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Claim, DuTrac Comm. Cr. Un.IN THE IOWA DISTRICT COURT FOR DUBUQUE COUNTY DUTRAC COMMIJNITY CREDIT UNION, VS. Plaintiff, MICHAEL J. VONDAL; KELLEY M. VONDAL; Z FIN 4; CITY OF DUBUQLrE HOUSING SERVICES DEPARTMENT; CITY OF DUBUQUE, IOWA; AND PARTIES IN POSSESSION, if any, PETITION Defendants. COMES NOW, the Plaintiff and for cause of action states: 1. Pursuant to the provisions of Iowa Code Section 654.20, Plaintiff g/ves notice as follows: NOTICE THE PLAINTIFF HAS ELECTED FORECLOSURE WITHOUT REDEMPTION. THIS MEANS THAT THE SALE OF THE MORTGAGED PROPERTY WILL OCCUR PROMPTLY AFTER ENTRY OF JUDGMENT UNLESS YOU FILE WITH THE COURT A WRITTEN DEMAND TO DELAY THE SALE. IF YOU FILE A WRITTEN DEMAND, THE SALE WILL BE DELAY-ED UNTIL TWELVE MONTHS (or six months if the petition includes a waiver of deficiency judgment) FROM ENTRY OF JUDGMENT IF THE MORTGAGED PROPERTY IS YOUR RESIDENCE A_ND IS A ONE-FAMILY OR TWO-FA2MILY DWELLING OR UNTIL TWO MONTHS FROM ENTRY OF JUDGMENT IF THE MORTGAGED PROPERTY IS NOT YOUR RESIDENCE OR IS YOUR RESIDENCE BUT NOT A ONE-FAMILY OR TWO-FAMII,Y DWELLING, YOU WILL HAVE NO RIGHT OF REDEMPTION AFTER THE SALE. THE PURCHASER AT THE SALE WILL BE ENTITLED TO LMMEDIATE POSSESSION OF THE MORTGAGED PROPERTY. YOU MAY PURCHASE AT THE SALE. 2. The Plaintiff is a credit union duly organ/zed and transacting business in the State of Iowa as set forth herein, and is the owner of the Notes and Mortgages upon which this action is based; the Defendants are individuals, corporations, or governmental entities either residing, or doing business in Dubuque County, Iowa. P~ge 2 of 5 Pages 3. On or about November 25, 1998, Defendants MICHAEL J. VONDAL and KELLEY M. VONDAL, husband and wife, made, executed and delivered to the Plaintiff one certain written Note in the mount of $58,800.00 with interest at the rate of 6.7500% per annum, a copy of which Note is attached hereto, marked Exhibit "A" and by this reference incorporated herein. Interest was "adjustable" pursuant to said Note. 4. For the purpose of securing said Note with interest thereon, Defendants, Defendants MICHAEL J. VONDAL and KELLEY M. VONDAL, husband and wife, executed and delivered to the Plaintiff one certain written Mortgage, conveying a security interest to Plaintiff in the following real estate, to-w/t: Lot 22 in Belmont Addition, a Subdivision in the City of DubUque, Iowa, according to the recorded plat thereof. Iocally known as: 2834 Balke Street, Dubuque, Iowa 52001. Said Mortgage was duly filed of record in the Office of the Recorder of Dubuque County, Iowa, on December 4, 1998, as Document #19378-98, a copy of which is attached hereto, marked Exhibit "B" and by this reference incorporated herein. 5. By its terms, said Note is past due and there remains unpaid the principal sum of $58,148.28, plus interest to April 1, 2001 of $2,220.93, plus interest at the agreed upon rate of 6.7500% (or $10.7534 per d/em) from April 1, 2001). 6. On or about November 25, 1998, Defendants MICHAEL J. VONDAL and KELLEY M. VONDAL, husband and wife, made, executed and delivered to the Pla'mtiff a second written Note in the amount of $7,300.00 with interest at the rate of 8.24% per annum, a copy of which Note is attached hereto, marked Exhibit "C" and by this reference incorporated herein. 7. For the purpose of securing said second Note with interest thereon, Defendants MICHAEL J. VONDAL and KELLEY M. VONDAL, husband and wife, executed a_nd delivered to the Plaintiff a second written Mortgage conveying a second security interest to Plaintiff in the following real estate, to-wit: Lot 22 in Belmont Addition, a Subdivision in the City of Dubuque, Iowa, according to the recorded plat thereof. iocally known as: 2834 Balke Street, Dubuque, Iowa 52001. Said Mortgage was duly filed of record in the Office of the Dubuque County Recorder on December 4, 1998, as Document #19379~98, a copy of which is attached hereto, marked Exhibit "D" and by this reference incorporated herein. 