.cipa. 2Ilt! interest Puyment DueDate a s c lc c; cr ib c d in S ection ,I of lhi'; Note, I wii! lL?k


28/37

(B ) Amount of My lllltlu l M on th ly P uyrn cntvE8Ch of my initial m onthly paym ents w ill be ill the amount of U . S . $ C, so o. 00 until tl:e first Change

Date, A f1cr the Iirs: Chgngc D :He, my monthly paym ent w ill be in all am uunt su fficier.t to pa y accrued interest, at the ratedeterm ined as described in Section 4 or th is Note until the F irst Pr incipal and Interest Paym ent Due Dale. On Ural date andlh6l'Cafkr, m y m onu ,ly payment will be in :JJl am ou nt s ulI lci en t to r ep ay the pr incipal allii ifltercsl ,1t L'l e r at e determ ined asdescribed in Sec.ion 4 01- t his Note in substantially equa l in,uIL'Tlcnlg by ( he M a tu ri ry Dille. 'lnc N ole IIolder will notify meprior to the elale o f changes in m onthly paym ent.

(C) Monthly Payment CbHllg('SChanges in lily monthly payn.cnt will rd1ect dLilllgcs in the W 1i)ilid p rinci;ldl o f Illy lo an ar.d ill the in .er cs! rate L fw t [ must

p.iy . T he Note H older w ill determine Illy new interest r ate ar.d the changed amoun, of my [:lonUlly paym ent in accordance withSection 4 or) of t1< is N ote.1. ADJUSTABLE INTEEEST RATE A ND 1 \1 ON TlU JY PAYI\1E~T CltAJ'i(;ES

(A) Change De(rsTil" Lni\\a\ 11xell ln tc re~ t ra le I w i \ ! ~)'Yj will dl~l'2,c to : ' . 1 1 :,!lj'cl',\"blc interest rate O Il L ' 1 : . rlrs t d ay of

[)cccemb'cr, 2011 , l l C l 1 the adju sl:tb lc interest rate I w ill ,H y r r a y c h2 1l Sc on that day every 12Ul mo nt h t he re af te r.Th. date on which Illy initial fixed in terest Idte changes to In a dj u st ;, bl c i ll tc lc st rate, ,u:,\ till: ' u 31 e o n \ ,'1 1i c1 1 I ll y a dj us ta bl einterest rete could c han ge, is c alle d ii " C I1 3 ng c D a le ,"

(n) Th e IndexlJqiinil1~ w ilh lllll E rct Cll". i l?,C Dale, m y :lu )u sl;\bk in terest [ale m il he based Gil ~D Index. The "Index'' is the average u f

ill t,~ rb J.J lk o ff cr cd ra te s fo r o ne- yea r U .0 . d lJ i: :J f- dL nu ln ill a\ el \ deposils in the L e m u c I : 1 C)i i rkc l ("l.IROR"), as published in Th elVoli Siclod Jnurnct . The nlD ';\ recel'll Index I I )l ,mc Jv ai la b le as l'\ In c dale 4S MY S \; do rc carll C \lange D ak is caHcd theIIC ur re nt In de x. II

[I' the index is no longer availab le, the NC):e Holder will c:'Ui)'C u new index that i:, I ); .! sc d u p u n c C ll 1; 'o 1r dh ic i nf orm at io n.T he N ele 110lJer w i; 1 g iv e file notice o f U ds ch o.c e.

(C) Culculntlon o r C:hnngesB cfn rc each Change Dale , tile Note Holder w ill c"leu ]',te my u cw I, , 'm os t ra te I)y a de liIl" 1 '1 '1 0 and O ne QUdrLer

percentage points ( 2.250 %l tu Clt Curr cnt Index. The Note Holder w illt h c u ru uu d the resu lt uf U l\S l \ d ct i l i o n . o the i.carest C I, I & ci g h ti l o f aile percentage po in t (0 .1 2 5 '; ; :, ), Sl1hju;t t" ~[l';l im it s s ta u: d il lS,:,;tioll 4(D ) belo w, t hi s r ou nd ed amount will be my new i r. tc r c st r :l te unul t li e n ex t Chang" Date.

