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Claim by Dutrac Community Credit Union_Kelly JellisonIN THE IOWA DISTRICT COURT FOR DUBUQUE COUNTY DLTTRAC COIV~Il1~ItJNTTY CREDIT UNION, Plaintiff Vs. KELLY JELLISON, CITIZENS FINANCE CO., ROBERT J.RUNDE, MICHELLE LEE RUNDE, CITY OF DUBUQUE, IOWA, TRI-STATE ADJUSTMENTS OF FREEPORT, INC., UNKNOWN OWNERS and NONRECORD CLAIMANTS, Defendants. ORIGINAL NOTICE To the Above-Named Defendants: EQUITY ACTION 01311EQCV (j`~~3r~0 C'1 c~ = : w .. , `'~ 2 T ~_ ~.} -< _.n ~:~; ;~ C ~ \ t ~~~ w You are notified that a petition has been filed May ~, 2008 in the office of the clerk of this court naming you as the defendant in this action. A copy of the petition (and any documents filed with it) is attached to this notice. The attorney for the plaintiff is Chad. C. Leitch, of O'Connor & Thomas, P.C., whose address is 700 Locust Street, Suite 200, P.O. Box 599, Dubuque, Iowa 52004-0599. That attorney's phone number is 563/557-8400; facsimile number 563/556-1867. You must serve a motion or answer within 20 days after service of this original notice upon you and, within a reasonable time thereafter, file your motion or answer with the Clerk of Court for Dubuque County, at the county courthouse in Dubuque, Iowa. If you do not, judgment by default maybe rendered against you for the relief demanded in the petition. If you require the assistance of auxiliary aids or services to participate in court because of a disability, immediately call your district ADA coordinator at 1-S63-S89-4448. (If you are hearing impaired, call Relay Iowa 1-I'Y at I-800-735-2942). (SEAL) °~ '~~t~~'tJ`"o.. Clerk of Court V i Dubuque County Courthouse Dubuque, Iowa 52001 IMPORTANT: YOU ARE ADVISED TO SEEK LEGAL ADVICE AT ONCE TO PROTECT YOUR INTERESTS. IN THE IOWA DISTRICT COURT FOR DUBUQUE COUNTY DUTRAC COMMUNITY CREDIT UNION, Plaintiff vs. KELLY JELLISON, CITIZENS FINANCE CO., ROBERT J. RUNDE, MICHELLE LEE RUNDE, CITY OF DUBUQUE, IOWA, TRI-STATE ADJUSTMENTS OF FREEPORT, INC., UNKNOWN OWNERS and NONRECORD CLAIMANTS, Defendants. EQUITY ACTION 01311EQCV ~ t~1~~5 PETITION FOR FORECLOSURE OF REAL ESTATE MORTGAGE NOTICE c `:. - . G' . ~e . G' ' ~:. ;, ~_ ~_. 't --, ~. ;~'- , - -- C7 ' O G's G} ~G q ~ .,'-- 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 DELAYED 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 AND IS AONE-FAMILY OR TWO-FAMILY DWELLING OR UNTIL TWO MONTHS FROM ENTRY OF JUDGMENT IF THE MORTGAGED PROPERTY IS NOT YOUR RESIDENCE OR IS YOUR RESIDENCE BUT NOT AONE-FAMILY OR TWO-FAMILY DWELLING. YOU WILL HAVE NO RIGHT OF REDEMPTION AFTER THE SALE. THE PURCHASER AT THE SALE WILL BE ENTITLED TO IMMEDIATE POSSESSION OF THE MORTGAGED PROPERTY. YOU MAY PURCHASE AT THE SALE. NOTICE PURSUANT TO THE FAIR DEBT COLLECTION PRACTICES ACT This Notice is being served upon you for the purpose of collecting the debt described in the attached. Federal law gives you thirty (30) days after you receive this to dispute the validity of the debt or any part of it. If you don't dispute it within that period, this law fum will assume that it is valid. If you do dispute it - by notifying this law firm in writing to that effect - we will, as required by the law, obtain and mail to you proof of the debt, along with a copy of any judgment entry issued prior to this time. And if, within the same period, you request in writing the name and address of your original creditor, if the original creditor is different from the current creditor, we will furnish you with that information too. If you request proof of the debt or the name and address of the original creditor within the thirty (30) day period that begins with your receipt of this, the law requires that we suspend our efforts (through litigation or otherwise) to collect the debt until we mail the requested information to you. However, even if any such dispute or request is made, you must respond to the Petition within the time limits set forth in the Original Notice, and such time limit is not expanded or delayed by such a request. The Original Notice is a command from the court, not from us, and you must follow its instructions -- even if you dispute the validity or amount of the debt. The advice in this letter also does not affect our relations with the court. As lawyers, we may file papers in the suit according to the court's rules and the judge's instructions. Comes Now Plaintiff and for cause of action states: Par. 1: That Plaintiff is an Iowa credit union having its principal place of business in Dubuque County, Iowa; that Defendant, Kelly Jellison, is a resident of Dubuque County, Iowa; and that the property which is the subject of this action is located in Dubuque County, Iowa. Par. 2: That on or about June 5, 2003, Kelly Jellison made, executed and delivered to Plaintiff a Promissory Note in the principal sum of $57,600.00, a copy of said Promissory Note being attached hereto as Exhibit "A" and made a part hereof by this reference. Par. 3: That on or about August 16, 2006, Kelly Jellison made, executed and delivered to Plaintiff a Promissory Note in the principal sum of $55,712.16, a copy of said Promissory Note being attached hereto as Exhibit "B" and made a part hereof by this reference. Par. 4: That Kelly Jellison made, executed and delivered to Plaintiff a Real Estate Mortgage, duly acknowledged, to secure payment of said Notes, covering the following described premises: Lot 3 in High Street Subdivision in the City of Dubuque, Iowa, according to the recorded Plat thereof; and That portion of Troy Street vacated abutting said lot 3 in High Street Subdivision, in the City of Dubuque, Iowa, according to the recorded Plat thereof, which has the address of 530 Lincoln Avenue, Dubuque, Iowa 52001 which Real Estate Mortgage was dated June 5, 2003 and filed for record on June 16, 2003, as Instrument No. 15288-03, in the Dubuque County Recorder's Office, a copy of said Mortgage being attached hereto as Exhibit "C" and by this reference made a part hereof. Par. 5: That as of the filing date of this Petition, no monthly payments have been received by Plaintiff on the above-referred to Promissory Notes since October 1, 2007, through the present. Par. 6: That Kelly Jellison has failed to make the required payments due under said Promissory Notes and is in default under the terms of said Promissory Notes and Real Estate Mortgage; that pursuant to Section 654.2D(9) of the Code, Plaintiff hereby states that it sent the Notice of Right to Cure called for under said section of the Code to Defendant on October 31, 2007, a copy of said Notice being attached hereto as Exhibit "D" and by this reference made a part hereof, and Plaintiff hereby elects to declare the entire indebtedness secured by the Mortgage to be immediately due and payable, and the total principal amount due and owing on said indebtedness is $55,870.60, plus accrued interest and late fees of $3,230.45, plus interest accruing at the rate of 8.49% per annum from and after May 6, 2008. Par. 7: That the Promissory Notes and Real Estate Mortgage provide for the collection of reasonable attorneys' fees, abstract costs and other expenses by Plaintiff in the event of foreclosure of said Mortgage; that pursuant to the provisions of Section 625.22 of the Code, this Court should allow and tax as part of the costs, reasonable attorneys' fees to be determined by the Court; that the required Affidavit of said attorneys under Section 625.24 is attached hereto as Exhibit "E", and by this reference made a part hereof; that as a cost of collection in bringing this foreclosure action, Plaintiff has expended funds for a continuation of the abstract in preparation of this Petition. Par. 8: That Plaintiff is presently the owner and holder of the Promissory Notes and Real Estate Mortgage. Par. 9: That it is believed and on that basis alleged that none of the Defendants are members of the armed forces of the United States of America, prisoners of any prison or reformatory or under any legal disability. Par. 10: That Citizens Finance Co. claims an interest in the above-described property by virtue of a mortgage lien dated October 30, 1998, and filed November 6, 1998, with the Dubuque County Recorder as Instrument No. 17588-98, said lien being junior and inferior to Plaintiffs mortgage lien pursuant to a Subordination Agreement filed June 16, 2003 as Instrument No. 15289-03 with the Dubuque County Recorder, a copy of which is attached hereto as Exhibit "F". Par. 11: That Robert J. Runde and Michelle Lee Runde claim an interest in the above- described property by virtue of a Judgment lien entered February 14, 2002, in the Iowa District Court for Dubuque County SC46978, said lien being junior and inferior to Plaintiffs mortgage interest. Par. 12: That Citizens Finance Co. claims an interest in the above-described property by virtue of a Judgment lien entered March 24, 2004 in the Iowa District Court for Dubuque County SC52106, said lien being junior and inferior to Plaintiff's mortgage interest. Par. 13: That City of Dubuque, Iowa claims an interest in the above-described property by virtue of a Judgment lien entered October 19, 2004 in the Iowa District Court for Dubuque County CICV053367, said lien being junior and inferior to Plaintiff's mortgage interest. Par. 14: That Tri-State Adjustments claims an interest in the above-described property by virtue of a Judgment lien entered March 30, 2006 in the Iowa District Court for Dubuque County SC56881, said lien being junior and inferior to Plaintiff's mortgage interest. Par. 15: That there may be Unknown Owners and Nonrecord Claimants that may claim an interest in the above-described property, said interest being junior and inferior to Plaintiff's mortgage interest. Par. 16: That Plaintiff hereby waives any deficiency judgment in this case. Wherefore, Plaintiff prays for: A. Judgment in rem against the above-described real estate for the sum of $55,870.60, plus accrued interest and late fees of $3,230.45, plus interest accruing at the rate of 8.49% per annum from and after May 6, 2008, plus reasonable attorneys' fees, plus abstracting costs and expenses as determined by the Court and for such other and additional costs as may be incurred by Plaintiff. B. Judgment and Decree establishing Plaintiffs Real Estate Mortgage upon the following-described real estate, to-wit: Lot 3 in High Street Subdivision in the City of Dubuque, Iowa, according to the recorded Plat thereof; and That portion of Troy Street vacated abutting said lot 3 in High Street Subdivision, in the City of Dubuque, Iowa, according to the recorded Plat thereof, which has the address of 530 Lincoln Avenue, Dubuque, Iowa 52001 as a first and superior lien upon the above-described real estate, and foreclosing said Real Estate Mortgage for the full amount of the aforesaid judgment, interest and costs. C. Judgment establishing its mortgage lien as of June 5, 2003, and that the