8. By its terms said second Note is past due and there remains unpaid the principal stun of $7,259.44, plus interest to April 1, 2001 of $222.38, plus interest at the agreed rate of 8.24% (or $1.8875 per diem) from April 1, 2001. Page 3 of 5 Pages 9. Despite timely notice thereto, the Defendants MICHAEL J. VONDAL and KELLEY M. VONDAL have failed to cure said defaults as per Paragraphs No.5 and 8 above. I 0. Plaintiff is willing, and now offers, upon payment of the amounts due as hereinbefore set forth, to cancel the Notes declared on, discharge of record the Mortgages securing the same, and to do ail things equity and good conscience may reqmre of it. 11. The. Plaintiff is informed and believes that the following Defendants may make some claim of interest in the said real estate for reasons including, but not limited to, the following,, to-wit: "Z Fin 4", 100 Tanglewood Dr., Freeport, IL. by reason of Tax Sale Reg/ster #00, Certificate #0410, regarding 1998-99, paid by the tax sale, June 19, 2000. City of Dubuque, Iowa, as Plaintiff in Dubuque County #DUNTWE 617560 vs. Michael Vondal, entered May 19, 2000. City of Dubuque Housing Service Deparrmem Lead Paint Hazard Reduction Program by reason of a Mortgage filed March 23, 2000, as Dubuque County Instrnment =2980-00. Parties In Possession based on claims that my ar/se out of possession. Said claims made by the Defendants are junior, inferior, and subordinate to the cIaims of the Plaintiff. I2. The Plaintiff has been made to incur expense in the sum of $95.00 for abstracting expenses for the mortgage pren-nses, which is the reasonable charge for same and has incun'ed and will incur attorney's fees. I3. Plainfiffwalves its right tG a deficiency judgrnem herein. t4. The Plaintiff states that whatever liens or interests any Defendant, individually or collectively, may claim herein, each is junior and infer/or to the liens of the Plaintiff's mortgages, Exhibits "B" and "D", and the amounts hereinbefore set out. WHEREFORE, Plaintiff prays that: FIRST: The Court enter an order permitting the Plaintiff to enter the subject property, secure same, and exercise control thereof in the absence of the Defendants; and SECOND: Judgment against the mortgage premises in the sum of $60,369.21 with interest at 6.7500% from April 1, 2001 ($10.7534 per day); judgment against the mortgaged premises in the sum of $7,481.82, with interest at 8.24% from April 1, 2001 Page 4 of 5 Pages ($t.8875 per day); reasonable attorney fees and expenses, and for such additional sums as may hereinafter be advanced pursuant to said mortgage and for costs; and THIRD: Judgment confmn/ng Plaintiffs liens upon the mortgage premises from and after the date of execution of said mortgages, and that said liens be declared pr/or, paramount, and superior to all claims or interests of the named Defendants; and FOURTH: Judgment foreclosing Plaintiffs mortgages, Exhibits "B" and "D", and that the equities of redemption of'the Defendants and of every person or legai entity claiming by, through or under them, be forever barred and foreclosed, except as otherwise by law provided; and FIFTH: An Order be entered prov/ding that a special execution issue for the sale of the mortgage premises, or so much thereof as may be necessary to satisfy said Judgments with interest and costs; and SIXTH: For further order providing that if any part of the mortgage premises be sold under execution herein and be not redeemed as by law provided from the date of sale, a Write of Possession issue herein, under seal of this Court directed to the Sheriff of Dubuque County, Iowa, commanding him to put the grantee under Sheriffs Deed in possession of the premises deeded to him, and to remove any Defendants or persons claiming by, through or under any of them, or any person in possession thereof, out of such possession of said premises; and SEVENTH: For such other and further relief as the Court may find the Plaint/fl to be entitled to in equity. DUTRAC COM3/IIJNITY CREDIT UNION, Plaintiff