IN THE UNITED STATES BANKRUPTCY COURT

EASTERN DISTRICT OF VIRGINIA

Richmond Division

In re: Michelle D. Hawkins

Debtor

Case No. 17-31327-KRH

Chapter 13

EXHIBIT TO MOTION FOR AUTHORITY TO MODIFY EXISTING MORTGAGE

Pursuant to Richmond Division General Order 12-1, Debtor, by counsel, hereby 

submits the attached fully executed Loan Modification Agreement as an Exhibit to the 

previously filed Motion for Authority to Modify Existing Mortgage. 

Respectfully submitted,

MICHELLE D. HAWKINS

By Counsel:

/s/ Daniel J. Webster

Daniel J. Webster (VSB# 92593) 

Boleman Law Firm, P.C. 

P. O. Box 11588 

Richmond, Virginia 23230-1588 

Telephone (804) 358-9900 

Counsel for Debtor 

Case 17-31327-KRH Doc 39 Filed 11/19/18 Entered 11/19/18 16:03:13 Desc Main

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Collateral Address: 5907 AMHERST ST, RICHMOND VA 23231-4009

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This Loan Modification Agreement ("Agreement"), made this 11th day of July, 2018, between HAWKINS,

MICHELLE ("Borrower") and Seterus, Inc. ("Servicer") Loan Servicer for Federal National Mortgage Association

("Lender"}, amends and supplements (1) the Mortgage, Deed of Trust, or Security Deed (the "Security

Instrument"), and Timely Payment Rewards Rider, if any, dated April 25, 2008, of the County Records of

Henrico and (2) the Note, bearing the same date as, and secured by, the Security Instrument, which covers the

real and personal property described in the Security Instrument and defined therein as the "Property," located

at

5907 AMHERST ST, RICHMOND VA 23231-4009

In consideration of the mutual promises and agreements exchanged, the parties hereto agree as follows

(notwithstanding anything to the contrary contained in the Note or Security Instrument):

1. As of August 01, 2018, the amount payable under the Note and the Security Instrument (the "New

Principal Balance") is U.S. $144,027.13 consisting of the unpaid amounts) loaned to Borrower by Lender

plus any interest and other amounts capitalized.

2. $23,627.13 of the New Principal Balance shall be deferred (the "Deferred Principal Balance") and Borrower

will not pay interest or make monthly payments on this amount. The New Principal Balance less the

Deferred Principal Balance shall be referred to as the "Interest Bearing Principal Balance" and this amount

is $120,400,00. Interest will be charged on the Interest Bearing Principal Balance at the yearly rate of

3.875%, from July 01, 2018. Borrower promises to male monthly payments of principal and interest of U.S.

$493.88, beginning on the 1st day of August, 2018, and continuing thereafter on the same day of each

succeeding month until the Interest Bearing Principal Balance and all accrued interest thereon have been

paid in full. The yearly rate of 3.875% will remain in effect until the Interest Bearing Principal Balance and

all accrued interest thereon have been paid in full, The new Maturity Date will be July 01, 2058.

3. Borrower agrees to pay in full the Deferred Principal Balance and any other amounts still owed under the

Note and Security Instrument by the earliest of: (i) the date Borrower sells or transfers an interest in the

Property, (ii) the date Borrower pays the entire {nterest Bearing Principal Balance, or (iii) the new Maturity

Date.

4. If Borrower males a partial prepayment of Principal, the Servicer may apply that partial prepayment first

to any Deferred Principal Balance before applying such partial prepayment to other amounts due.

5. In addition to the regularly scheduled payments that Borrower is required to pay under the Modification

Agreement, Borrower agrees to pay Servicer an escrow payment in the amount of $124.80 for deposit into

an escrow account for necessary payments to be made by Servicer, including but not limited to, payments

for property taxes and insurance. As permitted by the Real Estate Settlement Procedures Act and other

applicable law, Servicer may adjust the amount of the Escrow Payment, After notice of such adjustment,

Borrower shall pay the adjusted Escrow Payment. This includes private mortgage insurance (PMI)

premiums on the Loan, if applicable, and may increase as a result of the New Principal Balance, which will

result in a higher total monthly payment.

(a) Each Escrow Payment shall be due on the same days) of the month as the regularly

scheduled payments due under the Modification, commencing August 01, 2018.

(b) In the event Escrow Payments are not made and Servicer advances its own funds to make

payments that should have been paid from Borrower's escrow account, such amounts will be

added to Borrower's loan obligation under the Note.

HAWKINS, MICHELLE 

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(c) Any failure to make an Escrow Payment when due shall be deemed to be a default under the

Note and Modification Agreement and upon Borrower's failure to pay the Escrow Payment,

Servicer may exercise its rights under the Note and Modification Agreement.

