FILED: RICHMOND COUNTY CLERK 02/11/2015 11:08 AM
`FILED: RICHMOND COUNTY CLERK 02m2015 11:08 ‘
`NYSC 3F DOC. NO. 36
`NYSCEF DOC. NO. 36
`
`IND
`EX NO.
`135218/2013
`INDEX NO. 135218/2013
`
` VYSC
`
` «IIV-4 .D
` 3F:
`
`02/11/2015
`RECEIVED NYSCEF: 02/11/2015
`
`

`

`' FILEBS RICHMONDCOUNTY CLERK 0'8 E12013 "
`
`
`NYSCEF DOC. NO.
`1
`
`”'iiiififi'x NO.
`
`lBSéiB/ZOlB 5
`
`RECEIVED NYSCEF: 08/27/2013
`
`' SUPREME COURT OF THE STATE OF NEW YORK
`COUNTY OF RICE-NONI)
`‘
`
`The Bank of"New York Mellon FKA The Bank of New York,
`as Trustee for the Certificateholders of the CWAB S, 1110.,
`
`Asset—Backed Certificates, Series 2005-14
`Plaintiff,
`
`SUMMONS
`
`'
`
`ragainsp
`
`. Plaintiff designates
`Richmond County as the
`place of trial. Venueis
`based upon the County in
`Lonny McGowan, New York City Environmental Control
`which the mortgaged
`Board, New York City Parking Violations Bureau, New York
`City Transit Adjudication Bureau and "JOHN DOE #1" through premises is situated.
`"JOHN DOB #10", the last ten names being fictitious and
`unknown to the plaintiff, the person or parties intended being
`the persons or parties, if any, having or claiming an interest in
`or lien upon the mortgaged premises described in the
`Complaint,
`
`Defendants.
`
`TO THE ABOVE NAMED DEFENDANT(S):
`
`YOU ARE HEREBY SWONED to answer the Complaint in this action and to serve a
`copy of your Answer or, if the Complaint is not served with this Summons, to serve a Notice of
`Appearance on the attorneys for the plaintiffWithin twenty (20) days after service ofthis Summons,
`exclusive ofthe day of service; or Within thirty (30) days after service is complete ifthis Summons
`is not personally delivered to you Within the State ofNew York; or within sixty (60) days if it is the
`United States ofAmerica. In case ofyour failure to appear or answer, judgment will be taken against
`you by default for the relief demanded in the Compiaint.
`
`
`
`

`

`YOU ARE IN DANGER OF LOSING YOUR HOB/IE
`
`NOTICE
`
`If you do not respond to this summons and complaint by serving a copy of the answer
`on the attorney for the mortgage company who filed this foreclosure proceeding against you
`and filing the answer with the court, a default judgrp ent may be entered and you can lose your
`home.
`
`Speak to an attorney or go to the court Where your case is pending for further
`information on how to answer the summons and protect your property.
`
`Sending a pament to your mortgage company will not stop this foreclosure action.
`
`YOU MUST RESPOND BY SERVWG A COPY OF THE ANSWER ON THE
`
`ATTORNEY FOR THE PLAINTIFF 1MORTGAGE COMPANY} AND FILING THE
`ANSWER WITH THE COURT.
`
`Dated: Buffalo, New York:
`' May 23, 2013
`
`FRENKEL, LAMBERT, WEISS,
`WEISMAN & GORDON, LLP
`
`f.
`
`.
`
`BY:
`
`'stiu Bolduc
`
`'
`
`Attorneys for Plaintiff
`53 Gibson Street
`
`Bay Shore, New York 11706
`(631) 969—3100
`Our File No.: 01-0293 18-1701
`
`TO:
`
`Lonny Mcgowan
`268 Suffolk Avenue,
`
`Staten Island, NY 10314
`
`New York City Environmental Control Board
`100 Church Street, 4th Floor
`
`New York, NY 10007
`
`New York City Parking Violations Bureau
`100 Church Street, 4th Floor
`
`New York, NY 10007
`
`New York City Transit Adjudication Bureau
`130 Livingston Street
`
`Brooklyn, NY 11201
`
`
`
`