Th e ~otc H old er w ill then delcrmille "'Ie a:l10Wll of ;ny 11101lU,ly p:'Yll1cnl. F or p ay men t a dj us tm en ts o cc u rrin g Ch:.forc (\lChrst Principal ,Hid Interest Payment Du e Date, UIC u n.ou nt of' iii)' monthly payment wi~] he SliOlcient to repay : , 1 1 2ccrlledi nt er ,,: ,l e ac h 11iUlItll lin UIC unpaid pr incipal balance ~t ~lc new interest rate. If I make a voluntary payment o r p rin cip al b ef oreth e F ir st P ri nc i; lJ i an d In:erest Payment Du e D ,dc, my pay;nen l nmolm t fer su bsequ ent pnyrncnts w ill be reducer! to tile amoun tncccssarv to r(r'Y all c lccn ;cd .r. tc rcst o n th e reduced principal balance at ['1" c urre nt iu tc rc s: ra te . Fo r r~Jlnenl 2l:justmcntsoccunint\ 'hl u r after tl.e First l'rinclya[ an d [nlerc';ll);lYlllenL Du e Dale, !l-,e nmullilL of my mlml .h l y paymwl wUI be ~unlcient tcrepay u npaid pr incipal lUlU interest (]w t I arn expected til "w e in Ittll on tl.c Millilrity Drltc nt Ll e cu rren t inter est rate insu b;[;m tblly eq ual payments.

(D) Limits OJ ] Interest Rate CilollgesTlr~ interest ru le 1 a m required to P;IY at the lirst ChJ1l8" D ille .vill nlil b e g rC :i ,l c; r l h. iu 11, SO O % Of less

t11,111 7..250 %. Thcrcancr, m y lidjm:ab18 i n l c r cs: rete w il: never be i:i:rcJscd or decreased on anysingle Cil':U:g0 Date by more \he,n tw o puce"t"ge points from the rate u f i nt er es t 1 have been PllYll" (or the preceding 12Ill()n~(s. illy interest rate will never be ~ r" rl lc r t h: Ln '_1,50 0 %.

(E ) E ffccth 'e_ D ate. of C hange,My new interest rate will b eco me e ff ec tiv e OI l each C hange D a c e . 1 will pay the amounl of Illy new m onthly paym ent

iYcginning O Il U IC f ir st mont l . ly payrnen! ble a llc r 111,; Date IlJllii the amount o f my monthly payment changes again,(F) Notice o r ChangesDefore the effective date o f an y change in Illy interest rate ,uld/or monthly payment, the Nol~ I loldcr w ill deliver or mail

to inc a notice of su ch change. The notice w ill include iDICJnll"tion required by 12w 10 be liven :0 me and also the title andk;cP:10IlC nu rnbcr or ,,' p erson who w ill answer ,my question I !1l11y ],j\,C regaJci: lg t he n ot ic e.(G) Date of First Pr lnclp a l u n d Int ercst Pnym cn tThe date of my first payment consisting of both p rin cip e.1 2 ce d in terest on U lis Note (the "F irst Principai and Inter est

Payment Du e Date') shall be that calc which is the lO ll, flJl;)iversary Jate. ot th e iJrst plly lllc nt d ue date, n , r ef le ct ed in Section3(A) or tr.e N ote,