(d) Unless an agreement is made in writing or applicable law requires interest to be paid on the

escrow account payments held by Servicer, Servicer shall not be required to pay any interest

or earnings on the payments held.

6. 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 the Security Instrument.

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 delivered or mailed within which Borrower must

pay all sums secured by the Security Instrument. If Borrower fails to pay these sums prior to the expiration

of this period, Lender may invoke any remedies permitted by the Security Instrument without further

notice or demand on Borrower.

7. Borrower will pay to Lender on the day payments are due under the Loan Documents as amended by this

Agreement, until the Loan 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 the Mortgage 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 the Loan Documents; (d) mortgage insurance

premiums, if any, or any sums payable to Lender in lieu of the payment of mortgage insurance premiums

i n accordance with the Loan Documents; and (e) any community association dues, fees, and assessments

that Lender requires to be escrowed. These items are called "Escrow Items," Borrower shall promptly

furnish to Lender all notices of amounts to be paid under this paragraph. Borrower shall pay Lender the

Funds for Escrow Items unless Lender 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. Any such waiver may only be in writing. In the event 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 require. Borrower's obligation to male such payments and to provide

receipts shall for all purposes be deemed to be a covenant and agreement contained in the Loan

Documents, as the phrase "covenant and agreement" is used in the Loan Documents. 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, Lender may exercise its rights under the Loan Documents and this Agreement and pay

such amount and Borrower shall then be obligated to repay to Lender any such amount. Lender may

revoke the waiver as to any or all Escrow Items at any time by a notice given in accordance with the Loan

Documents, and, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that

are then required under this paragraph.

Lender may, at any time, collect and hold Funds in an amount (a) sufficient to permit Lender to apply the

Funds at the time specified under the Real Estate Settlement Procedures Act ("RESPA"), and (b) not to

exceed the maximum amount a lender can require under RESPA. Lender shall estimate the amount of

Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or

otherwise in accordance with applicable law.

The Funds shall be held in an institution whose deposits are insured by a federal agency, instrumentality,

or entity (including Lender, if Lender is an institution whose deposits are so insured) or in any Federal

Home Loan Banl<. Lender shall apply the Funds to pay the Escrow Items no later than the time specified

under RESPA. Lender shall not charge Borrower for holding and applying the Funds, annually analyzing the

escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds and

HAWKINS, MICHELLE 

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applicable law permits Lender to make such a charge, Unless an agreement is made in writing or applicable

l aw requires interest to be paid on the Funds, Lender shall not be required to pay Borrower any interest or

earnings on the Funds, Lender and Borrower can agree in writing, however, that interest shall be paid on

the Funds. Lender shall provide Borrower, without charge, an 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 shortage in accordance with RESPA, but in no more than 12 monthly payments.

If there is a deficiency 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 deficiency in

accordance with RESPA, but in no more than 12 monthly payments.

Upon payment in full of all sums secured by the Loan Documents, Lender shall promptly refund to

Borrower any Funds held by Lender.

8. Borrower also will comply with all other covenants, agreements, and requirements of the Security

I nstrument, including without limitation, Borrower's covenants and agreements to make all payments of

taxes, insurance premiums, assessments, escrow items, impounds, and all other payments that Borrower is

obligated to make under the Security Instrument; however, the following terms and provisions are forever

canceled, null and void, as of the date specified in paragraph 1 above:

(a) All terms and provisions of the Note and Security Instrument (if any) providing for, implementing, or

relating to, any change or adjustment in the rate of interest payable under the Note, including, where

applicable, the Timely Payment Rewards rate reduction, as described in paragraph 1 of the Timely

Payment Rewards Addendum to Note and paragraph A.1. of the Timely Payment Rewards Rider. By

executing this Agreement, Borrower waives any Timely Payment Rewards rate reduction to which

Borrower may have otherwise been entitled; and

(b) All terms and provisions of any adjustable rate rider, or Timely Payment Rewards Rider, where

applicable, or other instrument or document that is affixed to, wholly or partially incorporated into, or

is part of, the Note or Security Instrument and that contains any such terms and provisions as those

referred to in (a) above.

9. Borrower understands and agrees that:

(a) If Borrower has failed to make any payments as a precondition to this modification under a

workout plan or trial period plan, this modification will be null and void.

(b) All the rights and remedies, stipulations, and conditions contained in the Security Instrument relating

to default in the making of payments under the Security Instrument shall also apply to default in the

making of the modified payments hereunder.