`

`SUPREME COURT OF THE STATE OF NEW YORK
`COUN IY OF RICHMOND
`
`The Bank of New York Meilou FICA The Bank of New York,
`
`as Trustee for the Certificateholders of the CWAB S, Inc.,
`
`Asset—Backed Certificates, Series 2005-14
`Plaintiff,
`
`COMPLAINT
`
`against-
`
`Lonny McGowan, New York City Environmental Control
`Board, New York City Parking Violations Bureau, New York
`City Transit Adjudication Bureau and "JOHN DOE #1" through
`"JOHN DOB #10", the last ten names being fictitious and
`unlmown to the plaintiff, the person or parties intended being
`the persons or parties, if any, having or claiming an interest in
`or lien upon the mortgaged premises described in the
`Complaint,
`
`Defendants.
`
`The plaintiff, by its attorneys, Frenkel, Lambert, Weiss, Weisrnan, & Gordon, LLP,
`complaining of the defendants herein allege, upon information and belief, as follows:
`
`AS A FIRST CAUSE OF ACTION
`
`That the plaintiff, The Bank ofNew York Mellon FKA The Bank ofNew York, as Trustee
`1.
`for the Certificateholders of the CWABS, Inc., Asset—Backed Certificates, Series 2005-14, at all
`times hereinafter mentioned was and still is a Domestic Corporation authorized to do business in the
`State of New York.
`
`On or about October 26, 2005, Lonny McGowan, executed and delivered to America‘s
`2.
`Wholesale Lender a note dated October 26, 2005 whereby Lonny McGowan, promised to pay the
`principal sum of $320,000.00.
`
`On or about October 26, 2005, Lonny McGowan, executed and delivered to Mortgage
`3.
`Electronic Registration Systems, 1110., acting solely as a nominee for America's Wholesale Lender
`a mortgage (hereinafter "mortgage") in the principal sum of $320,000.00, With interest, mortgaging
`the premises known as 268 Sufl‘ollr Avenue, Staten Island, NY 10314 (hereinafter "premises") as
`collateral security for the note. The mortgaged premises is more fully described in EXHIBIT "A"
`annexed hereto.
`
`The mortgage was duly recorded in the Office of the Clerk of the County of Richmond on
`4.
`March 2, 2006 inDocament #l 1 1565, and the recording tax was duly paid. Thereafter, the loan was
`modified pursuant to aLoan Modification Agreement executed onNovember 22, 201 l which created
`a single lien in the amount of $367,080.63 {hereinafter "Loan Modification")-
`
`
`
`

`

`That plaintiffis in possession of the original note with a proper endorsement andfor allonge
`5.
`and is therefore, the holder of both the note and mortgage, which passes as incident to the note.
`
`Pursuant to the Loan Modification, Lonny McGowan, promised to make consecutive monthly
`6.
`payments of principal and interest each month,
`in accordance with the terms of the Loan
`Modification, commencing December 1, 2011 and on the first day of each succeeding month up to
`and including November 1, 203 5 when the entire principal amount and accrued interest shall be due
`and payable.
`
`Pursuant to the terms of the mortgage, in addition to principal and interest, the mortgagee
`7.
`can collect and charge to the loan all amounts necessary to pay for taxes, assessrnents, leasehold
`payments or ground rents (if any), hazardinsurance and mortgage insurance.
`
`The mortgage furtherprovides that in case of default in the payment of any principal or
`8.
`interest or any other terms, covenants or conditions of the mortgage, the holder of the mortgage
`could declare the entire indebtedness secured by the mortgage immediately due and payable, and the
`holder of the mortgage is empowered to sell the mortgaged premises according to law.
`
`Lonny McGowan failed to comply with the terms, covenants and conditions of said note,
`9.
`mortgage and Loan Modification by failing and omitting to pay, to the plaintiff, payments due on
`May 1, 2012 and said default has continued for a period in excess of fifteen (15) days.
`
`Pursuant to the terms ofthe note, mortgage and Loan Modification, the plaintifi"has elected
`- 10.
`and does hereby elect to declare the entire principal balance to be due and owing.
`
`That there is now due and owing to the plamtifi under said note, mortgage and Loan
`11.
`Modification the principal sum of $364,849.86 With interest thereon from April 1, 2012, plus late
`charges if applicable pursuant to the terms ofthe note and advances made by the plaintiff on behalf
`ofthe defendant(_s) and any other charges due and owing pursuant to the terms ofthe note, mortgage
`and Loan Modification.
`
`Plaintifi? shall not be deemed to have waived, altered, released or changed the election
`12.
`hereinbefore made by reason ofpayment after the date ofcommencement of this action ofany or all
`of the defaults mentioned herein, and such election shall continue and remain effective.
`
`hi order to protect its security, the plaintiff may be compelled, during the pendency of this
`13.
`action, to pay sums for premiums on insurance policies, real estate taxes, assessments, water charges
`and sewer rents Which are or may become liens on the mortgaged premises, and other charges which
`may be necessary for the protection ofthe mortgaged premises, and the plaintiffprays that any sum
`or sums so paid, together with interest from the date of payments, shall be added to the plaintiff‘s
`claim and be deemed secured by said note and mortgage and adjudged a valid lien on the mortgaged
`premises, and that the plaintiffbe paid such sums, together with interestthereon, out ofthe proceeds
`of the sale ofthe mortgaged premises.
`
`14.
`
`Upon information and belief all the defendants herein have or claim to have some interest
`
`