AP1'L ij;COC14JJ2~6


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S. IlORIWWEH.'S RIGllTTO I'llliPAYJ have the righ t to m ak e pa yrn cnts o f Prlo:i[Xl1 at any time bet-ore they arc due. A payment o f P r in c ip a l only is known as a"Pr epaymcm." When [ make a Prep")~11Cnl, 1 will lell iii," Nole Hohler ill writing thal I am doiJ\g so.l may not dcsig\\3\e apayment 3S a P r ep a ym ci .I if I h ave not made a ll th e m o nth ly paym ents du e u nder tile Note .I may make 3 fu ll P rcpayn .eu t or part.al PrepaYldCllts withou t pc,yinB a Prepayment charge, The Note Holder w ill u sc myl'rCjJaYlllenls to reduce the amoun t of Principal tl.at lowe uncer this Note. H owever, the Note Holder may apply myPrepayment to the accru ed and u npaid interest on the Prepayment amou nt, before applying my Prepaym ent to reduce thePrincipal amou nt of the Note. If I mak e a partial Prepayment, there w ill be no changes i~l the du e d a'.v of my rnon 'hly paymentunless il'.c Note Ilolder agrees in wTiling to those C~lDgCS. If the partial Prepaym ent is made during th e period when mymonthly paym ents consist on ly of interest, the amou nt of the month ly p")1TICnt w ill deer case fo r the rem ainder of the teru i whenm y pay men ts consist only of interest. [C ll,e partial Prepayru c.u is Ill,ldc during the period w hen my payincu:s cOllsist orprincipal an d interest, my p ar ti al P re pa ym e nt [ lUY reduce the am ou nt o f n .y rr.onrh ly paym en ts after th e [lcst Change Datefollow ing my partial Prepaym ent. H ew ever, any redu ction due lo m y partial P repaym en t may be ulTse t by an interest rateincrease.6. 100M CIfAI{(;ES

I f s 1 31 '.', w h ich n pp l.c s til th is 1 08 11 31](j w hi ch s et s r nd xim ll fll h,n chlnges, is finally interpreted so that ihc inler cs: or otherloan char ges co llected or to be collected in connection with this loan exceed the pe rl ll i t tc l l llmiLs, then: (3 ) a fly s uch 1 0 1 ' 1 1 chargeshall b e re du ce d by llie amount necessary to rccuce the charge to V IC pcnnittcd limit, llll:! (b) any sum s already collected fromme that excccued pennu ted lim ils w i:l cc r efw ll~ etl t o me . Th c Note Ilol.ler may c\JOOo" to make u lis re fu nd by reducing thePrincipal [ owe under this Nole or by makiI lS ;J direct [l"ym cLl tu me , If J rcluJitl reduces Pr iicipal, the reu uction w ill b e l re :t le das a partinl P r c pay mcu t.7. BOlmOWEll'S FAILUIUL TO PAY AS m~QUJR1m

(A) Late CiJarge;; for Over d ue P ay men ts[rUe Nu te Holder has IICJt r~(eiYeU th e lull ar.iouut olany I l lO l ,U lly p ; lY l l le l lt by the cud of Fittec2il calcu d.u days

nfler the dare il i'; due, I w ill pfly n law chnrgc to the Note Holrlr.r. The [:n1CIH lt ofthe ch:HSc w ill be 5 . 000 %of my overdue JA1 j1 1 lc n t n l - i n te r es t , during th e pcriod w llell my payment is intcrcxt only, and (If p rin ci pa ] fi nd i nte re st th er ea ft er .] w ill ['ay th is laic charge prom ptly bu t on ly once 011 each l at e p aym en t.

(11) Delau[[I f I do not p" y the fu ll .unc.uu o f e ac h m on th ly I J.:1 Y[ l\( 'n t 0 ;1 th e cL,ic it is due, 1 will be ill default.(C) N r :i l( '( ' o f D c 'f ll li itI I" I om :11 dcf:1~lt, U lC Note H older m ay send me 3 wr illc .: u oticc (c1!i:lg m e Ih :lt if I do no t pay the overdu e amount by a

ccr tain d ;;ll~ , the Nolo Iioldcr m ay requ ire m e \0 P,lY immediately [he fu ll amount of Principa, tl.at has llu t been paid and 2.11thei n.e r cs t I I1 Jt J ow e Oil that alno'lIlt That (ble m ust be ilt lc'lSt JO (bys alier Ihe da:e on which 'he notice is m ailed to me or,~e1ivc[ed by other means.