lien, claim, right, title and interest upon the mortgaged premises of each and all of the Defendants in this action be adjudged and decreed to be junior, inferior and subject to Plaintiffs first mortgage lien, and that the Plaintiffs first mortgage lien be adjudged and decreed to be prior, superior and paramount as against each and all of the Defendants herein, and as against any and all persons claiming by, through or under any of the Defendants with respect to the real estate which is the subject matter of this action; that Plaintiffs first mortgage be foreclosed and that the equity of redemption of any and all of the Defendants named herein, including all persons claiming by, through or under said Defendants, be barred and foreclosed, subject only to the rights of redemption as provided by statute. Plaintiff further prays that special execution for the sale of said mortgaged premises to satisfy Plaintiffs judgment, interest and costs issue, and that the Court order that, should said real estate be sold pursuant to special execution and not redeemed within the period provided by law, a Sheriffs Deed issue to the purchaser and holder of said Certificate of Purchase conveying absolute title to said real estate sold herein as against all Defendants and all persons claiming by, through or under any of said Defendants, and all of whose rights shall be forever barred with respect to said real estate; and that, if necessary, a writ of possession then issue forthwith to the Sheriff of Dubuque County, Iowa, authorizing, empowering and directing said Sheriff to remove any and all persons from said real estate and put the purchaser under this foreclosure in possession thereof. D. Judgment that in the event Plaintiff shall pay any taxes or special assessments which are or may become a lien against the real estate or advance any other sums as protective disbursements secured by said Real Estate Mortgage, including but not limited to, insurance, abstracting expenses, and other expenses as provided for in this Mortgage, Plaintiff be given an additional lien against the real estate for the amounts so advanced. E. Such other and further relief as may be just and equitable in the premises. DuTrac Community Credit Union, Plaintiff By: Chad C. Leitch AT0004643 O'CONNOR & THOMAS, P.C. Dubuque Building 700 Locust St., Suite 200 P. O. Box 599 Dubuque, IA 52004-0599 563/557-8400 Attorneys for Plaintiff STATE OF IOWA ) )ss: COUNTY OF DUBUQUE ) I, Sharon Peters, being first duly sworn on oath, depose and state that I am the Senior Debt Counselor of DuTrac Community Credit Union, Plaintiff in the above-entitled action; that I have read the foregoing Petition, know the co nts the f, and the st~ ents contained therein are true and correct as I verily believe. '. Shar ~I Peters / 7''t Subscribed and sworn to before me this " ~ day of May, 2008. y """ ••. BRIAN STEUER Commission No. 7196Q3 • ,k Q( ,~, ~ryr commission exp. ~_ Notary Public in and for the State of Iowa NOTE June 5, 2003 DUBUQUE Iowa [D+tel [curl [saoel 530 LINCOLN AVENUE.DUB000E,IA 52001 (Property adarwl 1. BORROWER'S PROMLSE TO PAY In return for a loan flat I have received. I promise to pay U.S. S 57.60Q. 00 (this amount is called "Principal"), plw interest, to the order of the Lender. The Lender is DU TRAC COMMUNITY CREDIT UNION , AN IOWA CORPORATION I will matte all payments under this Note in the form of cash, checlt ar money order. I understand that the Lender may transfer this Note. The Leader or anyone who takes this Note by transfer and who is entitled to receive payments under this Note is called the "Note Holder." Z. INTEREST Interest will be charged on unpaid principal until the full amount of Principal has been paid. I will pay interest at a yearly rate of 6.250Q '%. The interest rate required by this Section 2 is the rate I will pay both before and after any default described in Section 6(B) of thin Note. 3. PAYMENTS (A) Time and Place of Payments I will pay principal and interest by malting a payment every month. I will make my monthly payment on the 1St day of each month beginning on AUgUSt 1, 2003 . I will make these payments every mondt until I have paid all of the principal and ingest and any other charges described below that I may owe under this Note. Each monthly payment will be applfed as of its scheduled due date and will be applied to iratetest before Principal. If, on JU1y 1, 2006 , I still owe amounts under this Note, I will pay those amounts in full on that date, which is called the "l~i~tuity Date." I will make my montltly payments at 3465 ASBURY ROAD, DUBUQUE , IA 52002 or at a different place if required by the Note Holder. (B) Amount of Monthly Payments My monthly payment will be in the amount of U.S_ S 354.65 4. BORROWER'S RIGHT T'O PREPAY I have the right to make payments of Principal at any time before they are due. A pa of Principal only is known as a "Prepayment." When I make a Prepayment, I will tell the Note Holder in writing that I am doing so. I may not designate a payment as a Prepayment if I have not made all the montWy payments due under the Note. I may make a full Prepayment or partial Prepayments without paying a Prepayment charge. The Note Holder will use my Prepayments to reduce the amount of Principal that I owe under this Note. However. the Note Holder may apply my Prepayment to the aaxued and unpaid interest on the Prepayment amount, before applying my Prepayment to reduce the Principe! amount of the Note. If I melee a partial Prepayment, there will be no changes in the due date or is the amount of my monthly paymem unless the Note Holder agrees in writing to those changes. 140115 140115 0 MULTISTATE FIXED RATE NOTE-Sinpk Family-FannN Ma~/Fnddle Ms~c UNIFORM INSTRUMENT 1+~SN ro2o~1 M+vo~~o¢ Form 3zoo vot EXHIBIT VMP M011T6AfiE FORMB - (8001621-7281 I PaB~ t of 3 Iryry~y. ~" n An 9 S. LOAN CHARGES ~, If a law, which applies to this Iona and which sets maximum loan charges, is finally interpreted so thel the interest or other loan charges collated or to be collected in connection with this loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necxaaary to rcdttce the charge eo the permitted limit; and (b) any sums already collated from me which exceeded permitted limlq will be refunded to me. The Nou Holder may choose to make this reftmd by reducing the Principal I owe under thu Nou or by making a direct payment to tee. If a refund reduces Principal. the reduction will be treated as a partial Prepayment. 6. BORROWER'S FAILURE TO PAY A3 REQUIRED (A) Late Charge !or Overdue Payments If the Nou Holder has not raeived the full amount of any monthly payment by the end of 15 calendar days after the dau h is due, I will pay a lau charge to the Nou Holder. The amount of the charge will be 5.0000 96 of my overdue payment of principal and interest. I will pay this late charge promptly but only once on each late payment. (B) Defauk If I do not pay the full amount of each monthly payment on the dau is is due. I will be in default. (C) Notiee o[ DefauU If I am in default, the Nou Holder may send nee a written notice tilling me that if I do emt pay the overdue amount by a certain dau. the Nou Holder may require me to pay immediately the full amount of Principal which has not bees paid and all the interest that I owe on that amount. That dau moat be a< leant 30 days after the date on which the notice v mailed to me or delivered by other mess. (D) No Waive By Note Holder Even if, at a time when I am in default, the Nou Holder does not require me to pay immediately in full as described above, the Note Holder will still have the right to do so if I am in default at s later time. (E} Payment of Note Holder's Costs and Ezpenses If the Nou Holder has required me to pay immediately is full as described above, the Neu Holder will have the right to be paid back by me for all of its costs acrd expenses in enforcing this Note w the extent not prohibited by applicable law. Those expenses include, for example, reasoosblt attorneys' fees. 7. GIVING OF NOTICES Unless applicable law requires a different method. any notice that tmtst be given to the under this Nou will be given by delivering it or by mailing it by first class mail to me at the Property Address above or at a different address if I give the Note Holder a notice of my different address. Any notice that moat be given W the Nou Holder under this Note will be given by delivering it or by mailing it by fast class mail to the Note Holder at the address stated in Section 3(A) above or at a different address if 1 am given a notice of that differem address. S. OBLIGATIONS OF PERSONS UNDER THIS NOTE If more than one person signs this Nou, each person is fully and personally obligated w keep all of the promisee made in this Nou, including the promise to pay the full amount owed. Any person who is a guarantor, surety or endorser of this Note is also obligated to do these things. Any person who takes over these obligations, including the obligations of a guarantor, surety or endorser of this Nou, is also obligated to keep all of the promises made in this Nou. The Nou Holder may enforce its rights under this Nou against each person individually or against all of us together. This means that any o~ of us may be required to pay all of the amounts owed ender this Nou. 9. WAIVERS I and any other person who has obligations under this Nou waive the rights of Presentment and Notice of Dishonor. "Presentment" means the right to require the Nou Holder to demand payment of amounts due. "Notice of Dishonor" means the right to require the Note Holder to give notice to other persons that amounts due have not been paid. 140115 140115 0 Fo.e, 3200 ~ro~ ~~ 10201 Pp~ 2 d 3 Inh1Yr. ~ 10. UNIFORM SECURED NOTE This Note is a uniform instrument with limited variations in some jurisdictions. In addition to the protections given to the Note Holder under this Note. a Mortgage, Deed of Trust, or Security Deed {the "Security Insttvtnent"), dated the same date as this Note. protects the Note Holder from possible losses which might result if I do not keep the promises which I make in this Note. That Security Inwument describes how and under what conditions I may be requirod to make immediate payment in full of all amounts 1 owe under this Note. Some of those conditions are described as follows: If all or any part of the Property or any Interest in the Propety is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consent. Lender may require immediate payment in full of all sums secured by this Setauity Instrument. However, this option shall not be exetcisod by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date the notice is given in accordance with Setxion 15 within which Borrower ants[ pay all suaos secured by this Security Instrument. If Borrower fails to pay these soma prior to the expiration of this period, Lender may invoke any remedies permitted by this Security