`

`in or lien upon said mortgaged premises or some part thereof which interest or lien, if any, has ,
`accrued subsequent to the lien ofplaintifl's mortgage, or has been paid or equitably subordinated to
`plaintiffs mortgage, or been duly subordinated thereto. The reason for naming said defendants is set
`forth in "Schedule A" that is attached to this complaint.
`'
`
`That there are no pending proceedings at law or otherwise to collect or enforce said note
`15.
`and mortgage.
`
`Plaintifi has complied with all of the provisions of Banking Law §595-a and any rules
`16.
`and regulations promulgated thereunder, Banking Law §§6-l and 6mm, if applicable.
`
`Upon information and belief, plaintiff has complied with the provisions of Real Property
`17.
`Actions and Proceedings Law §1304 and §1306 unless exempt frorn doing so.
`
`That the plaintiff is now the owner and holder of the said note and mortgage securing the
`18.
`same or has been delegated the authority to institute a mortgage foreclosure action by the owner and
`holder of the subject mortgage and note or is the holder of the note and mortgage and has been
`delegated the authority to institute a mortgage foreclosure actiOn by the owner of the note and
`mortgage.
`‘
`
`lfplaintiff is not the owner and holder ofthe subject note and mortgage, plaintiff has
`l9.
`been delegated the authority to institute a mortgage foreclosure action pursuant to statute and/or
`delegation of aumority by the owner of the subject note and mortgage-
`
`Plaintiff requests that the mortgaged premises be sold in one parcel and that ifthe premises
`20.
`consists of more than One parcel, plaintiff respectfully requests that the judgment of foreclosure
`provide for the parcels to be sold as one parcel.
`
`The sale ofthe mortgaged premises under foreclosure herein is snbj ect to any state of facts
`21.
`that an inspection ofthe premises would disclose, any state offacts an accurate survey would Show,
`and to covenants, restrictions and easements, ifany, ofrecord affecting said mortgaged premises and
`any Violation thereof, any equity of redemption of the United States of America to redeem the
`premises within 120 days from the date ofsale, prior mortgages and liens ofrecord, ifany, any rights
`oftenants or persons in possession ofthe subj ect premises, and to zoning regulations and ordinances
`ofthe city, town or Village in which said mortgaged premises lies and any violations thereof.
`
`In the event that the plaintiff possesses any other lien(s) against the mortgaged premises
`22.
`either by way ofjudgrnent, junior mortgage or otherwise, plaintiffrequests that such other lien(s) not
`be merged in plaintiff‘s cause(s) of action set forth in this Complaint, but that plaintiff shall be
`permitted to enforce said other lien(s) and/or seek determination of priority thereof in any
`independent action(s) or proceeding(s),
`including, without
`limitation, any surplus money
`proceedings.
`
`
`
`
`
`