C D ) N o W ai ve r l3 y N ote H oldcrEven if, at a tim e when] am ill defau lt, the Note Holder docs no t requ ire me to po y iru.nedia.ely ill f ull a s d es cr ib ed

~bovc, t11C N ote H olik ! will still have \he right to clo SD il I r. rn i n d ef au l t at a la ter lim e.(E) I'aymcnt of Note Holder's Costs and ExpensesIf the N ote l l o ldcr has required me 10 pay immcdiarely in fu ll as descricd above, the No:c Holder w ill have the right to

C. . : :l l "d :on 3(A ) above or al a differ er.t addressif I WI given a col ice of U :Jl diftcrcnl address.9 OBLIGATIONS or PEnSONS IJ\DER TJJ[S \on~If more th.1Jl one per SOIl s:gns this N ote, each person is fu lly and personally obligated to k eep all 01" the prom ises m ade inth is Note, includ ing the prom ise to pay the fu ll amount ow ed . / \lIy person who is a S.J .1Iuntor, su rety or .cndcr scr o r th is Note isalso oblign.cd to J( ) UllSC things. Any pcr so r; who takes over these obl.ga.ions, includ ing the obligations of a guarar.tor, su retyor endorser of ih is No:e, is also ob ligated to keep 811 of the prom ises m ade in this N ote. The Note Holder may enforce its righ tsunde r lhi, Note 2!lJir;s t each person individu al.y or a ga ills t a ll ofus 1(Jl::cula. This m eans U13t ally 011e cf u s lJlay be req uired topaya\1 of ell" am ou nts ow ed under t hi s N ot e.

~PPL #:000:490226r " C : J , _ { S


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10. \V ;\IV FR S] cJ1Q a ny ocher person who h as o bl if ;2 tio u :> unde r this N ote w aive the riEht, of Prcscntm cn; 2.1:UN otice of D ishonor.

"Presen tm en t" means the right to requ ire the N ote Holder to dem and f'J')1l1ent of iUTlOW1!S dUG . "Notice of D ixhonor" means theright to require th e Note Holder to give notice to oJ;C[ persons \hal cun< .l'Jnts due have not ken p . 3 i J ,11. Ul'1ll'OHM SECURED NOTE

T Lis N o:e is ~ uiulor m ir.struracnt with li!nitco variations :n som e ju riscictions. In 3:idilioll to (he protcctio!:s given \0 th eNote Holder uncler th is Note, J M nrtgnp,e, Dec,1 of T ru st, or Secu rity Deed (JlC "Sccur ity Instn.m cn ;"), lilted the same dale iiSthis Note, protects the Note Holder from possible losses that m ight resu lt if j do not k eep tile p r om ise IffiJ I make in th is Note.T ha t S ec uri ty I ns tn \l 11 cn t d cS Cf lt )e S how and \_:_11\_krwL-'.t c :o : .~ il il ion :; 1 m;l: be re q\ .'.l re d t o n\'2,~e lmrnc(hl\~c,p2l.Yffic_nt \11 fun of 2 . . ~ ti-llllcLlnts I O\VC under lois Note. SO[llC of" Llost. : c r :' ndd inns r ead i L l ' ; follows:

I'I

(A ) Until n. y initial Iixcc illk rcst ra:c changes (0 an adju stal-lc illlclc:;1 r:il!; u nder (be term s Sl!teJ ill Section ,I above,U nit~ :)[!n C ovcl;an t 18 of the S ecu rity fn slr'J1 Ctl!c shall [('~cl a s f ol lo w ,

Tr snsto r of tb e Properly or a Dcneficia\ Interest in l\,lrrowCf. As used in tlJis Secrio.: 18, "Interest in theProperty" :riedl,S :my legal or beneficial in terest in OlC I 'r o p er ty , ii.clu ding, hu t nu l l.rnircd to, il!u se beneficiali n tc [ esL 'i ~ r { l~ l ." r cr r (: d in a b on d for d t.. :c d) co nu act [or ueeJ , lnsll'Lr:ll:f!l s. .Jles c(!n~Iad or escr ow ngreclIlcnt} Lle intcnrof wtl ich. is ! .he lr2,nsl i.:r c[ lilk by flotIu ',:t;r CI t a L it UI " , J, li e l'l H l'I'reh8.".('r.