(c) All covenants, agreements, stipulations, and conditions in the Note and Security Instrument shall be

and remain in full force and effect, except as herein modified, and none of the Borrower's obligations

or liabilities under the Note and Security Instrument shall be diminished or released by any provisions

hereof, nor shall this Agreement in any way impair, diminish, or affect any of Lender's rights under or

remedies on the Note and Security Instrument, whether such rights or remedies arise thereunder or

by operation of law. Also, all rights of recourse to which Lender is presently entitled against any

property or any other persons in any way obligated for, or liable on, the Note and Security Instrument

are expressly reserved by Lender.

(d) Nothing in this Agreement shall be understood or construed to be a satisfaction or release in whole or

i n part of the Note and Security Instrument,

(e) All administration and processing costs incurred by Servicer in connection with this Agreement, such

as required notary fees, recordation fees, title costs, and property valuation fees, shall be paid by the

Servicer, unless otherwise stipulated.

HAWKINS,MICHELLE 

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(fj Borrower will make and execute such other documents or papers as may be necessary or required to

effectuate the terms and conditions of this Agreement, which, if approved and accepted by Lender,

shall bind and inure to the heirs, executors, administrators, and assigns of the Borrower.

(g) Borrower will execute other documents as may be reasonably necessary to correct an error (including

but not limited to any inaccuracy, mistake, or omission), if an error is detected after execution of this

Agreement. In the event an error is detected, a corrected Agreement will be provided to Borrower,

and this Agreement will be void and of no legal effect, upon notice of such error. If Borrower elects

not to sign any such corrected Agreement, the terms of the original Note and Security Instrument shall

continue in full force and effect, and such terms will not be modified by this Agreement.

10. Notwithstanding anything to the contrary contained in this Agreement, Borrower and Lender acknowledge

the effect of a discharge in bankruptcy that has been granted to Borrower prior to the execution of this

Agreement, and that Lender may not pursue Borrower for personal liability. However, Borrower

acknowledges that Lender retains certain rights, including but not limited to the right to foreclose its lien,

evidenced by the Security Instrument, under appropriate circumstances. The parties agree that the

consideration for this Agreement is Lender's forbearance from presently exercising its rights and pursuing

its remedies under the Security Instrument as a result of Borrower's default thereunder. Nothing in this

Agreement shall be construed to bean attempt to collect against Borrower personally or an attempt to

revive personal liability.

11. Notwithstanding anything to the contrary contained in this Agreement, if Borrower obtains a discharge of

the debt in bankruptcy in the future, nothing in this Agreement shall be construed as an attempt to collect

against Borrower personally or an attempt to revive personal liability.

12. By this paragraph, Lender is notifying Borrower that any prior waiver by Lender of Borrower's obligation to

pay to Lender Funds for any or all Escrow Items is hereby revoked, and Borrower has been advised of the

amount needed to fully fund the Escrow Items.

13. Any and all attorneys fees and legal costs incurred by Borrower or its representatives, with respect to this

loan, will be the sole responsibility of the Borrower.

14. in the event of future default, Borrower authorizes Lender and Lender's successors and assigns, to share

certain Borrower public and non-public personal information including, but not limited to (i) name,

address, telephone number, (ii) Social Security Number, (iii) credit score, (iv) income, and (v) payment

history and information about Borrower's account balances and activity, with an authorized third party,

which may include, but is not limited to, a counseling agency, state or local Housing Finance Agency, or

similar entity that is assisting Borrower in connection with obtaining financial assistance, including the Trial

Period Plan to modify Borrower's loan ("Authorized Third Party").

Borrower understands and consents to Lender or Authorized Third Party, as well as Fannie Mae (the owner

of Borrower's loan), disclosing such personal information and the terms of any relief, including the terms

of the Trial Period Plan to modify Borrower's loan, to any insurer, guarantor, or servicer that insures,

guarantees, or services Borrower's loan or any other mortgage loan secured by the Property on which

Borrower is obligated, or to any companies that perform support services to them in connection with the

loan or any other mortgage loan secured by the Property on which Borrower is obligated.

Borrower consents to being contacted by Fannie Mae, Lender, or Authorized Third Party concerning

mortgage assistance relating to Borrower's loan including the Trial Period Plan to modify Borrower's loan,

at any telephone number, including mobile telephone number, or email address Borrower has provided to

Lender or Authorized Third Party.

HAWKINS, MICHELLE 

LOAN MODIFICATION AGREEMENT Page 4 of 5

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+ a 8

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I n Witness Whereof, the Servicer and I have executed this Agreement.

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Seterus, Inc. Authorized Signer

HAWKINS, MICHELLE

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Date

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HAWKINS, MICHELLE 

LOAN MODIFICATION AGREEMENT Page 5 of 5

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