`

`AS AND FOR A SECOND CAUSE OF ACTION
`
`The plaintiff repeats and realleges each and. every allegation contained in paragraphs
`23.
`designated 1 through 22.
`
`The mortgage provides that in the event of default, the plaintiff may recover all costs,
`24.
`including reasonable attorneys' fees, disbursements, and allowances provided bylaw in bringing any
`action to protect its interest in the premises, including foreclosure of the mortgage.
`
`WHEREFORE, the plaintiff demands judgment against the defendant(s) as follows:
`
`That the defendants and all persons claiming under them or any ofthem, subsequent
`a)
`to the commencement of this action and to the filing ofthe Notice of Pendency of this action, may
`be barred and foreclosed of all right, title, claim, lien and equity of redemption in the mortgaged
`premises;
`That the mortgaged premises be sold in one parcel according to law subject to any
`b)
`state of facts an accurate survey would show, any covenants, easements, encroachments,
`reservations, and restrictions, violations and agreements ofrecord, zoning regulations and ordinances
`ofthe city, town, or village; wherein the premises is located, any state of facts a physical inSpection
`will disclose, rights of tenants and other persons in possession of the mortgaged premises, prior
`judgments, liens and mortgages ofrecord and any and all rights ofthe United States of America to
`redeem the subject premises;
`c)
`That the premises be sold in accordance with Title 28, Section 2410 of the United
`State Code preserving all rights of redemption, if any, of the United States of America;
`d)
`That the monies received from the sale be brought into Court and thatplaintiff be paid
`the amount adjudged to be due it "with interest thereon to the time ofsuch payment, together with late
`charges, any sums paid by the plaintifi for real estate taxes, assessments, water charges and sewer
`rents, insurance premiums, sums expended for the protection orpreservation ofthe property, together
`with attorneys fees as demanded in the second cause of action, the costs and disbursements ofthis
`action and any other necessary expenses to protect the lien of the mortgage to the extent that the
`amount of such monies applicable thereto will pay the same;
`e)
`That this Court, if requested, appoint a receiver of the rents and profits of said
`premises, during the pendency ofthis action with the usual powers and duties,
`D
`That the defendant(s) obligated under the note he adjudged to pay any deficiency
`which may remain after applying all of such monies as aforesaidin accordance with the law and
`provided that plaintiffhave execution therefore, unless the debt has been discharged in a Bankruptcy
`petition or that said defendant(s) obligated under the note have been relieved of responsibility for
`any such deficiency.
`g)
`That in the eventplaintiffpossesses any other lien(s) against said mortgaged premises
`either by way ofjudgment, junior mortgage or otherwise, plaintiff requests that such other lien(s)
`shall not be merged in plaintiffs cause(s) of action(s) set forth in the Complaint but that plaintiff
`shall be permitted to enforce said other lien(s) andfor seek determination or priority thereof in any
`independent action(s) or proceeding(s),
`including, without limitation, any surplus money
`proceedings;
`
`
`
`
`
`

`

`
`
`That plaintiff have such other and further relief in the mortgaged premises as may
`h)
`be just and equitabie-
`
`Dated: Buffalo, New York
`
`May 23, 2013
`
`Frenkel, Lambett, Weiss, Weisman, & Gordon, LLP
`
`Kristin Bolduc
`
`Attorneys for Plaintiff
`53 Gibson Street
`
`Bay Shore, New York 11706
`(631) 969—3100
`Our File No.: 01—029318—F01
`
`

`

`Schedule A
`
`Party Name
`
`Lonny McGowan
`
`Description
`
`Obligor/MortgagorlOwner
`
`New York City Environmental Control
`Board
`
`New York City Parking Violations Bureau
`
`Holder of Judgment(s) against the property
`being foreclosed herein- Said lien is more
`particularly described in Exhibit "B" annexed
`hereto.
`
`Holder of ludgmenfis) against the property
`being foreclosed herein. Said lien is more
`particularly described in Exhibit "B" annexed
`hereto.
`
`New York City Transit Adjudication
`Bureau
`
`Holder of possible .Tuclgmenfls) against the
`property being foreclosed herein.
`
`
`
`
`
`

`

`Miguel}: Docket 8:. Lien infatuation
`
`-
`
`Parking Vioiafimas Filed Date: 8/24/2012
`
`For MCGOWAN, L
`
`J-# J-Amt
`
`J—Int PItorSurn St
`
`426 ENU8936
`1 MCGOWAN LONNY J
`
`
`
`Data Loaded: 8124/2012
`
`268 SUFFOLK AVE , STATEN ISLAND NY, 10314
`
`Sufi
`
`9220/2012 11:35 AM 7
`
`
`
`

`

`
`
`Ilfigment Docket at Lien mfomaafion
`
`Parking Violations Filed Date: 3/24/2012
`
`For LATORRE, G
`
`PREDli-gglmst
`J—Int___
`Jwfi‘ E—Amt
`Address"
`# Name
`idl'ia'" CEY6037
`'1‘ LA?dfi'fié‘EEESfié’EW‘h 861876THSTWOODHAVENNY1142111 ‘125
`
`
`
`Data Loaded: 89412012
`
`13 0f13
`
`‘
`
`9/20f2012 11:38 AM
`
`
`