By: James A. Trannel, #DU9004968 Hughes & Tratmel, P.C. 1154 Iowa St. Dubuque, IA 52001 (563)557-7360 Attorney for Plaintiff STATE OF IOWA ] ] SS: DUBUQUE COUNTY ] I, the undersigned, being first duly sworn and upon oath, depose and state that I am the attorney for the Plaintiff in the above-entitled cause, that I have in my possession Page 5 of 5 Pages the written instruments upon which this cause is based, that I have further learned the facts constituting the cause of action by investigation of the records appertaining thereto and by interrogation of the Plaintiff, that I have read the foregoing Petition and am familiar with the allegations therein contained and the same are lrue as I verily believe. Subscribed and sworn to before me this James A. Trarmel day of /~./9/~'~ ,2001. Notary Public for the State of Iowa EXHIBIT ~par~by: GARY H. JAEGER DU TRAC COMMUNITY CREDIT UNION (REFI) .3465 ASBURY ROAD, DUBUQUE, IA 52002 (319) 582-1331 AP# A145062 LN# 145062 [Space Above This Line For Recording Data] MORTGAGE THIS MORTGAGE ("Security Instrument") is given on November 25, 1998 MICHAEL J. VONDAL and KELLEY M. VONDAL, HUSBAND and WIFE · The mortgagor is ('Borrower"). This Security Instrameat is given to DU TRAC COMMUNITY CREDIT UNION, AN IOWA CORPORATION winch is org~ni?ed and existing under the laws of IOWA and whose addressis 3465 ASBURY ROAD, DUBUQUE, IA 52002 ("Lender"). Borrower owes Lender the principal sum of Fifty Eight Thousand Eight Hundred and no/lO0 Dollars (U.S. $ 58,800.00 ). This debt is evidenced by Borrower's note dated the same date as this Security Instrument ("Note"), winch provides for monthly payments, with the full debt, if not paid earlier, due and payable on December 1, 2028 This Security Instnmxent secures to Lender: (a) the repayment of the debt evidenced by the Note, with interest, and all renewals, extensions and modifieatioas of the Note; (b) the payment of all other sums, with interest, advanced under paragraph 7 to protect the security of this Security Iusmmaent; and (c) the performance of Borrower's covenants and agreements under this Security Instrmnent and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to Lender the following described property located in DUBUQUE Comity, Iowa: Lot 22 in Belmont Addition, a Subdivision in the City of Dubuque, Iowa, according to the -ecorded plat thereof wineb has the address of 2834 BALKE ST, DUBUQUE Iowa 52001 rzi~ Cod=l ("Property Address"); 10WA:Single Famiiy-FNMA/FHLMC UNIFORM INSTRUMENT Form 3016 9/90 t~_-6R{IA) {s5o61.ol Amended 5/91 [Street, City], the,Properly. Borrower waives any right of exemption as to the Property. 24. Redemption Period. If the Property is less than t0 acres in size and Lender waives in any foreclosure proceeding any right to a deficiency judgment agal,n~t Borrower, the period of redemption from judicial sale shall be reduced to 6 montES. If the court finds that the Property has been abandoned by Borrower and Lender waives any fight to a deficiency judgment against Borrower, the period of redemption from judicial sale shall be reduced to 60 days. The provisions of this paragraph 24 shall be construed to conform to the provisions of Sections 628.26 and 628.27 of the Code of Iowa. 25. Riders to this Seem-i~ Instrument. If one or mom riders are executed by Borrower and recorded together with tkis Seeurity Instrument, the covenants and agreements of each such rider eh~ll be incorporated into and shall amend and supplement the covenants and agreements of tkis Security Instrument as if the tider(s) were a parr of this Security Instrument. [Cheek applicable box(es)] [~ Adjustable Rate Rider [] Condomlnblnl Rider [--~ 14 Family Rider [-~ Graduazed Payment Rider [] Planned Unit Development Rider [] Biweekly Payment Rider ~ Balloon Rider [] Rate Improvement Rider [] Second Home Rider ~-~ VA Rider [] Other(s) [specify] BY SIGNING BELOW, Borrower accepts and agrees to the terms and coven~ms contained in this Security Instrument and any rider(s) executed by Borrower and recorded with it. MICHAEL J. VOND'AL K~LEY -~-q/ONDAL -Bomw:r (se~) (s~) STATE OFIOWA, DUBUQUE Oa this 25th day of November 1998 persunallyappeared MICHAEL J. VONDAL and KELLEY 'M. VONDAL , before me, a Notary Public in the State of Iowa, , to me personally known to be the person(s) named in and who exemned the foregoing insmm~nt, and ~cknowledged tha~ they My Commission Expires: May 22, 2001 I a ',l '1 · - i '.