Fill and Sign the Alabama Note Form

Alabama Unsecured Note PROMISSORY NOTE (Fixed Rate, Installment Payments) Caution -- It is important that you thoroughly read the contr act before you sign it. _____________________________, _______ ______________________ ____________ [Date] [City] [State] __________________________________________________________________________________________ [Property Address] 1. BORROWER’S PROMISE TO PAY In return for a loan that I have received, I promise to pay U.S. $_____________________ (this amount is called “principal”), plus interest, to the order of the Lender. The Lender is _______________________________ _______________________________. I will make all payments under this Note in the form of cash, check, certified funds or money order at the option and direction of Lender. I understand that the Lender may transfe r this Note. The Lender or anyone who takes this Note by transfer and who is entitled to receive payments under t his Note is called the “Note Holder.” 2. INTEREST Interest will be charged on unpaid principal until the full amount of principal has been paid. I w ill pay interest at a yearly rate of _____________________ %. 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 this Note. 3. PAYMENTS (A) Time and Place of Payments I will pay principal and interest by making a payment every month. I will make my m onthly payment on the _________ day of each month beginning on __________________, ______. I will make these payments every month until I have paid all of the principal and interest and any other charges described below t hat I may owe under this Note. Each monthly payment will be applied as of its scheduled due date and will be applied to inter est before principal. If, on _____________________________, ______, I still owe amounts under this Note, I will pay those amounts in full on that date, which is called the “maturity date.” I will make my monthly pay ments at ____________________________________________________________________________________________o r 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. $_____________________________. 4. BORROWER’S RIGHT TO PREPAY {initial desired provision} ___________________ I have the right to make payments of principal at any time before they are due. A pa yment 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 monthly 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 accrued and unpaid interest on the prepayment amount, before applying my prepayment to reduce the principal amount of the Note. If I make a partial prepayment, there will be no changes in the due date or in the amount of my monthly payment unless the Note Alabama Unsecured Note Holder agrees in writing to those changes. ____________________ I shall not have the right to prepay this Note unless I pay a prepayment penalty for early prepayment in the amount determined by the Note Holder, not to exceed the maximum amount allowed by the laws of the state where the property is located. 5. LOAN CHARGES If a law, which applies to this loan and which sets maximum loan charges, is finally interpre ted so that the interest or other loan charges collected or to be collected in connection with this loan e xceed the permitted limits, then: (i) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (ii) 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 m aking a direct payment to me. If a refund reduces principal, the reduction will be treated as a partial pre payment. 6. BORROWER’S FAILURE TO PAY AS REQUIRED (A) Late Charge for Overdue Payments and Receipt of Payments If the Note Holder has not received the full amount of any monthly payment by the end of ___________ {enter days before late charges are due under your State’s laws} calendar days after the da te it is due, I will pay a late charge to the Note Holder. The amount of the charge will be [_____% of m y overdue payment of principal and interest or _____ dollars for each late payment]. I will pay this late char ge promptly but only once on each late payment. In no event will the late charge exceed the maximum amount allowed by the applicable state law. Payments to the note holder shall not be considered made until received by the Note Holder a t the address specified. Mailing is insufficient to constitute delivery to the Note Holder. The number of days required for payment of a late charge shall not be considered as a grac e period for the payment date required under this Note and the Borrower shall be default if the payment is not paid on the due date. (B) Default If I do not pay the full amount of each monthly payment on the date it is due, I will be in def ault. (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 a mount 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 afte r 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 imme diately in full as described above, the Note Holder will still have the right to do so if I am in default at a later time. (E) Payment of Note Holder’s Costs and Expenses If the Note Holder has required me to pay immediately in full as described above, the N ote 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, reason able attorneys’ fees. 7. GIVING OF NOTICES Alabama Unsecured Note 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 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 t he 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 differ ent address. 8. OBLIGATIONS OF PERSONS UNDER THIS NOTE If more than one person signs this Note, each person is fully and personally obligated to keep all o f the promises made in this Note, including the promise to pay the full amount owed. Any person who is a g uarantor, surety or endorser of this Note is also obligated to do these things. Any person who takes over these obligations, in cluding the obligations of a guarantor, surety or endorser of this Note, is also obligated to ke ep all of the promises made in this Note. The Note Holder may enforce its rights under this Note against each person indi vidually or against all of us together. This means that any one of us may be required to pay all of the amounts owed under this Note. 9. WAIVERS I and any other person who has obligations under this Note waive the rights of presentment and notice o f dishonor. “Presentment” means the right to require the Note 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. WITNESS THE HAND (S) AND SEAL (S) OF THE UNDERSIGNED (Seal) __________________________________________ Borrower___ (Seal) __________________________________________ Borrower___ (Seal) __________________________________________ Borrower___ (Seal) __________________________________________ Borrower___