`

`Tudglmnt Docket &: Lien mformation
`
`ECB Through Datefi/M/ZMZ
`For LATORRE, G
`
`”“9an
`Notice
`3:2:-
`,
`Address
`# Respondant Name
`Docket
`Balance Due Satisf/Vaoat
`
`86-1876 STREET WOODHAVEN
`10H?!“
`111281’11
`01112
`$300.00
`NY 11421
`
`GEORGE
`
`
`
`
`
`Data Loaded: 91252012
`
`11 0f13
`
`9l20s’2012 11:38 AM
`
`
`
`

`

`
`
`EXHIBET A
`
`_ All that eefiain plot, piece or parcel ofland, with file builéings and improvements thereon erected, situate, lying
`and being in the Boreugh of Staten Island and County ofRichmond City and State :3wa York, more
`particulefly bomfled and described as follows:
`
`BEGMNG at a point on the westeriy side 61" 31233013: Avenue(6 0) fiet wide, distant 160.44 feet nontherly
`30111 The corner of the intemection ofthe noriherly side ofBfielleAveuue and the westerly side of Sufi‘ofli
`Avenue;
`
`RUNNlNGWCE south 83 degrees 17 minutes 56 seconds west, 1010.3?r fleet;
`
`THENCE north 6 fiegees 39 mm: 10 seconds west, 30 feefi
`
`THENCE norm 83 degrees 17 minutes 56 seconds east, part of the disiauee fhrough apart)! W311 100.34 feet to a
`point on the westerly siée of Suffolk Avenue;
`-
`
`THENCE south 6 degrees 42 mimics 04- seconds east along the westerly side of Suffoik Avenue, 30 feet to the
`point 01: place ofBEGWG.
`
`
`
`

`

`HELE’ ESE: HQEV’EESUL/ENEERS EN EC RECLQ‘SURE
`
`NEW‘ YORKS"(ATE LEN REQUERESE
`
`FORECLOSURE F"FLCH‘IIESE—ISIE1ELEASE REL‘LEEJ ET CAREFULLY
`
`ESEI‘L‘D YOU THE NO TEC E ASWLET THE
`
`SUMMONS AND COMPLAENT
`
`YOU ARE EN DANGER OE LOSING YOUR. HUME. [F YOU FREL TO RESPOND TO THE
`SUMMONS AND CGMPLAENT— EN THEE FORECLOSURE ACTEON YOU‘LL/WY LOSE,
`YOUR HOME ELEE‘LSE REF-D THE SUMMC‘NS T‘NB COMPfiENT Cr’iHREEULLY YOU
`SHGULD {MMEDEATELY CONTACT AN itEORNEY QR YOUR LOC:iL LEGAL AED
`GFFECE TC? OBTAENéDVECE ON HOW TO PRC}?ECT YOURSELF.
`
`SGURCES OF ENEORMKLTEON AND ASSESTANCE
`
`The State encourages you to become informed about your options 'fn
`{LI m “.2 Inr"! [1! :1:
`(I; m 3 3
`for
`ce from an attorney or [egel aid
`e.chsure in addition to s
`.0“
`tfico, there are government agencies end FLOW-P?orI'L orgenfzefions that-you
`CE
`may contact for Entormetion about possioie ootéorns, incchcEiLs-Lg twing to Work
`with your fender define this process.
`
`ToEocete an entEtvn e‘rrgrou, you mav ceEE the toEEfree heEpEEne m inte'neo
`by the New Ytorksate Depart
`ntof Fi'hencxel Se'rvices et 1-8??—226«569.7 or
`
`visit the Department‘s wetsEtte at htt o:f/wwwcft’s.nveov.
`
`a
`
`Foeecmsoee fiescue SCAMS
`
`Be careful of oeooEe who approach you with otters to "save” your home. There
`are fodEvEd-uafs who wetch for notices of torecfosure actions in order to onfafrlv
`profit from e homeow-er‘s distress. Loo should oe extreme.y carefui about any
`such promises and em suggestions that you pay them e fee or sig—r‘: over your
`[Hh
`deed. State law requires one eofi'er‘fog such semices Lot orot’it
`to enter
`trLo‘ contract whiin chfy des EE-bes the services theyw
`w'EE perform and tees the»!
`wEEl cheree, Leno'-.LhErI-l promtftts them from taking aray-money Lrom you UH‘LEE
`they have completed ail such promised services.
`
`{5 tee to NOT?-CE
`
`