~' ! executed the same as the i r Voluntary act and deed. Pag~ s of e Form 3016 9/90 AP~ A145062 LN# 145062 ADJUSTABLE RATE RIDER (1 Ysar Trsasury lnd~-R~e Caps) THIS ADJUSTABLE RATE RIDER is made this 25th day of November, 1998 ; and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed (the "Security Instrument~) of the same date given by the undersigned (the "Borrowe¢') to secure Borrower's Adjustable Rate Note (the "Note") to DU TRAC COMMUNITY CREDIT UNION, AN IOWA CORPORATION (the "Lender") of the same date and covedng the property described in the Security instrument and located at: 2834 BALKE ST,DUBUQUE,IA 52001 [Property Address] THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT THE BORROWER'S INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE THE BORROWER MUST PAY. ADDITIONAL COVENANTS. in addition to the covenants and agreements made in the Security Instrument, Borrower and Lender further covenant and agree as follows: A. iNTEREST RATE AND MONTHLY PAYMENT CHANGES The Note provides for an initial interest rate of 6. 7500 %. The Note provides for changes in the interest rate and the monthly payments, as follows: 4. INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Change Dates The intereat rate i will pay may change on the first day of December, 2003 , and on that day every 12th month thereafter. Each date on which my interest rate could change is called a "Change Date." (B) The index Beginning with the first Change Date, my interest rate will be based on an index. The "index'' is the weekly average yield on United States Treasury securities adjusted to a constant maturity of 1 year, as made available by the Fede~ Reserve Board, The most recent Index figure available as of the date 45 days before each Change Date is called the "Current Index." If the tndex is no longer available, the Note Holder will choose a new index which is based upon comparable informatioh. The Note Holder will give me notice of this choice. (C) Calculation of Changes Before each Change Date, the Note Holder wil! calculate my new interest rate by adding Two and Three / Quarters percentage points ( 2. 7500 %) to the Current index. The Note Holder will then round the re. suE of this addition to the nearest one-eighth of one percentage point (0.125%). Subject to the limits stated in Section'4(D) below, this rounded amount will be my new interest rate until the nex~ Change Date. The Note Holder wilt then determine the amount of the monthly payment that would be sufficient to repay the unpaid principal that I am expected to owe at the Change Date in full on the maturity date at my new interest rate in substantially equal payments. The result of this calculation will be the new amount of my monthly payment. (D) Limits oGInterest Rate Changes The interast rate I am required to pay at the first Change Date will not be greater than 8.7500 % or tess than 4. 7500 %. Thereafter, my interest rate will never be increased or decreased on any - single Change Date by more than two pementage points (2.0%) from the rate of interest I have been paying for the preceding twalve months. My interest rate will never be greater than 11. 7500 %. MULTISTATE ARM RIDER--ARM 5-2-Single Family-FNMA/FHLMC UNIFORM INSTRUMENT ISC/CRID**//0195/3111 (0385)-L Page I of 2 Form 3111 3/85 lIZANUNER. /boas aINAIY AYlI�EI DU TRAC COMMUNITY CREDIT UNION 3465 Asbury Road ADDENDUM Dub uque, 3250 62004.3250 This Addendum is Incorporated Imo and becomes a part of your LOANLINER °CredtAgreement and Truth to Lending Disclosure. J OPENW4O DATE FENAL PAYMENT OATE CREDIT Mt ACCOUNT NUMBER November 25, 1998 November 25. 