[f all or an)' pari 0[' the Pr o pe: ty O[ a ny i n! tr es ! in the: Property is sold or transrcrrcd (or if 1:J,)rruWCr is not anatural p


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( Se cl )-Borr cwcr

__ ..~~_. ~~~lS{:JI)-Ll . .)fICWCr'

(Seal)-Dcctower

~~ (Se"l)-Bor rowcr

_____ ~_ . ~ . __ (Seal)-ljocrcwcr

__ (Seal)

jSigli Original Only)

Form 3535 6/05


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Exhibit 3


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InterestFirstTl\lADJUSTABLE RATE NOTE(O ne-Year LIT30J{ Index (As Published In The Wall Street Journal)Rate Caps - 10 Year In terest O nly Period)

rms :\OTE CONTAINS l'ROVISIONS ALLOWING FOR A CHAJ'iGE IN MY FIXED II\TElU~STRATE TO AN AJ)JIJSTAllLE INTEREST RATE AND FOR CHANGES IN MY MONIDLYj'AYlYlENT. THlS NOTE Lli\lITS TIm A'\10UJ\T \-ty ADJIJSTABLE INTEREST RATE CANCHANGE AT ANY ONE TL'Ym AND THE l\fAXIMUM RATE I MlJST PAY.November 3, 2006

[Date]Hilton Head Island

ICJty]South Carolina

ISt;Jle]

181 Oldfield Way, Okatie, SC 29909[Properly Address]

1. nORlWWEH.' S PROMISI~ TO 'I'AVIn retu rn fu r a lo an that I have received, I promise to pay U. S, S 1,;;; 00 , 000 .00

"Principal"), plu s interest, to the order of Lender. L ender is Ame r ica n HOlne Mortgage(this am ou nt is called

I w ill m ak e 3 1 1 payments u nder U li, Note ill the fo rm of cash, check or money o r d e r .1 uuderst.ind that L ender may transfer this Note, Lender or anyone who takes \Ju s Note by transfer and who is entitled to

receive paym ents u nder thrs Note is called the "N otc Holder,"

2. INTI\HESTInterest w ill be charged on u npaid p ri nc ip al u n ti l the fu ll amou nt o f Principal l .a s b een paid. I w ill pay in terest at n yearly

r.ue of 6.500 %, Th e .ntercs! rate I will pay may change in accordance with Section 4 of this N ote.The interest rate requ. red by th is Section 2 a nd S ec ti on < 1 of this Note is UIC rate I will pay bo th befo re and after


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(II) Amount of My Initial Monlhly PaymentsEach of my initial monthly payments will be in tile amount of U.S. S 6,500.00 until the first Change

D ate. A ller the !irst Change Date, m y monthly payment w ill be in an a mo un t su fficient to pay accru ed interest, at tJIC ratedeterm ined as described in Section 4 of th.s Note unti) the First Principal and Interest Payment Due Dale. On that date andthereafter, my mou thly payment will be in an amount sufficient to repay the principal and interest at the rate determ ined asdescribed in Section 4 of this Notc in substantially equal installments by ih e Maturity Date. The Note Holder w il l n ot if y meprior to th e date of ch,m gcs ill m onthly paym ent.

(C) Monthly Paym ent ChangesChanges in my monthly payment will reflect changes in th e unpaid principal of my loan and in tJIC interest rate that I must

pay. The N ot e Holder w ill dctcnuiue Illy new interest rate and th e changed :I,",,", rIJf/-I97N (OW,)< !J


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S. BOIUWWEH'S IUGIlT TO PREPAYI h av e the right to m ak e p ay me uu : or Principal < it ai.y t ime before they are du e. A p ay me nt or Principal only is known as a

'Prepayment." When I make a Prepayment, I \VIII tell th e N ote Holder In w riting that I am do ing so. I may not designate apayment as a Prepaym ent if Iave not made all the monthly payments due under tile Note.