`

`CERTIFICATION BY ATTORNEY
`
`Kristin Bolduc, an attorney duly admitted to practice law before the Courts ofthe State ofNew York,
`an attorney with the firm of Frenkel, Lambert, Weiss, Weisman, 85 Gordon, LLP, attorneys for the
`Plaintiffherein, pursuant to Uniform Rule Section l30—1.1-a, states as follows:
`
`I hereby certify, under the penalty of perjury and as an officer ofthe Court, that, to the best
`of my knowledge,
`information and belief,
`formed after an inquiry reasonable under the
`circumstances, the presentation of the within paper or the contentions therein are not frivolous as
`defined in subsection (c) of section 130-1.1, including that the substance of the factual statements
`therein are not false.
`
`Dated: Buffalo, New York
`May 23, 2013
`
`Frenkel, Lambert, Weiss, Weisnlan, & Gordon, LLP
`
`3:.
`
`HEM?
`
`Kristin Bolduc
`
`Attorneys for Plaintiff
`53 Gibson Street
`
`Bay Shore, New York 11706
`(631) 969-3100
`Our File No.: 01—029318—F01
`
`
`
`
`
`
`
`

`

`Index #
`
`SUPREME COURT OF THE STATE OF NEW YORK
`COUNTY OF RICHMOND
`
`
`The Bank ofNew York Mellon FKA The Bank ofNew York, as Trustee for the Certificateholders
`of the CWABS, Inn, AsSet—Baeked Certificates, Series 2005-14,
`
`Plaintiff,
`
`- against -
`
`Lonny McGowan, New York City Environmental Control Board, New York City Parking
`Violations Bureau, New York City Transit Adjudication Bureau, and "JOE-EN DOE #1"
`through "JOHN DOB #10", the last ten names being fictitious and unknown to the plaintiff,
`the person or parties intended being the persons or parties, if any, having or claiming an
`interest in or lien upon the mortgaged premises described in the Complaint,
`
`Defendants.
`
`
`
`______,_,_______
`
`
`SUMZMONS AND COMPLAINT
`
`M
`
`FRENKEL, LAMBERT, WEISS, WEISMAN &, GORDON, LLP
`Attorneys for Plaintiff
`53 Gibson Street
`
`Bay Shore, New York 1 1706
`(631) 969-3100
`Fax (531) 969-3101
`Our File No; 01-629318—1301
`
`“mm—MW
`
`_.____..—__...__
`
`To
`
`Attorney(s) for
`
`Service of a copy ofthe within
`
`Dated,
`
`is herebyr admitted.
`
`Attorney(s) forWflWWw—mmm—m—_
`
`
`
`