2013 $7,300.00 145062 002fl0WEIINIMEAW ADDRESS ADORESS OF P WIENIY SECUNIMi ACCOUNT Michael J. and Kelley M. Vondal 2834 Balke St. Dubuque. IA 52001 IWE %RATE MARGIN ADDED TO INDEX 4.75 16 3.49 % SCHEDULE OF CLOSINU LA181S: DmoUMlon D..r„m in,, Foo n a r EOax wow,BwmEwoET'.uo xhmouTS rESenm Amarl i 26 nn 1 $ $ 26 00 TnFTI PAYMENT INFORMATION. You can obtain advances of creek for 10 years. This period Is called the 'kkaw period." At our option, we may renew or extend the drew pedod. After Me draw period ends the repayment period will begin. The length of the repayment period All depend on the balance al the time of the last advance you oblaln before the draw porlod ends. You will be required to make monthly payments during both the draw and repayment periods. At the time of each credit advance a payoff period 4811 be established. The payoff period may vary depending on the amount of your outstanding credit balance after you obtain an advance. The payoff period Is shown In the following table: Range of Balances Payoff Period Up to $5,000.00 60 Monthly Payments $5,000.01- $15,000.00 120 Monthly Payments $15,000.01- $100,000.00 180 Monthly Payments The payoff period will always be the shorter of the payoff period for your outstanding balance or the lime remaining to the final payment dale. Your payment will be set to repay the balance after the advance, at the current annual percentage rate, Within the payoff pedod. Your payment will be rounded up 10 the nearest dollar. Your payment will remain the same unless you obtain another credit advance. Your payment milli Include any amounts past due and any amount by which you have exceeded your aedt limit, and all other charges. Your payment will never be less than the smaller of $100.00, or the full amount that you owe. A change In the annual percentage 2834 Oalke St. Dubuque, IA 52001 ANNUAL PERCENTAGE RATE 8.24 % D0migion rate can cause the balance to be repaid more quickly or more slowly. When rates decrease, less Interest is due, so more of the payment repays the principal balance. When rates Inaease, more Interest Is due, so less of the payment repays the pdndpal balance. The minimum payment may not reduce the prindpal drat is outstanding on your plan. You may Then be required to make a single balloon payment at the time your payoff period at the fime of your lest advance expires or the find payment dale. whichever occurs first Unless otherwise required by applicable law, we are under no obligation to rellnance the balloon payment at that lime. You may be required to mdse payments out of other assets you own or find a lender, which may be us, willing to lend you the money. If you refinance the balloon with us, you may have to pay some or all of the closing costs. FEE WAIVER: Our waiver of all third party fees connected with opening the plan is subject to the !Glowing conditions: (1) You agree to receive an initial credit advance at consummation of $5,000.00. (2) Any appraisal fee with is either (a) required or @) requested by you MI be a third party lee which you must pay to open the pier. FEES AND CHARGES: If you elect not 10 obtain an initial credit advance of $5,000.00 as described In the fee waiver section above you must pay certain mIrd party lees to open the rwu,a.w DAILY PERIODC MTE .0225753 % Amnus 3 EXHIBIT 0 1! `I 1� ��ANLINER HOME £MMrY Mint Credit Agreement and Truth in Lending Disclosure 1 CREDIT AGREEMENT AND MIN INLENDING DISCLOSURE Continued on reveme stele. B GNATURES You can protect your Mendel Suture bye nine up for voluntary aadlt insurance Irehw. Enroll bye Indicating your Preference In the 'OeN a t Mum Applies Ian" section below. 