Inatrumtnt without further t:otice or demand on Borrower. WITNESS THE HAND(S) AND SEAL(S) OF THE UNDERSIGNED. KE ISON -tom )) (~) -t~ornoaer _ (seal). -~~ -(seal) -t3onuwer _ (Seal) -eor~o«~ _ (seat) -Borrower [Sign Original OniyJ 140115 140115 0 ~6N ~ozo~~ r.o. 3 a a Form 3200 1101 . (Seal) -t~ormwer (Seal) -t~.rer PROMISSORY NOTE FOR VALUE RECEIVED, the undersigned, Kelly Jellison, Widowed and Not Remarried, with property address of 530 Lincoln Ave., Dubuque, Dubuque County, Iowa, does hereby promise to pay to the order of DuTrac Community Credit Union, an Iowa Corporation, at its office in Dubuque County, Iowa, the sum of X55,712.16 with interest thereon at the rate of 8.49% per annum, from August 16, 2006. Principal and interest shall be paid in installments on the 1`t day of each month of not less than $438.68 per installment commencing on the 1" day of Septerabet, 2006, and the same amount ' $438.68 on the 1`` day of each and every month thereafter until and including the 1" day of July 2009, thereafter the entire balance remaining unpaid shall become immediately due and payable on August 1, 2009. Assuming timely payments of 35 monthly installments, the remaining balance on August 1, 2009, will be $54,099.05. DuTrac Community Credit Union need not renew or extend this agreement beyond August 1, 2009. The principal sum borrowed of $55,712.16 and balances as hereinafter provided shall bear interest at the rate of 8.49% per annum from August 16, 2006, payable as part of the above mentioned monthly installment of $438.68. At the end of each month, after adding to the balance of interest thereon, and crediting payments made as provided, the balance shall be determined upon which to pay interest for the following month. If default occurs in the payment of any installment or installments of the Note, or if default occurs in respect to any condition or covenant contained in the mortgage which secures the payment hereon, then the entire principal of this Note, remaining at the time unpaid, together with the accrued interest, sha11, at the option of the holder hereof, become immediately due and payable. Further, the undersigned, Kelly Jellison, Widowed and Not Remarried, does hereby acknowledge that this Note is secured by a Mortgage dated the 5th day of June, 2003, recorded the 16th day of June, 2003 with the Dubuque County Recorder's Office, Dubuque, Iowa. Signed at Dubuque, Iowa, this 16th day of August, 2006 Kel J 'son EXHIBIT .. B.. Y~~.- i~,.,~ 15?.88=03 20Q3 JtlN i 6 PM 2~ 3 2 KATHY FLYNN THURt.OMI COUNTY RECORDER Prepared By: DUBUQUE CO.. IOtKA FEES ~O6 Melinda Kramer3465 ASBURY RD, DUBUQUE.IA 52002(563) 582-1331 Return To: DUTRAC COMMUNITY CREDIT UNION P 0 BOX 3250 DUBUQUE IA 52001-3250 [Sp.c. A6o.. 'ntt.13n. For lE9cerdlo~ Deal 140115 MORTGAGE DEFINITIONS Words used in maultipk sections of this dowment are dcfinod below and other words are defnod in Sections 3. I1, 13. 18. 20 and 21. Certain rules regarding the usage of words used in thin document are also provided in Section 16. (A) "Security I>oatrumeat" meson thin document, which is dated June S, 2003 , together with ail Riders to this document. B) "Borrows'";s KELLY JELLISON. WIDOWED AND NOT REMARRIED Borrower is the aartgagor under this Security Instnuneat. 140115 IOWA-Single Family-Fetatb MaeJFra71dN Mac UNIFORM INSTRUMENT Q~-etu-t woos, P.o. , a , a IiMV os~oo IiMI aral-: VMP ~AORTWQE FOW,I9 - f9001sI7-7297 EXHIBIT ~ ~,~„ Ferro sore »or i~nnn .; . . . ,: . (C) "1[.eridcrh m DU TRAC COM'NJNITY CREDIT UNION Lender is a AN IOWA CORPORATION organised and existing under the laws of j OWA Leader's address is 3465 ASBURY ROAD. DUBUQUE, IA 52002 Lendex is the mortgagee under this Security Instrument. (D) "Note" mwna the promissory note sigrmd by Borrower and dated June 5. 2003 The Note states that Borrower owes Lender F1 fty Seven Thousand Six Hundred and no/100 poll (U.S. S 57.600.00 )Plus inferrer. Borrower has promised to pay this debt in regular Periodic Payments sad to pay the debt in full not later than J U 1 y 1, 2006 (>E) "Property" means the property that is described below under the heading "Transfer of Rights is the Y " (F) "Loan" means the debt evidenced by the Note, plus interest, any prepayment charges and late charges due under the Note, and all sums due under this Security Inatr<urxat, plus interest. (G) "Rlekrs" means all Rides to this Security Instrument War are executed by Borrower. The following Riders are to be executed by Borrower [check box as applicable]: Adjustable Rate Rider Condominium Rider Second Home Rider Balloon Rides Planned Unit Development Rider 1-4 Family Rider VA Rider ~ Biweekly Payment Rider Other(s) (specify] (H) "Applicable Law" mesas all controlling applicable federal, state and local statutes, regulations, ordinaaoq and administrative rules a~ orders (that have the effect of law) as well as all applicable final, non-appealable judicial opinions. W "Commudty Asaociatloa Dues, Fees, and Ab" means all dues, fees, assessments and other charge that at+e itnpoacd oa Borrower or the Proptrty by a condominium association. homeowners association or similar organization. (n "Elechnnir Funds T~ansPer" means any transfer of funds, other than a transaction originated by check. draft. or similar paper instrument, which is initiated through an electronic terminal. telephonic instrument, oomputex, or magnetic tape so as to order, instruct, or authorize a financial institution to debit or c7rdit an ac:co~mt. Such term includes, but ie not limited to, point-of--sale transfers, automated teller machine transactions, transfers initiated by telepho~, wire ttnnafera, sad automated clearinghouse transfers. (]q "F.acrow Items" mesas Wore items that are dexcribe;d is Section 3. (L) "llsfsodlanewue Proceeds" means any compensation. settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under the coverages described in Section ~ for: (i) damage to, or destruction of, We Property; (ii) condemmatioa or other taking of atl or any part of the Property; (iii) conveyanx in lieu of condemnation; or (iv) misrepresentations of. or omissions as to, the value and/or condition of the Property. (l1~ "Mortgage Insurance° means insurance protecting Lender against the nonpayment of, or default on, We Loan. (I~ "P~eriodlc Payment" mesas the regularly scheduled amount due for (i) principal and interest under We Note, plus (ii) any amounts under Section 3 of this Security Insn'untent. 140115 1~-ettA) coooa~ P.,. z d , a Fo.m 30~ s ~ ~o~ (O) "RESPA" means the Real Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its implementing regulation. Regulation X (24 C.F.R. Part 3500). as they might be amended from time to time, or any additional or successor legislation or regulation that governs the same subject matter. As used in this Security Instrument, "RESPA" refers to all regmrements and restrictions that are imposed in regard to a "federally related mortgage loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. (f'1 "Sttcoessor in Interest of Borrower" means any Party that has taken title to the Property, whether or not that party has asaurrred Borrower's obligations under the Note and/or this Security Iaatnuneat. TRANSFER OF RIGHTS IN THE PROPERTY Thin Security Inatruntent secures to Lender: (i) the repayment of the Loan. and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower's covenants and agreements under this Security Instrument sad the Note. For thls purpose. Borrower irrevocably mortgage. grants and eonveya to Lender, with power of sale, the following described property located in the COUNTY of DUBUQUE IA etype or Recnrdl~ Jnr~edonl [tQ.me or Reoordiu~ 7nrbaicdonl TRACT I. Lot 3 in High Street Subdivision, in the City of Dubuque, Iowa, according to the recorded Plat thereof; TRACT II. That portion of Troy Street vacated abutting said lot 3 in High Street Subdivision, in the City of Dubuque, Iowa, according to the recorded Plat thereof (the chain of title on this parcel only goes back to 1995, and therefore this examiner does not certify the title to this parcel) Parcel ID Number: 530 LINCOLN AVENUE DUBUQUE ("Property Address"): which currently has the addr+esa of [serval [~erl, Iowa 52.001 [ziv coa~~ TOGfiTHER WITH all the improvements now or hereafter erected on the property, and all easements, appurtenances. and fixtures now or hereafter a part of the property. All replacearents sad additions shall also be covered by this Security Instnrment. All of the foregoing is referred to in this SeLVnty InBtlUmerlt 88 the "Property." BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to grant and convey the Property and that the Property is trnenaunbered, except for encumbrances of r+e:cord. Borrower warrants sad will defend generally the title to the Property against all claims sad demands, subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited variations by jurisdiction to constitute a uniform security insnument covering real ProPertY• 140115 "~.: -steal ~- P.,.3 d 16 Form 301s ~ro~ UNIFORM COVENANTS. Borrower and Lender covenant and agree as follow 1. Payment of Prindpal, Interest, Igstxow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the principal of, and inteneat on, the debt evideacei by the Note and any PnPaY~ charges and late charges due under the Note. Borrower shall also pay for Escrow Items pursuant to Section 3. Payments due under the Note and this Security Iastivment 1 be made is U.S. currency. However, if any check or other instrvauent received by Lender as payment the Note or this Security Inatrutryent is returned to Lender unpaid, Lender may require that any or all subsequent payments due under the Note and this Security Instrument be made in one or more of the following forms, as selectod by Lender: (a) cash; (b) money order; (e) certified check, bank check, treasurer's check or cashier's check, provided a~+ suc6 check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Fonda Transfer. Payments are deemed received by Lender whey received at the location designated in the Nate or at such other location ae may be deaigaatod by Lender in accordance with the notice provisions in Section 13. Lender may return enY PaY~ or partial payment if the PaY~ ~ Peel paymeata are inattfflcient to bring the Loan etttrent. L,enda may aotxpt say payment or partial payment insufficient to bring the Loan corneal. without waiver of a~ rights hereunder or prejudice to its rights to refuse such payment or partial PBY~~ in the future, but Lender is not obligated to apply such payments at the time such payments are acxxpted. If each Periodic Payment is applied as of its scheduled due date, then Lender raced not PaY interest on unapplied funds. Leader may hold auclt unapplied funds until Borrower makes payment to bring the Loan current. If Borrower does not do so within a reasonable period of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal balance under the Note immediately prior. to foreclosure. No offset or claim which Borrower might have enw or is the future against Lender shall relieve Borrower from malting payments due under the Note and this Security Instrument or performing the eoveasata and agr+eea~ents secured by this Security Inatntrtteat. 