`

`

`

`prepare by: DWAYNE CRAWFORD
`
`
`
`INTEREST ONLY ADIUSTABLE RATE NOTE-
`(LIBOR Index - Rate Caps)
`
`THIS NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN MY INTEREST RATE AND I
`MY MONTHLY PAYMENT. THIS NOTE LIMITS THE AMOUNT MY INTEREST RATE CAN
`CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE I MUST PAY.
`
`OCTOBER 26, 2005
`[Date]
`
`HICKSVILL‘E‘.
`[City]
`
`NEW YORK
`[State]
`
`263 SUFFOLK AVE, STATEN ISLAND, NY 10314-6918
`[PropertyAfldtess]
`
`1. B ORROWER'S I’ROMISE TO PAY
`In return for a loan that I have received, Ipromise to pay U.S. $ 32 U , 0 G D . £1 0
`plus interest, to the order of the Lender. The Lender is
`AMERICA‘ 5 WHOLESALE LENDER
`i will make all payments under this Note in the form of cash, check or money order.
`I understand that the Lender may transfer this Note. The Lender or anyone who takes this Note by transfer and who is
`entitled to receive payments under this Note is called the "Note Holder."
`
`(this amount is called "Pnncipal"),
`
`‘
`2. INTEREST
`Interest will be charged on Impaid principal until the full amount of Principal has been paid. I will pay interest at a yearly
`rate of
`6 . 9 9 0 %. The interest rate I will pay may change in accordance with Section 4 of this Note.
`The interest rate required by this Section 2 and Section 4 of this Note is the rate I will pay both before and after any default
`described in Section KB) of this Note.
`
`3. PAYMENTS
`(A) Time and Place of Payments
`.
`day of every month, beginning on DECEMBER 01, 2005
`I will make a payment on the first
`Before the First Principal and Interest Payment Due Date as described in Section 4 of this Note, my payment will consist only of
`the interest due on the unpaid principal balance of this Note. Thereafter, 1 will pay principal and interest by making a payment
`every month as provided below.
`.
`I will make my monthly payments of principal and interest be '
`‘ g on the First Frincipal and Interest Payment Due Date
`as described in Section 4 of this Note. I will make these payments every month until I have paid all of the principal and interest
`and any other charges described below that I may owe under this Note. Each monthly payment will be applied as of its
`scheduled due date, and if the payment includes both principal and interest, it will be applied to interest before Principal. If, on
`NOVEMBER 0 _1 , 2 03 5
`, I still owe amounts under this Note, 1 will pay those amounts in full on that date, which is called
`the "Maturity Date."
`I will make my monthly payments at
`P . O. Box 660 694, Dallas, TX 75266-06 94
`Or at a different place if required by the Note Holder.
`(B) Amount of My Initial Monthly Payments
`before the First Principal and Interest
`My monthly payment will be in the amount of US. 3; l, 8 64 . 00
`Payment Due Date, and thereafter will be in an amount sufficient to repay the principal and interest at the rate determined as
`described in Section 4 of this Note in substantially equal installments by the Mamrity Date. The Note Holder will notify the
`prior to the date of change in monthly payment
`(C) Monthly’ Payment Changes
`Changes in my monthly payment will reflect changes in the tmpaid Principal of my loan and in the interest rate that I must
`pay. The Note Holder will determine my new interest rate and the changed amount of my monthly payment in accordance with
`Section 4 of this Note.
`
`4. INTEREST RATE AND MONTHLY PAYMENT CHANGES
`(A) Change Dates
`day of NOVEMBER, 2 o o 8:
`The interest rate I will pay may change on the first
`every sixth month thereafter. Each date on which my interest rate could change is called a “Change Date."
`
`.
`
`, and on that day
`
`NEW YORK. INTEREST ONLY ADJUSTABLE RATE NOTE « LIBOR INDEX
`0 EC — interest Only ARM Note
`2D975—NY {caramel}
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`(B) The Index
`Beginning with the first Change Date, my interest rate will be based (in an Index. The "Index" is the average of interbank
`offered rates for six-month US. dollar-denominated deposiu; in the London market ("L130 "), as published in The Wall Street
`Journal. The most recent Index figure available as of the date 45 days before the Change Date is called the "Cun‘ent Index.“
`If the index is no longer available, the Note Holder will choose a new index that is based upon comparable information
`The Note Holder will give me notice of this choice.
`(C) Calculation of Changes
`Before each Change Date, the Note Holder will calculate my new interest rate by adding
`FIVE & 9 9 /10 0
`percentage point(s) (
`5 . 9 9 0 %} to the Cement Index. The Note Holder will then
`round the result of this addition to the nearest oneocighth of one percentage point (0.125%). Subject to the limits stated in
`Section 4(D) below, this rounded amount will be my new interest rate until the next Change Date.
`The Note Holder we'll then determine the amomzt of the monthly payment that would be sufficient to repay the unpaid
`principal that I am expected to owe at the Change Date in full on the maturity date at my new interest rate in substantially equal
`payments. The result of this calculation will be the new amount of my monthly payment.
`(D) Limits on Interest Rate Changes
`‘
`8 . 490 % or less than
`The interest rate I am required to pay at the first Change Date will not be greater than
`5 . 990 %. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than
`ONE t ONE—mum
`'
`percentage point(s) (
`1 . 50 o %) from the rate of interest I have been paying for the
`preceding six months. My interest rate will neverbe greater than
`13 . 9 9 o % or less than
`6 . 9 9 0 %.
`(E) Effective Date of Changes
`My new interest rate will become effective on each Change Date. I will pay the amount of my new monthly payment