3 M 'You' or 'Y a M pint our means the member and . .ued(N ppllcable). CREDIT INSURANCE CREOR Credit Insurance Is vdu wry sold not required In order to INSURANCE obtain Mta loan. You map ...loci any oI Insurer oordlola.YOu APPLICATION/ can gel tole Insurene onN X youd,eck theya box Wow end SCHEDULE sign Yam name and MD M the dale. TM rate 0000 dw - - ' You must sign wfidMroind Insurance is elected. IN1ODUC This LOANL1NER • Hole Equal Man Credit Its 'Phu' e mis Plan Lending MI caret of 0415 Agee m e t the accompanying Addendum which le Mcclporsled Into and becomes a part of Ms Credit Agrssonanl and Truth In Lending Disclosure. The wade 'your your,' and "Borrow' mae10 n e poreon who sign MlOgae. The words lie; •u$.•'ourLandor; and 'credit union' mean the credit union whoa name appears above or anyone to whom the Crean union Senators Ile rghle under Me Plan, By signi below y agree that you hava ed the LLOANLINER' Home Emily Ran Credit Agreement and Truth In Lending Dadoaum and Addendum and agree to be bound by the tens of the Agreement You also acknowkMge receipt of a (or the Inaulam Is subject to Menge You alll receive wdSen notice before any Maraae pees Into effect You have the dill la slop this Insurance by notifying your credit union to sidling. Your Eipnetom hobo means you ogre. Mal: • X you elect insurance, you ua au zB the credit to odd M. charge, lalnaumrvx b YOU 1113077118 C00 1P1110101) VOLLDWINO esms49clal MEa Y 011 M IDMBAL41101 SINGLE DISABILITY .7" 210 SINGLE CREDIT LIFE .s. 6.50 JOINT CREDIT LIFE WA 10 40 // W6hEn Mirhael J. Yondal 145062 Nom o iCal DU TNAC COMMUNITY CREDIT UNION 3406 Asbury (load Cllhngo.. lave 52004 -3250 (310)802.1331 COLLECTION COSTS: You promise t0 pay, subject to any limits under applicable law, all costs of Collecting the amount you owe under this agreement. This Includes but Is not limited to reasonable attorney lees and court costs as well as legal expenses for any bankruptcy, appeals or postjudgmont proceedings. P000 1 copy of this Agreement, and the Home Equity Esdy Disclosure and hondboak enlMed 'When Your Home Is On the Line, What You Ghoul xnow About Home Equity Lines of Credit given to you et the lime of appllealla. A Atr ,e -aut/ K ' • w Nll'M10 E MA%a0M0 1A014111L0 TOTAL 5E1IEFn INSURABLE BALANCE PER LOAN ACCT MAXI MUM 055 POP IN 0URANCE IXywGri..I X you are totally disabled tar m00e110/1 14 days man the DleabllXy Benefit will begin with the 0111 VPmber 25, 1998 MAVV 19. 1966 0101 wore CREDIT UNION )� Your credit union wIN be happy to explain Mo vedoue insurance options and coverage. The cost la reasonable. • You aro eOglee for dleablINy Insurance only If You ere working lo; epee or prohl for 28 hours s week ar'mwe on She dale deny Mace 11 you are 1d, Mat particular advance will not be insured until you ream t0 work. If you we dl work because of eennpy�pee��yy ayoff, oaks orvaccaatiioonny t0 resume. you will Igxe w mitt week UYa O ng Inc wages or pro/111m 25 No • You are aliglble Inc Ineuenca up lo IM Malmum Age for suana. Insurance will ebp when yoU reeds that age. C RTAN BENEFIT AND N U EXCLUSIONS, NI UDING CONTAINS TOUR CO DIT/ON EXCLUSION. PLEASE REFER TO o19ABN1Y 1100 $ 750 NA $50,000 $50.000 66 70 15th day olacablllry 00000YYNEee Dees amN Prepared by: Marge Callaghan When Recorded, Mall to: DU TRAC COMMUNITY CREDIT UNION 3495 Asbury Rd. - P.O. Box 3250 Dubuque, lows 52004 -3250 (2) BONA MUTUAL INSURANCE SOCIETY. MI, ALLPIB,rsnE9EflVEa Address: and the Mortgagee, OIITRAC COMMUNITY UFO IT UNION a corporation organized and existing under the laws of IOWA whose address Is 3465 ASBURY RD.. P 0 BOX 3250 DUBUQUE, IA 52004 -3250 Ka 379:;98 98 DEC Ali II; 59 A COU N COUNT Y w DUBUQUE CO.. IOWA FEES SPACE #WOVE TRIO LINE FOR RECOHCER'B UBE 4a 3465 Asbury Rd., P 0 BOX 3250 Telephone: 319/582 -1331 Dubuque, IA 52004 -3250 REVOLVING CREDIT MORTGAGE PARAGRAPH 26 CONTAINS THE NOTICE PRESCRIBED BY SECTION 654.12A OF THE IOWA CODE. THIS MORTGAGE CONTAINS A DUE -ON -SALE PROVISION AND SECURES INDEBTEDNESS UNDER A CREDIT AGREEMENT WHICH PROVIDES FOR A REVOLVING LINE OF CREDIT AND MAY CONTAIN A VARIABLE RATE OF INTEREST. THIS MORTGAGE is made this 751 h day of Nny?mhPr 19 9 between the Mortgagor, MICHAEL J. VONDAL and KELLEY M. VONDAL, HUSBAND and WIFE (herein "Borrower "), .