2. Application of Payments or Proceeds. Except as otherwise de~ribed in this Searon 2, all paymcuta accepted and applied by Lender shall be applied is the following order of priority: (a) interest due under the Note; (b) Principal due under the Note: (c) amounts due un~r Section 3. Such payments shall be applied to each Periodic Payment in the order in which it became due. Any remaining amounts shall be applied first to late charges. second to an}+ other amounts due under this Security Instrument, and then to reduce the principal bataacx of the Note. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficicat amount to pay any late charge due. the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender may apply any payment received from Borrower to the repaymestt of the Periodic Payments if, and to the extent that, each payment can be paid in full. To the extent that any excess exists after the payntatt is applied to the full payment of one or more Periodic Payments, such excess mry be applied to any late charges due. Voluntary PnPeY~~ shall be applied first to any Prepayment charges and then as dcacxibed in the Note. Any application of paynneata. insurance proceeds, or Miscellanooua Proceeds to principal doe under the Note shall not expend or postpone the due date, or change the amount, of the Periodic Payments. 3. IPtmda [or Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds") to provide for payment of amounts due for: (a) taxes and assessments and other items which can attain priority over this Security Instrument as a lien or encumbrance on the Property; (b) leasehold payments or ground rents on the Property, if any; (c) premiums for any and all insurance required by Lender under Section 3; and (d) Mortgage Insurance premiur-o8, if any, or any soma payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in accordance with the provisions of Section 10. These items are called "Escrow Items. " At origination or at any time during the term of the Loan, Lender may require that Community 140115 -6t1A) wooa- vea. 4 or ~ a Form 3016 1/01 Association Dues, Foes, and Assessments, if any, be escrowod by Borrower, and such dues, fees and assessments shall be as Escrow Item. Borrower shall promptly furnish to Lender all notice of amounts to be paid under this Section. Borrower shall pay Lender the Funds for Escrow Items unless Leader waives Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's obligation to pay to Lender Funds for any or all Escrow Items at any time. Aay such waiver may only be in writing. Ia the evert of such waiver, Borrower shall pay directly. when and where payable, the amounts due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires, shall furnish to Lender receipts evidencing such payment within such time period as Lender may requite. Borrower's obligation to make such payments and to provide receipts shall for all purposes be deemed to be a wvenaat and agt+eenteat contained in this Security Insutttaeat, as the phrase "covenant and agreemcat" is used in Suction 9. If Borrower is obligated to pay Escrow Items directly, pursuant to a waiver, and Borrower fails to pay the amount due for an Escrow Item. Leader tnay exercise its rights uadet Suction 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any such amount. Lender may revoke the waiver as to any or all Escrow Items at air time by a notice given is accordance with Section 15 and. upon such t+evocation. Borrower shall pay to Leader all Funds, and in such amounts, that are then required under this Secxioa 3. Leader may, at any time. collect sad hold Funds is an amount (a) sufficient to permit Lender to apply the Punda ~ the time specified under RESPA, and (b) not to exceed the maximum amount a leader can require under RESPA. Lender shall estimate the amount of Funds due on the basis of current data and trasonable atirntttea of expenditures of future Escrow Itetna or otherwise in accordance with Applicable Law. The Funds shall be held in an institution whose deposits ar+e insured by a federal agency, mstntnrentality, or entity (including Leader, if Lender is an institution whose deposits are so insured) or in any Pederal Home Loan Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time specified under RESPA. Leader shall trot charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items. unle~ Lender pays Borrower interest on the Funds and Applicable Law permits Lender w make such a charge. Unless an agreement is made in writing or Applicable Law requires interest to be paid oa the Funds, Lender shall n~ be required to pay Borrower any interest or earnings oa the Funds. Borrower and Lender can agree in writing, however. that interest shall be paid on the Funds. Lender shall give to Borrower, without charge, sa annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess funds in accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up the shorGsge in accordance with RESPA. but in no more than 12 monthly payment:. If there is a deficiency of Ftmds held in escrow, as defined user RESPA, Lender shall notify Borrower as required by RESPA, sad Borrower shall pay to Lender the amount necessary to make up the deficiency in accordance with RESPA, but in ~ more than 12 monthly payments. Upon payment in frill of all auras secured by this Security Insttuatent, Lender shall promptly refund to Borrower any Funds hdd by Lender. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, finea, and impositions attributable to the Property which can attain priority over this Security Insn'ument, leasehold payments or ground rents on the Property, if any. and Cotntratnity Association Dues, Fees, and Assesstaettts, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the matmer provided in Suction 3. Borrower shall proraptiy discharge any lien which has priority over thin Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but oNy so long as Borrower is performing such agreetneat; (b) contests the lien in good faith 140115 t~'8(!A} woos vow. s a +s Faro 307A 1/07 by. or defends against enforcement of the lies in. legal pr+oceedinga which in Lender's opinion oper~e to pt+event the enforcement of the lien white those procredings are pending, but only until such proceedings ar+e concluded; or (c) secures from the holder of the Gen an agreettacnt satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which can attain priority over this Security Instrument, Lender rosy give Borrower a notice identifying fire lice. Within 10 days of the date on which that notice is given, Borrower shall satisfy the lien or take one or mote of the actions set forth above in this Section 4. Lender may require Borrower to pay none-time charge for a teal estate tax verification and/or reporting service usod by Lender in connection with this Loan. S. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loan by fire, hazards inchrded within the term "exte~ed coverage," sad any other hazac+da including. but not limited to, eatthquakea and floods, for which Lender requires insurancx. This insurance shall be mainuined in the aarounts (including deducible levels) and for the periods that Leader t+equira. What Leader requirta pursuant to the ptececiing seateaces can change during the term of tits Loan. The iaarrarux carrier providing the insuraax obeli be chosen by Borrowu subject to Lender's right to disapprove Borrower's choice. which right shall not be exercised unreasonably. Lender may require Borrower to pay. in connection with Chia Loan. either: (a) a one-time charge for flood zone determination, certification and tracking service; or (b) a one-time charge for flood zoos determination sad certification service and subsequent charges each lira rearappinga or similar changes occur which rwsonably might affect such determination or certification. Borrower shall also be responsible for the payment of any free imposed by the Federal Emergency Management Agency in oonnocdon with the review of any flood zone detenninatlon resulting from an objecion by Borrower. If Borrower fail: to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option and Borrower's expense. Lender Is under ~ obligation to purchase any particular type or amount of average. Therefore, such coverage shall cover Leader, but might or might not protec Borrows, Borrower's equity in the Property, or the contents of tbs Property. against any risk, hazard or liability and might provide greater or lesser coverage than was previously in effec. Borrower aclmowledgea that the c~srt of the iasutaaoe coverage so obtained might significantly exceed the cost of insuraatx that lorrower could have obtaiad. Any amounts disbursed by Leader under this Section S shall becora additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Leader to Borrower requesting payment. All insurance policies t+equired by Lender and renewals of such policies shall be subject to Lender's fight to disapprove such policies, shall include a staadat+d mortgage clause. and shall name Leader as mortgagee and/or ar an additional lea payee. Leader shall have t!u right to hold the policies sad renewal certificates. If Lender requites, Borrower shall Promptly give to Leader all receipts of paid premiums and r+enewat notices. If Borrower obtains any form of insurance coverage, not otherwise required by L.eoderr. for damage to, or desuvction of, the Property, such policy shall include a staadatd mortgage clause and shall name Lender as tortgagee and/or as as additional loss payee. In the event of loss, Borrower shall give prompt notice to the insurance carrier a~ Lender. Lender may crake proof of loss if not made promptly by Borrower. Unless Lamer and Borrower otherwise agree in writing. any insurance proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, if the restoration or repair is eoonomicaily feasibly and Len~r's security is not lessened. During such repair and restoration period, Lender shall have the right to hold such insurancx proceeds until Lender has had an opportunity to inspect such Property to ensure the work lras been completed to Lender's sadsfacxion, provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as tlu work is cempleted. Unless an agreement is made in writing or Applicable Law 140115 -etu-t ,0006, P.,. e a , s Form 3010 iron requires interest to be paid oa such insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, or other third parties, retained by Borrower dull not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's sorority would be lessened, the inauratsce proceeds shall be applied to the soma secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2. If Borrower abandons the Property. Lender may