`beginning on the first monthly payment date after the Change Date until the amount of my monthly payment. changes again.
`(F) Notice of Changes
`The Note Holder will deliver or mail to me a notice of any changes in my 511125th rate and the mount of my monthly
`payment before the effective date of any change. The notice will include information required by law to be given me and also
`the title and telephone number of a person who wfll answer any question I may have regarding the notice.
`.
`(G) Date of First Principal and Interest Payment
`The date of my first payment consisting of both principal and interest on this Note (the "First Principal and Interest
`Payment Due Date") shall be the first monthly payment date after the first Change Date.
`‘
`
`5. BORROWER'S RIGHT TO PREPAY
`I have the right to make payments of Principal at any time before they are due. A payment of principal only is known as a
`"Prepayment." When I make a Prepayment, 1 will tell the Note Holder is visiting that I am doing so. The Note Holder will use
`all of my Prepayments to reduce the amount of Principal that I owe under this Note.
`If I make a partial Prepayment, there will be no changes in the due dates of my monthly payments unless the Note
`Holder agrees in writing to those changes. My partial Prepayment may reduce the amOunt of my monthly payments after the
`first Change Date following my partial Prepayment However,
`I may prepay this Note in full at any fime without penalty.
`Ifwithin the first
`months after the execution of the Note, 1 make any prepayment(s) within any
`12-month period, the total of which exceeds 20 percent (20%) of the original principal amount of this loan. I will pay , a
`prepayment penalty in an amount equal to the payment of six (6) months' advance interest on the amount by which the total of
`my prepaymends) within that 12—month period exceeds 20 percent (20%) of the original principal amount of the loan.
`
`6. LOAN CHARGES
`If a law, which applies to this loan and which sets maximum loan charges, is finally interpreted so that the interest or other
`loan charges collected or to be collected in connection with this loan exceed the pennitted limits, then: (a) any such loan charge
`shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from
`me which exceeded permitted limits will be refunded to me. The Note Holder may choose to make this refund by reducing the
`Principal I owe under this Note or by making a direct payment to me. If a refund reduces Principal, the reduction will be treated
`as a Partial Prepayment.
`
`’T. BORROWER'S FAILURE TO I’AY AS REQUIRED
`(A) Late Charges for Overdue Payments
`calendar
`if the Note Holder has not received the full amount of any monthly payment by the end of FIE‘TBEN
`2 . 0 00 % of my
`days after the date it is due, I will pay a late charge to the Note Holder. The amount of the charge will be
`overdue payment of interest, during the period when my payment is interest only, and of principal and interest thereafter. I will
`pay this late charge promptly but only once on each late payment.
`(B) Default
`Ifl do not pay the full amount of each monthly payment on the dme it is due, I will be in default
`(C) Notice of Default
`If I am in default, the Note Holder may send me a written notice telling me that if I do not pay the overdue amount by a
`certain date, the Note Holder may require me to pay immediately the full amount of Principal which has not been paid and all
`the interest that I owe on that amount. That date must be at least 30 days after the date on which the notice is mailed to me or
`delivered by other means.
`(D) No Waiver by Note Holder
`Even if, at a time when I am in default, the Note Holder does not require me to pay immediately in full as described above,
`the Note Holder will still have the right to do so if E am in default at a later time.
`
`a no- ImamOnlyARM Note
`20975-N‘Y (88193}
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`(E) l’ayment of Note Holder's Costs and Expenses
`If the Note Holder has required me to pay immediately in full as described above, the Note Holder will have the right to be
`paid back by me for all of its costs and expenses in enforcing this Note to the extent not prohibited by applicable law. Those
`expenses include, for example, reasonable attomeys' fees.
`
` LOAN it :
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`8. GIVING 0F NOTICES
`Unless applicable law requires a different method, any notice that must be given to me under this Note will be given by
`delivering it or by mailing it by first class mail to me at the Property Address above or at a different address if I give the Note
`Holder a notice of my different address.
`Any notice that must be given to the Note Holder under this Note will be given by delivering it or by mailing it by first
`class mail to the Note Holder at the address stated in Section 3(A) above or at a different address if I am given a notice of that
`difierent address.
`
`9. OBLIGATIONS OF PERSONS UNDER THIS NOTE
`If more than one person signs this Note, each person is fully and personally obligated to keep all of the promises made in
`this Note, including the promise to pay the full amount owed. Any person who is a guarantor, surety or endorser of this Note is
`also obligated to do these dongs. Any person who takes over these obligations, including the obligations of a guarantor, surety
`or endorse: of this Note, is also obligated to keep all of the promises made in this Note. The Note Holder may enforce its rights
`under this Note against each person individually or against all of us together. 1th means that any one of us may he required to
`pay all of the amounts owed under this Note.
`
`‘
`10. warrants
`l and any other person who has obligations under thi