(herein "Lender "). WHEREAS, Borrower is indebted to Lender as described In this paragraph; TO SECURE to Lender: (1) The repayment of all indebtedness due and to become due under the terms and conditions of the LOANLINER® Home Equity Plan Credit Agreement and Truth - intending Disclosures made by Borrower and dated the same day as this Mortgage, and all modifications, amendments, extensions and renewals thereof (herein "Credit Agreement"). Lender has agreed to make advances to Borrower under the terms of the Credit Agreement, which advances will be of a revolving nature and may be made, repaid, and remade from time to time. Borrower and Lender contemplate a series of advances to be secured by this Mortgage. The total outstanding pdncipal balance owing at any one time under the Credit Agreement (not Including finance charges thereon at a rate which may vary from time to time, and any other charges which may be owing from time to time under the Credit Agreement) shall not exceed Seven thousand three hundred dol lars and 00/100 ($ 7.300.00 ). That sum is referred to herein as the Maximum Principal Balance and referred to in the Credit Agreement as the Credit Limit. The entire indebtedness under the Credit Agreement, If not sooner paid, is due and payable 15 years from the date of this Mortgage. The payment of all other sums advanced in accordance herewith to protect the security of this Mortgage, with finance charges thereon at a rate which may vary as described In the Credit Agreement. EIAB56 804OLL 3 EXHIBIT n D II (3) The performance of the covenants and agreements of Borrower herein contained; BORROWER does hereby mortgage, grant and convey to Lender the following descdbed property located In the County of Dubuaue State of Iowa: Lot 22 in Belmont Addition, a Subdivision in the City of Dubuque, Iowa, according to the recorded plat thereof which has the addressrir 2834 Baike St. - Dubuque X81 — 2001 Q owe, 5 (herein "Property Address"); PM RVOWo) TOGETIIER with all the Improvements now or hereafter erected on the property, and all easements, fights, appurtenances and fixtures, all of which shall be deemed to be and remain a part of the property covered by this Mortgage; and all of the foregoing, together with said property (or the leasehold estate if this Mortgage Is on a leasehold) are hereinafter referred to as the "Property." Complete rf applicable: This Property is part of a condominium project known at This Property includes Borrower's unit and all Borrower's fights In the common elements of the condominium project. This Property Is in a Planned Unit Development known as Borrower covenants that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property, and that the Property Is unencumbered, except for encumbrances of record. Borrower convene* that Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to encumbrances of record. Borrower and Lender covenant and agree as follows: 1. Payment rd PrIeelpal, Flame Munro and Other Charges. Borrower shall promptly pay when due all amountsborrowed under the Credit Agreement, all finance charges and applicable other charges and collection costs as provided in the Credit Agreement. 2. Wilda for Taxes eed leseraen. Subject to applicable law, Lender, at Lender's option, may require Borrower to pay to Lender on the day monthly payments of principal and lkwtce charges are payable under the Credit Agreement, until all sums secured by this Mortgage are paid in full, a sum (herein "Funds ") equal to one-twelfth of the yearly taxes and assessments (including condominium and planned unit development essessments, Bony) which may atta n priority over this Mortgage, and ground rents an the Property, if any, plus one - twelfth of yearly premium Installments for hazard Insurance, all as reasonably esfimated initially and from time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. Borrower shall not be obligated to make such payments of Funds to Lender to the extent that Borrower makes such payments to the holder of a prior mortgage or deed of trust if such holder is an institutional Lender. If Borrower pays