file, rugotiate and settle any available insurance claim and related matters. If Borrower does not r+eapond within 30 days to a notux from Lender that the insurance carrier has offend to settle a claim, then Lender may negotiate and settle the claim. '17se 30-day period will begin when the notice is gives. In either event, or if Leader acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Leader (a) Borrower's rights to any insurance proceeds in as amount not to exceod the amounts unpaid under the Note or this Searrity Instrumem, and (b) any other of Borrower's rights (other than the right to any refund of unearned premitstna paid by Borrower) under all iaaurance policies covering the Property, insofar as such rights are applicable to the coverage of the Property. Lender may use the iasuraaoe prorxeda either to repair or restore the Property or to pay amounts u~aid under the Note or this Soauity Instrrrmeat, whether or not then due. 6. Occupancy. Borrower shall occupy. establish, and use the Property as Borrower's principal rrsideace within 60 days after the execution of this Security Instrument and shall contintu to ocxvpy the Property as Borrower's principal residence for at leant one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless extenuating circurnatancea exist which are beyond Borrower's wntr+ol. 7. Psn9rrvat3on, 1Naintenance and Protection o[ the Properly; Inspectlons. Borrower shall not destroy. damage or impair the Property. allow the Property to deteriorate or commit waste on the Property. Whether or not Borrower is coaiding in the Property, Borrower shall maintain the Property in order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Secxion 5 that repair or restoration is not economically feasible, Borrower shall PromPUY reP~' ~ Y if damaged to avoid further deterioration or damage. If insurance or condernnaaon proceeds are paid in connection with damage to, or the taking of. the Property, Borrower shall be responsible for repairlag or r~eatoring the Property only if Lender has released ptocceda for such purposes. Lender may disburse proceeds for the npaira and restoration in a single paymrot or in a series of Prog~ PaY~ as the work is completed. ig the inauraave or condemnation proceeds are not sufficient to repair or r~eatore the Property, Borrower is not relieved of Borrower's obligation for the coagrletion of such repair air restoration. Leader or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender may inspect the interior of the improvemeata ors the Property. Lender shall give Borrower notice at the tune of or prior to such an interior inspection specifying such reasonable cause. S. Borrower's Loan Application. Borrower shall be in default if, during the Loaa application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially false, misleading, or inatxurate information or statements to I,ender (or failed to provide Leader with material information) in connection with the Loan. Material representations include, but are not limited to. representations concerning Borrower's occupancy of the Property as Borrower's principal reaideace. 9. Protection o[ Leader's Interest in the Property sad Rights Under fhb Security Instrument, If (a) Borrower fails to perform the covenants and agt+oerneats contained is this Security Instrument. (b) there is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights under this Security Instrument (such as a proceeding in bankruptcy, pnoisate, for condemnation or forfeiture, for enfor+censent of a lien which may eosin priority over this Security Instrument or to enforce laws or 140115 ~~~.: !~-atu-t woos, P.,. ~a,e Forn, Sots trot regulations), or (c) Borrower has abandoned the Property. then Lender may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security Inatntateat, including Protecting and/or assessing the value of the Property. and securing and/or repairing the Property. Lender's aarons can include, but are not limited to: (a) PaY~B enY sums secttt+ed by a lies which has priority over this Security Instrument; (b) appearing iu wort; and (c) Paying reasonable attorneys' fees to protect its interest in the Property and/or rights under this Security Instrument, including its secured position is a bankruptcy proceeding. Soetiring the Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building or other wde violations or dangerous conditions, and have utilities turned on or off. Although Leader may take action under this Section 9, Lender does not have to do en and is not under any duty or obligation to do so. It is agreed that Lender incurs no liability for not taking any or all actions authorized under this Section 9. Any amounts disbursed by Leader under this Section 9 shall became additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Nou cafe from the date of disburaeatent and shall be payable, with such interest, upon notice from Lender to Borrower requesting PaY~• If this Security Inattwneat is on a leasehold, Borrower shall wmply with aU the provisions of the tease. If Borrower acquires fee title to the Property, the leaadtold and the fee title shall not merge unless Lender agrees to the merger in writing. 10. Mortgage . If Lender required Mortgage Insutaocx ~ a wndition of making the Loan, Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage Insununce wverage required by Lender ceases to be available from the mortgage insurer that previously provided such insurance and Borrower was required to make separately designated Payments toward the praniums for Mortgage Insurance, Borrower shall pay the premiums required to obtain wverage substantially equivalent to the Mortgage Insurance pr+ewioualy in effixt, at a war substantially equivalent to the coat to Borrower of the Mortgage Insurance previously iu effixt, from as alternate mortgage insurer selected by Leader. If substantially equivalent Mortgage Insurancx wverage is not available, Borrower shall wntiaue to pay to Lends the amount of the separately designated payments that were due when the insurance wverage ceased to be in effixt. Leader will atxxpt, use and retain these paymenu as aeon-refundable loss reserve is lieu of Mortgage Inauraaoe. Such lass reserve shall be non-refundable, aotwitharanding the fact that the Loan is ultimately paid in full, and Lwder shall not be required to pay Borrower say interest or earnings on such loss reserve. Leader can ao longer require loss reserve payme~s if Mortgage Insttraatx coverage (in the amount and for the period that Lender requires) provided by an insurer setected by Lender again becomes available, is obtained, and Leader requires separately designated payments toward the prdniuau for Mortgage lnsuraace. If Lender Mort e required Sag Insurance as a condition of making the Loan and Borrower was required to make separately designated payment: toward the premiunti for Mortgage Ittstirance, Borrower shall pay. the premiums regtired to maintain Mortgage Insurance is effect, or to provide anon-refmdable loss reserve, until Lender's t~equirement for Mortgage Insurance ends in accordance with any written agn~t between Borrower and Lwdet providing for such termination or until termination is roquirod by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the talc ptuvidod is the Note. Mortgage Insurance reimburses Lender (or any entity that ptttratasea the Note) for certain losses it may incur tf Borrower does not repay the Loan as agreed. Borrower is nm a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance in force from time W time, and may enter into agreements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and conditions that ace satisfactory to the mortgage insurer and the other Party (or parties) to these agreements. These agreements may require the mortgage insurer to make payments using any source of funds that the mortgage insurer may have available (which may include fiends obtained fi~om Mortgage Iusttrance premiums). As a result of these agroernents, Lender. any purchaser of the Note. another insurer, any reinsures, any other entity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized act) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. if such agreement 140115 ~~.: -BiIA) rooosi wo. e a ~a Form 3018 1101 provides that an affiliate of LezLder takes a share of the insurer's risk in exchange for a share of the premiums paid W the insurer, the arrangement is often termed "captive reinsurance." Further: (a) Any such agrumeats wilt not affect the amounts that Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements wW not increase the amount Borrower will owe for Mortgage Inattranoe, and they wW not eatltk Borrower to any re!!1md. (b) Any such agreements wW not aged the rights Borrows has - i< any -with respect to the Mortgage Insurance under the Homeowners Protection Ad of 1994 or any other law. These r[ghts may indude the right to receive certain disclosures, to request and obtain canodlatioa of the Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insurance premiums thaut wen rmearned at the three o[ such cancellation or termination. 11. Assigitment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shall be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if the restoration or repair is ooonomically feasible and Lender's security is not lessened. I~tring such repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds until bender has had an opportunity to inspect such property to easut+e the work has been completed to Lender's satisfaction, Provided that such inspection shall be undertaken promptly. Lender may Pay for the repairs and restoration in a single disbursement or in a series of progress payments as the work is complctod. Unless an agreement is made is writing or Applicable Law requires interest to be paid on such Miscellaneous Ptnceeds. Lender shall not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be applied to the earns secured by this Security Instrument, whether or not then due. with the excess, if any, paid to Borrower. In the event of a partial taking. destruction. or loss in value of the Property in which the fair market value of the Property immediately before the partial taking, destmction, or loss in value is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the partial taking. destruction, or loss in value, unless Borrower and Lender otherwise agree in writing. the sums secured by this Sectnity Instrutneat shall be reduced by the amount of the Miscellaneous Proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the partial taking, destruction, or loss in value divided by (b) the fair market vahte of the Property immediately before the Partial taking, destruction, or loss in value. Any balance shall be paid tD Borrower. In the event of a partial taking, de&tvction, or loss in value of the Property in which the fair market value of the Property immediately before the Partial taking, destruction, or loss in value is less than the amount of the sums secured immediately before the Partial taking, destruction, or loss in value, unless Borrower abe Lender otherwise agree is writing. the Miscellaneous Proceeds shall be applied to the sums secured by this Sa'urity Instrument whether or not the sums are then due. If the Property is abandoned by Borrower, or if, after notice by Leader to Borrower that the Opposing Party (aa defined in the next sentence) offers to make an award to settle a claim for damages, Borrower fails w respond to Lender within 30 days after the date the notice is given. Lender is authorized to collect and apply the Miscellaneous Proceeds either to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due. "Opposing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgment. could result in forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument, Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be dismissed with a ruling that, in Leader's judgment, precludes forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Iastrutnent. The proceeds of 140115 81tA1 100061 r"p~ s of ~ s Porn 3018 1 /01 any award or claim for damages that sre attributable to the impairment of Lender's interest is the Property are hereby assigned and shall be paid to Lender. All MIscellaaeoua Proceeds that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. 