I may make a fu l! Prepaym ent o r partial Prepayments w ithou t pay ing a Prepaym ent charge. The Note Holder w ill u sc myPrepaym ents to redu ce the am ou nt of Principal thilt I ow e u nder this Note. However, th e Nole H older may apply myPrcpayrncr.t to the accru ed and unpaid interest en the P re pa ym en t a mo u nt, befo re applying my Prepaym ent to reduce thePrincipal amount or the Note. If I m ak e a partial P repay men t, th cr c w ill he no changes in the du e date of my month ly paymen tun less the N ote. H older agrees in wr itiu g to those cilC lnges. If th e partial Prepaym ent is made during ~hc period when mymonth ly paym ents consist only of in terest, U IC a moun t of the 11l011U lly p aym ent w ill decrease for [he rem ainder of the term whenmy payments consist only of interest. If the partial Prepayment is m ade dur ing the period when my paYlllc]ts consist ofprincipal and interest, my partial Prepaym ent m ay redu ce the am 01111 t of my m ou thly paym ents afte r the first Change Datefollow ing my partial Prepaym ent. However, any redu ction due to my partial Prepayment may be onset by an interest rateincrease.6. LOAN CHARGES

If il law , which applies to t hi s l oa n an d which s e ts max rn u r n 1031; charges, is In.ally in te rp re te d s o that the m te rcst or otherloan charges collected or to be collected in connection w ith th is loan exceed the perm itted limits, then: (a) any such loan chargeshall be reduced by U1 C amount necessary to redu ce the charge to the pcnnincd Iim it; and (b) < lily SUIllS already collected fromme [hal exceeded pcrm iued lim its w ill he refunded to m e. The Note H older may choose to m ake this refund by reducing thePrincipal lowe under this Note or by lIl;lk iag a d irect paym ent to m e. 11'a refund reduces Principal, the reduction w ill he treatedas a par t ia l P rc pa ym c nt .7. BOIUWWER'S PAILlJRE TO IJi\Y AS HEQlJlRED

(A) Late Charge:; for Overdue PaymentsIf th e N ote ioldcr has no t received th e fu ll amou nt or any month ly paymen t by the end of Fit te en ca lendar days

Idler the date it is due, I w ill P"y a late charge to the ~[)lc Holder. The amount of UW charge w ill be 5. 000 %of my overdue payment , 1 1 ' interest, du ring the period when my paymen t is in teres t "Illy , : 1 1 1 d of p r i nc ip .t: a nd interest thereafter.[ w ill pay this late charge prom ptly ou t only once O il each late paym ent.

(B) DefaultI f I do not pay the fuE amount of each mou thly paym ent on the date it is clu e, I \V III be in defau lt.(C) N otice of Defaul tIf I am in defau lt, the Note Holder may send rue a writ len notice telling me that if I do not pay the overdue amount by a

certain date, the Notc Holder m ay requ ire me :0 p ay i mme d ia te ly U1 C Iu ' ! am ou nt o f Prin cipal that has not been paid cU ld all theinterest that [ owe OJl tbat "m ou nt. '1 ':lllt date m ust be a t Jc~lsl 30 days :tlk r tllc nate on which the notice is mailed to m e ordel ivered by o ther m eans.

(D) No Wuiver By Note Il olderEvcn it', at a tim e when Im in default, the N ote H old er d8~S no t requ ire m e to pay inllllcdillk ly in 1'\\11as describedabove, the Note H elder w ill s till have the right to do so i f I em ill defau lt at a later tim e.