Funds to Lender, the Funds shall be held in an institution the deposits or accounts of which are Insured or guaranteed by a Federal or state agency dndutling Lender if Lender's such an institution). Lender shall apply the Funds to pay said faxes, azaPssments, Insurance preniums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agree In writing at the time of execution of this Mortgage that interest en the Funds shall be paid to Borrower, and unless such agreement Is made or applicable law requires such interest to be paid, Lender shall not be required to pay Borrower any Interest or earnings on the funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by this Mortgage. It the amount of the Funds het[ by Lender, together with the future monthly Installments of Funds payable prior to the due dates of taxes, assessments, insurance premiums and ground rents, shallexceedtheamountrequiredtopaysaidtaxes, assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessments, Insurance premlums and ground rents as they fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency in one or more payments as Lender may require. PARE 2 23. Release. This Mortgage secures a revolving line of credit and advances may be made, repaid, and remade from time to time, under the terms of the Credit Agreement. When Borrower (1) has pald all sums secured by this Mortgage and (2) has requested that the revolving line of credit be canceled, Lender shall discharge this Mortgage. To the extent permitted by law, Lender may charge Borrower a fee for such discharge and require Demmer to pay costs of recordation, if any. 24. WaWer el Dower and Distributive Share. Borrower hereby relinquishes all dght of dower and hereby waives all right of distributive share In and to the Property. Borrower hereby waives any right of exemption as to the Property. 26. Redemption Period, Borrower hereby agrees that in the event of foreclosure of this Mortgage, Lender may, at Lender's sole option, elect: (1) pursuant to Iowa Code §626.28, to reduce the period of redemption after sale in foreclosure to six (6) months; or (H) pursuant to Iowa Code §628.27, M Mace the period of redemption alter sale In foreclosure to sixty (60) days; or (III) pursuant to Iowa Code §628.28 or any other Iowa Code Section to 'educe the period of redemption after sale In foreclosure to such time as may be then applicable and provided by law. 26. Notke. ThIS Mbdgage secures credit in the amount of $ 7,300.00 . Loans and advances up to this amount, together Ca'+ wi interest, are senior to indebtedness to other credRors under subsequently recorded or filed mortgages and liens. HOMESTEAD WAIVER 1.1; I understand that homestead properly Is in many cues protected from claims of creditors and exempt from Judicial sale; and that by signing this malresl,1 salutarily gin up my HIM' to this protection for Ihls Property with res lo Mms b d upon this contract. Dated' Nnvemhpr 2'q 1998 Dated: Nnvpmbor 2R. 199R REQUEST FOR NOTICE OF DEFAULT AND FORECLOSURE UNDER SUPERIOR MORTGAGES OR DEEDS OF TRUST Borrower and Lender request the holder of any mortgage, deed of trust or other encumbrance with a Olen which has priority over this Security Instrument to give Notice to Lender, at Lender's address set forth on page one of this Mortgage, of any default under the superior encumbrance and of any sale or other foreclosure actors. 7 ,� • IN WITNESS WHEREOF, Borrower has executed this Mortgage, �lGh/ _Iler,Ow, STATE OF IOWA, noun: a County ss: On this 25th day of November State of Iowa, personally appeared Michael J. Vondal and Kelley M. Vandal to me personally known to be the person(s) named in and who executed the loregoing Instrument, and acknowledged that thev executed the same a n their _ voluntary act and deed. My Commission expires: 05/22/2001 , Bc , Gary H. Jaeoer GARY H...1/.2- ?FR PA0E 5 pQ ) .a t Ke le ry.'Vondat J4lrhapl .1 Vnnda R , e wrnm Nemel Kelley ' . Vandal my ,rP nn,N...1 upwar,IOENnmel — BO„own , ID 98 , before me, a Notary Public for the