12. Borrower Nd Released; Forbearance By Leader Nd a Waiver. Extension of the time for payment or modification of amortiration of the sums secured by thin Saxrrity Inatrtrmmt granted by Lender to Borrower or any Successor in [ntrreat of Borrower shall not operate to rdeaee the liability of Borrower or any Sucttaaora in Interest of Borrower. Lender shall not be t+equit+ed to cotnmeace proceedings agaia~ any Stirr in Iater+eat of Borrower or to reftrae to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrument by racoon of any demand made by the original Borrower or any Stiroceasora in Interest of Borrower. Any forbearance by Lender in exercising any right or remedy including, without Wnitation, Lender's accxptaocx of payments from third persons, entities or Surxeaeors in Interest of Bon+ower or in amounts less than the amount then due, shall not be a waiver of or preclude the exercise of any right or remedy. 13. Joid and Several Liability; Co-aigaas; 3uoceasors snd Asdpr Bormd. Borrower covenants and agrees that Borrower's obligations and liability shall be joim sad several. However, any Borrower who co-signs this Security Instnmseot but does not execute the Nou (a "oo-signer"): (a) L co-signing thin Security Instrument only to mortgage, grant and r~nvey the co-signer's interest in the Property undo the terms of this Serarrity Instrument: (b) is not personally obligrted w pay the sums secured by this Security Instrummrt; and (c) agrees that Leader and any odrer Borrower can agroe to extend, modif~-, forbear or make any accommodations with regard to the terms of this Savrity Inatnrmeat or the Nou widtout the co-signer's consent. Subject to the provisions of Suction 18, any Successor in Interest of Borrower who assumes Borrower's obligations under this Security Instrument in writing, and la approved by Leader, shall obtain all of Borrower's rights and benefits under thin Security Instrument. Borrower shall not be released from Borrower's obligations and liability under this Security Ins4vmeat udeaa Lender agrees to such release in writing. The covenants and agreements of thu Secarrity Instrument shall bind (excxpt as provided in Section 20) and benefit the successors and asaigna of Lender. 14. Loan Charges. Linder may charge Borrower fees for seavices performed in connection with Borrower's default, for the purpose of protecting Lender's interest in the Property and rights under this 5avrity Inattumeat, including. but not limited to, attorneys' fens, property inspection and valuation fees. In regard to nay other fee, the absence of express authority is this Security Instrument to charge a apocific fee to Botrower shall not be oonatrued as a pr+olubitka on the charging of such foe. bender may not charge fee that are expressly prohibited by thin Security Instrument or by Applicable Law. If the Loan is subject w a law which seta maximum loan charge. and that law is finally interpreted so that the iatererR or other loan charges collected or W be collected in connection with the Lose exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge w the permitted limit; and (b) arty sums already collected from Borrower which exceeded permitted limits will be refimded to Borrower. Lender may choose to make this refund by reducing the Principal owed under the Nou or by maidng a dirrct payment to Borrower. if a refund r~educea principal. the reduction will be treatal as a P~ P~Y~ ~~ ~Y P~Y~ charge (whether or not a prepayment charge is provided for under the Note). Borrower's aoceptancx of any such r+eflrnd made by dinner payment to Borrower will constituu a waiver of any fight of action Borrower might have arising out of such overcharge. 1S. Notices. All notices given by Borrower or Leader in connection with thin Saarrity Instrument moat be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to have been given to Borrower when mailed by first class mail or when actually delivered to Borrower's notice address if sent by other means. Notice to any one Borrower shall conatituu notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice address shall be the Property Address unless Borrower has designated a substituu notice addrtas by mice to Lender. Borrower shall P~PUY ~tify Leader of Borrower's change of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only report a change of address through that specified procedure. There may be only one designated notice address under this Security Instrument at any one time. Any notice to Leader shall be given by delivering it or by mailing it by first class mail to Lender's address stated herein unless Lender has designated another addt+ess by notice to Borrower. Any notice in 140115 Inlnw: -A(IA} 100061 Pq~ 70 M 16 FOr~1 3o1A 1/01 connection with this Security Instrument shall not be deemed to have been given to Lender until actually r+eceivod by Lender. If any notice required by thin Security Instnmoent is also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security Instrurrrent. 16. Governing Law; SeverabiHty; Ruler of Construction. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which flaw Property is located. All rights and obligations contained in this Security Instrument are subject to any requirartertta and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibition against agreement by contract. In the event that any provision or clause of this Security Instrument or the Note eonflida with Applicable Law, such wnflict shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. Aa used in this Security Instrunteat: (a) words of the masculine gender shall swear and include corresponding neuttr words or words of the feminine gender; (b) words the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Insttument. 18. Transfer of the Property or a Benelldal Interest in Harrower. AB used in thin Sxtioa 18, "Interest is the Property" meaty any legal or beneficial interest in the Property, including, but not limited to, those beneficial interests transferred in a bond for deed, contract for deed, installment sales contract or escrow agreement, the intent of which is the transfer of title by Borrower at a future date to a purchaser. If all or any part of the Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consent, Lender may require immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower notice of atxeleration. The notice shall provide a period of not less than 30 days from the date the notice is given in accordance with Section 15 within which Borrower mast pay all sums secured by this Serarrity Insawnent. If Borrower fails to pay these sums prior to the expiration of this period, Lender may invoke any remedies permitted by this Security InsWment without further rmtice or demand oa Bornower. 19. Borrower's Right to Rdnstate After Aooeleration. If Borrower meets certain conditions, Borrower shall have the right to have enforretnent of this Setarrity Instrument discontinued at any time prior to the earliest of: (a) five days before sale of the Property pursuant to any power of sate contained in this Security Instrument; (b) such other period as Applicable Law might specify for the termination of Borrower's right to reinstate; or (c) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all soma whidr then world be due under this Security Insavment and the Note as if no acceleration had occusrod; (b) cures any default of ffiy other oovenaau or agr+ermeats; (c) pays all expenses incurred in enfor+cirtg this Saarrlty Inatrtrmem, including, but not limited to, reasonable attorneys' fees, property inspection and valuation fees, and othea fees incurred for the purpose of protecting Leader's interest in the Property and rights un~r this Security Instrument; .and (d) takes such action as Lender may reasonably require to assure that Leader's interest in the Property and rights under this Security Instrument, and Borrower's obligation to pay the soma secured by this Security Instrument. shall continue unchanged. Lender may require that Borrower pay such reinstatement soma and expenses is one or more of the following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's chock or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of Note; Change o[ Loan Sawicer; Notice o[ Grlevanoe. The Note or a partial interest is the Note (wgether with this Security Instrument) can be sold one or more times without prior notice to 140115 "~: -81IA1 roaoa- r.o. ++ a +a Form 3018 1/07 Borrower. A sale might result in a change in the entity (known as the "Loan Setvicer") that collects Periodic Payments due under the Note and this Security Instrurnetu and performs other mortgage loan servicing obligations under the Note, this Sccvrity Instnrment, and Applicable Law. There also might be one or more chtmges of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower will be given written nodcx of the change which will state the name and address of the new Loan Servicxr, the address to which payments should be made sad any other information RESPA regwires in connection with a notice of transfer of servicing. If the Note is sold and thereafter the Loan is serviced by a Loan Service other than the purchaser of the Note, the mortgage loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successor Loan Servicet and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser. Neithtr Borrower nor Lender may commence, join, or be joinod to any judicial action (aa either an individual litigant or the mearber of a class) that arisen from the other party's atxiona pursuant to thin Security Instrument or that alleges that the other party