(E ) Payment of Note H older's Costs a nd E x pe ns esIf the Notc H older has requ ired Il,G to pay immediately in fu ll as described above, the N ote H older w ill have the right to

b e paid back by IllC lor ::11o f il .s c os ls a nd e xp en se s in enforcing th is Note to t he ex ten t not proh ibited by applicable la w. T ho seexpenses inclu de, for example , reasonable au orn cys' fees.H . GIVING OF NOTreES

Unless app 'icab .c law requ ires a di ffcrcnt m e.hod , any notice that m ust be given to m e under this Notc w ill be given bydclivcr ing it or by mailu ig it by Iirxt class m ail to m e :Il the Property Address above or at a d ifferent address if I give the NoteHolder a no tice cfm y differen t address.

1 ink ss the N ote Holder requ ires II different m ethod , any notice that .u u st be given to 'JlC Note Holder u nder this Note w illbe g iven by IllJillllg :t by first c!:iss mail to the Note Holder at the :J(jJres.s st:,tcd in Section J(!\) above or at a different addressilI a.n g iven a no tice of' iha: difl~Tcnt ilddrcss.

9. OBLIGATIONS OF PERSOl\S UNDER T1T1SNOTEII ' more 1 l 1 < U 1 one per son signs th is Note, each person is fu lly and personally ob ligated to keep all of the prom ises made inth is Note, includ iug the prom ise to p:,y the fu ll amount owed. Any person who is < l guaranto r, su rety or endorser of this Note isalso ob ligated ttl do these things. Any person who tak es over these obligations, including lhc obligations or a guaran tor, su retyor endorser of th is Note, is also obligated to keep all of the prom ises m ade ill this Note. The Note H older m ay enforce its righ tsu nder this N ote ilgainst each persoa individu ally Dr against ,lil of u s together. Th is m eans that anyone of u s m ay be requ ired topay all o f UI C amou nts owed under this Note,

APPL #:00C1490226Pz"e]QfS ::::~


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10. W AlV EH SI and any other perscn wh o h il s ob li ga ti on s under this > iote w aive th e rig hL s of Presentm ent and Notice 01 ' Dishonor.

"Presen tment " means tile r ig n: to r eq uir e tl.c N ote H old er to dem and payment of am ou nts du e. "Notice of Dishonor" m eans theright to requ ire the Note Holder to give notice to other persons that am ounts du e have not been paid .

11. UN IFOHM SECURED NOTEThis NO~8 IS [) u nifo rm in stru m en t with lim ited variations in some ju risdictions. In addition to the protections given to the

Note l l oldcr u nder this Note, a Mortgage, Deed of Trust, or Security Deed (tile "Secu rity Instrum ent"), e la ted the same elate asthis Note, protects the Note Holder Ir orn possible losses tha t m ight resu lt if I do not k eep the prom ises tha t I mak e in this Note.That Secu rity Instrument describes how and under what conditions 1 may be requ ired to m ak e immediate paym ent ill fu ll of allamounts lowe under this Note. Som e of those condiuons read as follow s:(A) Until my initial fixed interest rate changes to an adju stable interest rate u nder the terms stated in Section 4 above ,

U nifo rm COV C~ 11 llt 18 of the Secu rity Instru ment shal' read as follow s:T ransfer of the Property or a Beneficial In terest in Borrower. A s used in this Section 18, "Interest in the

Property" means ,E lY legal or benefic ial in terest in the Property , inclu ding, bu t not lim ited to , those beneficialin terests tr ansfcrr cd in a b01)d for deed, contract for deed, installm ent sales contract D r escrow agreem ent, the intentof which is the tr ansfcr or title by Borrower a t a fu r.ire date to a pu rchaser.

[f a ll or allY part of the Property or any Interest in the P roperty is sold or transferred (or if Borrower is not anatu ral person and a beneficial in terest in Borrower is sold or transferred) withou t Lender's prior w ritten consent,Lender [my requ ire imm ediate paym ent in fu ll of all su ms secu red by this Secu rity Inst-umcnt H ow ever, th is optionshall not be exercised by Lender if su ch excr cise is prohibited by Applicable Law .