has breached any provision of, or any duty owed by reason of, this Security Instrument, until such Borrower or Leader hat trotiftied the other Party (with such notice given in compliance with the requir+enoeats of Section 1~ of such alleged breach and afforded the other party hereto a reasonable period after the giving of such notice to take correcdve action. If Applicable Law provides a time period which mOM elapse before certaiII action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 and the notice of aocderatioa given to Borrower pursuant to Sidon 18 shall be doomed to satisfy the notice and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Stirbstances. As used is this Section 21: (a) "Hazardous Substances" arc those substances defined as toxic or hazardous substances, pollutants, or wanton by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Environmental Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection; (c) "Environmental Clesmrp" includes any response action, remedial action, or removal action, as deffaed in Environmental Law; and (d) an "Eavironarentsl Condition" mesas a condition. that can cause, contribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Ha'aardoua Substances, or threaten to release aIIy Hazardous Subatmucxs, ~ or in the Property. Borrower shall ~t do, nor allow anyone else to do, anything affecting the Property (a} that is in violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a co~itioa that adversely affects the valve of the Property. The Preceding. two sentence: shall not apply to the presence. use. or storage on the Property of small quantities of Hazardous Stirbatances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property (including. but not limited to, hazardous substances in oonauaoer products). Borrower shall promptly give Lender written notice of (a) any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) any Environmental Condition, including but not limited to, any spilling, leaking. discharge, release or threes of release of air Hazardous Stibstance, and (c) any oonditiaa caused by the presence, use or release of a Hazardous Substance which adversely affects the value of the Property. If Borrower learn, or is notified by any governmental or regulatory authority, or say private patty, that any removal or other remediation of any Hazardous Substance affecting the Property is necessary, Borrower shall promptly take all netxssary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. 140115 "~ -arts) toooe~ r.o. ~:d,s Fo.m 308 vot NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agrce as follows: 22. Acceleration; Remedia. Lwder shag give notice to Borrower prior to accderatIon following Borrower's breach of any covenant or agi~emetnt in this Security Instrument (but not prior to aooderatlon under Section 18 unless Applicable Law provides otherwise). The notice shall specify: (a) the default; (b) the action required to cure the detauU; (c) a date, not leas than 30 days from the date the notice is slum to Borrower, by which the default must be cured; and (d) that [ailnre to cure the default o0 or before the date spetdtied in the notice may result in aeederation of the soma secured by this Security Inatnmamt, foreclosure by judldai proceeding and sale of the Property. The notice shall ftnther inform Borrower of the right to rdnstate after aocela~ation and the right to assert in the foreclosure prooceding the non-existence of a default or any other defense o[ Borrower to aecderation and foreclosure. V the defauk V not cured on or before the date specified in the notice, Lender at its option may require immediate payment in hill o[ all sums aectn~ed by this Security Instrtanent without further demand and may forodose this 5ectsrity Inetrtmtmt by judidal peoeeeding. Lender shall be entitled to collect all incurred in pmstdng the ranedles provided in this Section 2Z, including, but not limited to, reasonable attorneys' tees and casts o[ title evidence. 23. Release. Upon Payment of all sums secured by this Security instnunent, Leader shall release this Security Instrutneat. Lender may charge Borrower a foe for releasing this Security Instrument, but only if the fa is paid to a third party for services rendered and the charging of the fee is permitted under Applicable Law. 24. Waives. Borrower relinquishes all right of dower and waives all right of homestead and distributive share in and to the Property. Borrower waives any right of exemption as to the Property. 2S. HOMESTEAD EXEMPTION WAIVER. I UNDERSTAND THAT HOMESTEAD PROPERTY IS 1N MANY CASES PROTECTED FROM THL CLAIMS OF CREDITORS AND EXEMPT FROM JUDICIAL SALE; AND THAT BY SIGNING THLS MORTGAGE, I VOLUNTARILY GIVL UP MY RIGHT TO THIS PROTECTION FOR THIS MORTGAGED PROPERTY WITH RESPECT TO CLAIMS BASED UPON THIS MORTGAGE. BoROwa LLI 0 Dale Borrower Due Borrower \` Dave Borrower Date ~~~ ROB Date ~O~ ~ Date Borrower Dace 140115 -811A~ Iooosl P.a. to d to Form 3018 1101 26. Redemptlon Period. If the Property is less than 10 acres in size and Lender waives in any foreclosure proceeding any right to a deficiency judgment against Borrower. the period of redemption from judicial sale shall be reduced to 6 months. If the court finds that the Property has been abandoned by Borrower and Lender waives any right to a deficiency judgment against Borrower. the period of redemption from judicial sale shall be reduced to 60 days. 17n; provisions of this Section 26 shall be construed to conform to the provisions of Sections 628.26 and 628.27 of the Code of Iowa. I1bIPORTANT: READ BEFORE SIGNING. THE TERMS OF THIS AGREEti~NT SHOULD BE READ CAREFULLY BECAUSE ONLY THOSE TERMS W WRTP1rlG ARE ENFORCEABLE. NO OTHER TERMS OR ORAL PROMLSES NOT CONTAINED lat THIS WRl'1'TEN CONTRACT MAY BE LEGALLY ENFORCED. YOU MAY CHANGE THE TERMS OF THIS AGREEMENT ONLY BY ANOTHER VVRTITEN AGREEMENT. BY SIGNING BELOW. Borrows accepts and agrees to tl~ terms and covenanter contained in this Security Inariimxat aad in any Rider executed by Borrower and rooorded with it. ~- ~~) KE LISON _~~ _ (seat) -Borrower 140115 _ (seat) -Borrower ~~~ -Borrower _ (seat) -~~ _ (Seat) -Borrower (~) -Al1A) wooa~ P.o. ~~ a ~a Form 3014 1ro1 .' STATE OF IOWA, DUBUQUE County se: on thin 5th day of June. 2003 ,before me, a Notary Public in the State of Iowa, personally appeared KELLY JELLISON to me personally known to be the person(s) named In and who executod the foregoing instrument. and aclmowledged that helshe/they exocuted the same as his/her/their voluntary act and deed. My Comimission Facpir+ea: May z2. 2ooa Notary Pn io and said a~ GARY H. JA .' OAIIY N. JAEOER t Commtulon Nua~bar isi6~ ,,ter YY Coraralaalon E:picas ~_ _! ~~ /' 140115 ~.e.: -tsttat ~ooos, P.Q. 16 of 16 Forrtt 3o~s ~ro~ PAYMENT RIDER • '' ~ THIS PAYMENT RIDER is made this 5th day of June. 2003 and is incorporated into and shall be deemed to amend and supplement the Mortgage, Dead of Trust or Setauity Deed (the "Security Instrument") of the same dau given by the undersigned (the "Bono wet") oo secure Borrower's Nou to DuTrac Community Credit Union (the "Lender") of the same dau and covering the Property descn'bed is the Security Instrument and located at: 530 Lincoln Ave., Dubuque, IA 52001 [Proatr Aaaral ADDITIONAL COVENANTS. Ia addition to the covenants and agreements made in the Security Instrument, Borrowers and bender further covenant and agree as follows: A. SCHEDULED PAYMENTS OF PRINCIPAL AND I)YI'ERF.S'1' The Nou provides for scheduled payments of principal a~ interest as follows: 3. PAYMEN'T'S (A) Schedded Payments I will Pay Principal am interest by malting Payments when scheduled: [X] I will make 35 payments of S 354.65 each on the 1• of each Month beginning on August 1. 2003. C ] 1 wi11 make payments as follows: (X] In addition to the payments descn'bed above, I will pay a "balloon payment" of 555,796.84 on July 1, 2006. The Note Holder will deliver or mail to me notice prior to maturity that the balloon payment i$ due. This notice will also the balloon payment amount and the dau that it is due. (B) Maturity Date and Place of Payments I will make these payments as scheduled until I have paid all of the principal and interest and any other charges descn'bed below that I may owe under this Neu. My scheduled payments will be applied to interest before principal. If, on _ _ July 1. 2006 . I still owe amotmta under this Nou, I will pay those amamts in full on that date, which is called the "maturity dau.' I will make my scheduled payments at DuTrac Commtmity Credit Union 3465 ~*v R~ v O Box 3250. Dubuque. LA 5?004-3250 or at a different place if required by the Nou Holder. B. FUNDS F08 TARES AND INSURANCE [Mark one] C l Uniform Covenant 2 of the Security Iasttvmcnt is waived by the T.ender. [ X ] Uniform Covenant 2 of the Security Instrument is aroeaded to read as follows: Z. SCHEDULED PAYMF,NT'S FOR TARES AND INSURANCE (A) Borrower's Obllgatiiovs I will pay fA I.endcr all amounts necYasary to pay for taxes, assessments, leasehold payments or ground rents (if any). and hazard insurance an the Property and mortgage insurance (if any). I will pay those amounts to Lender uNeas Leader ells me, in writing, that I do not have to do so. or unless the law requires otherwise. I will make those payments on the same day that my scheduled payments of Principal and interest are due under the Nou. . Each of mY PaY~~ under this Paragraph 2 will be the sum of the following: .. (i) The estimated yearly taxes a~ assessments on the Property which under the law may be superior to this . Security Instrument, divided by the number of achedtiled payments in a year; plus, ~11DXXX XS]lI(XIEQ~IEIt>~K1d161fK~GIj~GDf96~0(d6J(~d6111(dXdtit~(i(~(1~7A6~6~iE~t~tJi~f~1l]tX~friHElli()61tif~lE~( ' itRIIQQIo->bltifd6itKlfl(I(]tl6~l'X]F1Gli, ,~ , (iii) The estimated yearly premium for hazard insurance covering the Property. divided by the number of `°" scheduled payments in a year; plus, .~;~` [~XXXXX7g11i)tIfOGOQXOtIIXpq~Nltklgt)G061(%IWt7(9~1E)6f(IUtI6dt>~XGiRJii(~Ul(JtN16)likl(b7ftXQlg)bi(~6Dq~l(l~tX,~J6#Wi1tdH( il~r~aac~ac~cxearx Lender will estimate from time to time my yearly taxes, assessments, leasehold payments or ground rests and ~~ P~~, which will be called the "escrow items. " Lender will use existing assessments and bills and ® -~A- ~ ~ CD N ~f1 - Q CC reasonable e.4tirnates of future assessments a~ bills. The amounts that I pay to Leader for escrow items under this Paragraph 2 will be called the "Fonda. " , (B) I.eoder'c Obligatl om • • . . Lender will keep the Funds is a savings or backing institution which has its deposits ar accounts insured ors ' guaranteed by a federal or state agency. If Lender is such as institution, Lander may hold die Fuada. Except as described in this Paragraph 2. Lender will use the Funds to pay the escrow items. Lender will give to me, without charge, an annual accounting of the Funds. That accounting must show all additions to and deductions from the Funds a~ the reason for each deduction. Leader may not charge me for holding or keeping the Funds, for using the Funds to pay escrow items, for analyzing my payments of Funds. or for receiving, verifying sad totaling assessments and bills. However, Leader may charge me for these services if Lender pays me interest on the Funds and if the law permits Lander to make such a charge. Lender will not be required to pay me any interest or earnings on the Funds uceaa either (i) Lender and I agree in writing, u the time I sign this Security Instrument, thu Lender will pay interest on the Funds; or (ii) the law requires Lender to pay interest on the Funds. (G~ Ad,~ustmmts to the Ftimds If bender's estimates are too high or if taxes and insurance rate: go down, the amounts that I pay under this Paragraph 2 will be too large. If this happens u a time when I am keeping all of my promises and agreements made in this Security Instrument, I will have the right to have tht excess amount either Promptly repaid to me as s direct refund or cxedited tti my future scheduled payments of Ftmda. Them will be excess amounts if, u say time. the sum of (i) the amount of Panda which Leader is holding or keeping, Plus (ii) the amknmt of the scheduled payments of Punch which I still moat pay between that time and the due dates of escrow items is greater than the amount necessary to pay the escrow items when they are dne. If, whin payments of escrow items are due, Lender has not received euongh Funds to make those payments, I will pay to Leader whatever additional amount u necessary to pay the escrow items in 14tH. I must pay that additional amount in one or more payments as Lender may require. Whey I have paid all of the sums secured, Lender will promptly refund to me say Funds that are then being held by Lender. If, ae a result of the exercise by Leader of any of its rights under this Security Inshvment, either Lender acquires the Property or the Property is sold, then immediately before the acquisition or sale, Lender will use any Fonda which Leader is holding u the time to reduce the sums secured. BY SIGIVI1vG BELAW, Borrowers accept and agree to the terms aad oovenanta coatainod in this payment Rider, (Seal) (~) ~+ w i~~mx~u~ Ricordid: 0~5/26%20~OO~atT10 45a4a AM F~~ Mt: =17.00 Paps 3 of 8 Dubuque Countyy Iowa Kathy Flynn Thurlo~ RaeoirdaQr i i F11a2006~00o i~ V i ~ i MORTGAGE EXTENSION AGREEMENT THE IOWA STATE BAR ASSOCIATION Ra:order's Cover Sheet Preparer Information: (name, addn~ and phone number) Melinda Kramer, 3465 Asbury Road, Dubuque, IA 52002 Ph. (563) 582-1331 Tazpayer Information: (name and oompleu address) Kelly Jellison, 530 Lincoln Ave., Dubuque, IA 52001 Return Document To: (name and complete address) DuTrac Community Credit Union, 3465 Asbury Road, Dubuque, IA SZ002 Grantors: Kelly Jellison Grantees: DuTrac Community Credit Union Legal Description: Document or instrument number of previously recorded documents: ] 5288-03 1~7~~ 1~ lX ~ ~ MORTGAGE EXTENSION AGREEMENT Prepared by. Melinda Kramer, DuTrac Community Credit Union, 3465 Asbury Road, Dubuque, U 52002 (S63) 582-1331 KNOW ALL PERSONS BY THESE PRESENT: THAT WHEREAS, Kelly Jellison, Widowed and Not Remarried, hereinafter called Mortgagor is the owner of certain real estate described in a certain mortgage dated the 5th day of June 2003, and recorded in the office of the Dubuque County Recorder in Dubuque, Iowa as Instrument No. 15288-03. And whereas both said promssory note and mortgage are now owned and hold by DuTrac Community Credit Union, an Iowa corporation, hereinafter called the Mortgagee; and whereas said promissory note requires payment in full on the 1st day of July, 2006; And whereas the Mortgagor now desires an extension of time; NOW, THEREFORE, IT IS AGREED, between Mortgagee, DuTrac Community Credit Union and Mortgagor, Kelly Jellison, Widowed and Not Remarried, that the mortgage above identified shall secure a new promissory note given by Kelly Jellison, Widowed and Not Remarried, to mortgagee, dated the 16th day of August, 2006, in the principal amount of $55,712.16 with a due date the 1st day of August, 2009. The parties hereby agree that said mortgage instrument recorded as Instrument No. 15288-03, in the office of the Dubuque County Recorder in Dubuque, Iowa secures said promissory note and shall continue to be a first lien on the mortgaged property. All covenants and provisions therein shall remain in full force and effect, except as herein modified. IN WITNESS THEREOF, the parties hereto have executed the foregoing instrument this 16th day of August, 2006. DuTrac Community Ke J lison M STATE OF IOWA COUNTY OF DUBUQUE On this 16th day of August 2006, before me, the undersigned, a Notary Public, personally appeared Kelly Jellison, to me known to be the identical person named in and who executed the foregoing instrument, and acknowledges that he executed the same as his voluntary act and deed My Commission Expires: January 18, 2008 •~ . cELear~ HErt~ :~~ : Comntl~Non NumE~r 11 STATE OF IOWA COUNTY OF DUBUQUE On flue 16th day of August 2006, before me, Melinda Kramer, a Notary Public in and for Dubuque County, Iowa, personally appeared Celeste Hefel, to me personally known, who, being duly sworn, did state that this person is the representative of DuTrac Community Credit Union, an Iowa Corporation, that no seal has been procured by the said corporation. By authority of its Board of Directors, the said, Celeste Hefel, as a representative of DuTrac Community Credit Union, does acknowledge the execution of said instrument to be the voluntary act and deed of said corporation, by it, and voluntarily executed. My Commission expires: February 17, 2007 ~ ~~ Mehnda Kramer y INELINDA KRAAAEH F Comml~ion Num • ~e.: YJr Coninr. Ems. ' Your Trusted Financial Partner l~oB~b _~ ~..~` ; DuTrac ON OCT 3 1 200T Commune Credit Union THE ORIGINAL OF THIS .~ DOCUMENT WAS MAILED CERTIFIED MA,II KELLY M JELLISON TO THE ADDRESSEE. A COPY OF THt~ 4617 CARDINAL DR DOCUMENT WAS SENT REGULAR MAIL, DUBUQUE, IA 52001-8824 ADDRESS CORRECTION REQUESTED, DO NOT FO 4'VARD, TO THE ADDRESSEE, October 31, 2007 BY: NOTICE OF RI TO CURE Creditor Name Du Trac Community Credit Union Creditor Address 3465 Asbury, P.O. Box 3250, Dubuque, IA 52001 Creditor Telephone 563-582-1331 or 1-800-475-1331 Member Account Number XX8216 Loan 1 Identification of Credit Transaction: R.E.loan opened lOJUN03 for $55712.16; Security: Mortgage on 530 LINCOLN AVE DUBUQUE, IA You are now in default on this credit transaction. You have a right to correct this default until November 30, 2007. If you do so, you may continue this contract as though you did not default. Your default consists of: Past due payment of $637.44 for 1 month thru OlOCT07; Note: NOV pmt of $637.44 also comes due Correction of the default: On or before November 30, 2007 Pay the past due amount of $637.44 If you do not correct your default by the date stated above, we may exercise rights against you under the law. If you default again in the next year, we may exercise our rights without sending you another notice like this one. If you have questions, write or telephone Du Trac Community Credit Union promptly. YYWYY.dUtfBC.Of$ MAR! BRANCH fT. MARY'f BRANCH WA4MART BRANCH PERU ROAD BRANCH P 563.582.1331 AfBURY MAQUOKETA BRANCH MONTICELLO BRANCH DAVENPORT BRANCH TF 800.475.1331 EXHIBIT ..D.. S ~~ AME Ai CA'S CREDIT UNIONS' IN THE IOWA DISTRICT COURT FOR DUBUQUE COUNTY DUTRAC COMMUNITY CREDIT UNION, Plaintiff vs. KELLY JELLISON, CITIZENS FINANCE CO., ROBERT J. RUNDE, MICHELLE LEE RUNDE, CITY OF DUBUQUE, IOWA, TRI-STATE ADJUSTMENTS OF FREEPORT, INC., UNKNOWN OWNERS and NONRECORD CL~-IMANTS, Defendants. ATTORNEYS FEE AFFIDAVIT STATE OF IOWA ) ss: COUNTY OF DUBUQUE ) EQUITY ACTION 01311 EQCV I, Chad C. Leitch, being first duly sworn on oath, depose and state that I am an attorney for Plaintiff in the above-entitled action; that I have read the foregoing Petition, know the contents thereof, and the statements contained therein are true and correct as I verily believe. I further state that I am a member of the law firm of O'Connor & Thomas, P.C., Dubuque Building, 700 Locust St., Suite 200, Dubuque, Iowa, 52004-0599, attorneys for Plaintiff; that there is no contract, agreement or arrangement, either oral or written, express or implied, between myself and any other person, firm or corporation for any division or sharing of the fee to be taxed in the above-entitled matter, except the members 'of O'Connor & Thomas, P.C. of which this affiant is a member. ~ _ ~ Chad C. Leitch Subscribed and sworn to before me this~~ day of May, 2008. ~""c - ABBEY HARRISON ~~~ COMMISSION NO. 747110 A~IYCOMMISSION EXPIRES ~ow~ ~ ~ ,~ Notary Publics and for the State of Iowa EXHIBIT "E" K, ~;- 15289-03 1013 Jt~l 16 PM Z= 32 Ka~~ r~~rr~I rN~uR ow DU ,~ t0 EES /a? DD PREPA}tED BY: Melinda Kramer, DuTrac Community Credit Union, 3465 Asbury Road, Dubuque, IA 52002 (563) 582-1331 SUBORDINATION AGREEMENT WHEREP-S,Kelly Jellison and Dawn JP>>i~~~~n~~ deceased) husband and wife made and executed a first mortgage to Creve Coeur Mortgage, Inc. ,which mortgage was recorded on September 21, 1998 ae Inshvment No. 14759-98 , in the records of Dubuque County,Iowa, and WHEREAS, said mortgage recorded as Instrument No. 1475-98 . in the rec;orda of Dubuque County, Iowa, is presently unsatisfied, and, WHEREAS, Kelly M. Jellison and Dawn M. Jellfson(now deceased) husband and wife made andexecutodasewndmortgageW Citizens Finance Co. dated October 30. 1998 ,whiclt~rtgage was recorded on November 6, 1998 , as Dubuque County Inshvment No. 17588-98 and, WI-IEREAS, said second mortgage recorded as L~strument No. 17588-98 , is also presently unsatisfied, and, WHEREAS, Kelly Jellison, widowed and not remarried, . now wish to refinance their first mortgagcobligation with DuTrac Community Credit Union ~ WHEREAS, DuTrac Community Credit Union will not re-finance said mortgage obligation unless Citizens Finance Co. . agrees to subordinate its mortgage recorded as ent No. 17588-98 to DuTrac Community Credit Union new mortgage: NOW, THEREFORE, Citizens Finance Co. agrees to rdinate its mortgage interest recorded as Instrument No. 17588-98 to the new mortgage given by Kelly Jellison . widowed and not remarried to DuTrac Communit Credit Union dated June 5. 2003 ,and recorded on June i , 2 3 as Dubuque County Instrument No.' #15288-03 Citizens Finance Co. agrees that its mortgage, Instrument No. 17588-98 ,will be subordinate, inferior and secondary to the aforementioned mortgage given to ~ DuTrac Communi~_ Credit Union and recorded as Instrument No. STATE OF IOWA COUNTY OF DUBUQUE me the SS: a N~~.. Public in o or the County and State aforesaid, this . personally appeared respectively, and acknowledge the execution of the foregoing instrument. ~mmiaa+on Expires s F put°M7 Pa6ye~ea ~WA ~~ na„q otary l'u is EXHIBIT ~~F~~ s