I f Lender exercises this option, Lender shall g ive Borrower notice oj' acceleration. The notice sha.l provide aperiod of not less than 30 days from the date Ol e not.cc is given in accordance witl: Section 15 w ithin whichIlorrowcr mu st pay ~ill sum s secu red by Ihis Secu rity Instrument. It Borrower fails to !lily these sums prior to theexpiration of this period, Lender may invok e any remedies perm uted by U : I S Security Instrum ent Withou t fu relern otic e o r d ellla lld o n B orro wer.(B) \\1 lCn my initial fixed interest rate changes to an adjustable interest rate u nder the term s stated in Section 4 above,

Uniform Covenant I H of the Security Ir.stru mcnt described in Section 11 (A ) above xhall then cease to be in effect, Rnd UniformCovenant III of the Sccu r ity lns'ru .ncnt sid l instcar] read as follow s:

T ransfer of the Property or a Beneficial In terest In Borrower, A s u sed in this Section 18, "Interest in theProperty" m eans an y legal or beneficial in terest ill tile P roperty, including, bu t not lim ited to , those beneficia lin terests n a nsfcr red in a bond for deed, contract for ek ed, installm cnt sales contract or escrow agreem ent, UI0 intentof which is the :rallsfcr of title by Borrower at a fu tu re date to i\ purchaser,

If a ll or any part of the Property or any Interest in the Properly is sold or transferred (or if Borrower is not anatu ral person and a beneficial in terest L :1 Borr ower is sold or transferred) withou t Lender's prior w ritten consent,Lender may requ ire immediate paymen; in 1 ' ( 1 1 1 of a ll su ms secu red b y tili.' Secu rity Instru ment. l l ow ever, this optionslw ll not be exercised by Lender If su ch exercise is prohibited by Applicable Law . Lender also shall not exercise thisoption if : (a) Borrower causes to be subm itted to Lender inform ation requ ired by L ender to evalu ate 0 1 0 intendedtransferee ~IS I f a new 10,1]\ were being made to the transferee; and (b) Lender reasonably d eterm in es th at L end er'ssecu rity WIll not be im paired by ihe lo .m assum ption a.i:l th a t the risk of a breach of any covenant or agreem ent illth is Secu rity Instru ment is acceptable to Lender

To the extent perm itted by Applicable Law , Lender may charge a reasonable fee as a condition to Lender'sconsent to the I01lIl . issum puon. Lender also may requ ire the transferee to sign an assum ption agreement tha t isacceptable to Lender and thnt obligates the transferee to k ec;J all the prom ises and agreements m ade in the Note andin this SCClU it y lnstrum cnt. Borrower w ill continu e to be obligated under the Note and this Secu rity Instrumentu nless L ender releases B orrower ill w riting.If Lender exercises the option to requ ire inuncdi.u; p.ry .ncnt in fu ll, Leider shall g ive Horrowcr notice of

acceleration. T ile notice shall provide a pcrir,d of not less than 30 days from the date the notice is given in. rc c or d a nc c witl : Section 15 w ithin which Borrower m u st pay all sums secu red by U lis Secu rity Instr um cnt. HIlor r owcr fails to pay these sum, prior to the cxpirnticn or LIds period, Lender may invok e ,u lY rem edies perm itted bythis Secu rity Instru mcnt w .tl.rn .t tu r t hcr notice or dernau d on liorr ower .

DOC t/:94,t;4.B9 APPL 11'0001490226 F()r"IcJ';~J./UJdliaJ5:~\11)


37/37

::iEAL(S) OF THE UNDERS[(jN ED .(!J/f!!AJ--Chris . Ie H Junkanlel L Junk -Borrower(Seid)

-BQI'r0Wl:l

__________ ~ (Scaj)-Borrowcr

(Scul)

DOC U:944490 APPL ~ ;000100226

$>-197:-1 (0\[)61'"

(Seal)-Borrowcr

________________ (ScaJ)- Il or rowc r

.. . (Sea l)-Borrower

P ilg e 5 o( S

_ __ . . ( S ~a l)-Borrowcr

[ S ig n O r ig i na l O nly ]

Forw 3535 6 / 0 5

affidavit of danielle sterling -she did not endorse the note-junk v citi

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