Common use of Late Charge; Default Interest Clause in Contracts

Late Charge; Default Interest. Borrower recognizes that default by Xxxxxxxx in making the payments herein and in the Deed of Trust when due will result in Lender incurring additional expense in servicing the Loan, in loss to Lender of the use of the money due and in frustration to Lender in meeting its commitments. Xxxxxxxx agrees that, if for any reason Xxxxxxxx fails to pay when due any payment due under this Note, any amount advanced by Lender under the Deed of Trust or the amount due on the Maturity Date, or the accelerated maturity date, whichever shall first occur, Lender shall be entitled to damages for the detriment caused thereby, but that it is extremely difficult and impractical to ascertain the extent of such damages. Xxxxxxxx therefore agrees that a reasonable estimate of such damages to Xxxxxx is as follows: In the event Borrower fails to pay any installment payment of principal and/or interest within fifteen (15) days after the same is due, then Borrower shall pay to Lender an amount equal to five percent (5%) of each such delinquent installment payment of interest or of principal and interest (“Late Charge”). In the event Borrower fails to reimburse Lender for any amount advanced by or for the account of Lender which is due hereunder or under the Deed of Trust within ten (10) days after written notice of such advance is made by Xxxxxx to Borrower, then such unreimbursed amount shall thereafter bear interest at the Default Rate until paid, such interest to be compounded annually (“Default Interest”). In the event the payment of principal and accrued but unpaid interest due on the Maturity Date, or the accelerated maturity date, whichever shall first occur, is not made in full when due, then said unpaid amounts shall thereafter bear interest at the Default Rate, until paid, such interest to be compounded annually.

Late Charge; Default Interest. Borrower recognizes that default by Xxxxxxxx in making the payments herein and in the Deed of Trust when due will result in Lender incurring additional expense in servicing the Loan, in loss to Lender of the use of the money due and in frustration to Lender in meeting its loan commitments. Xxxxxxxx agrees that, if for any reason Xxxxxxxx fails to pay when due any payment due under this Note, any amount advanced by Lender under the Deed of Trust or the amount due on the Maturity Date, or the accelerated maturity date, whichever shall first occur, Lender shall be entitled to damages for the detriment caused thereby, but that it is extremely difficult and impractical to ascertain the extent of such damages. Xxxxxxxx therefore agrees that a reasonable estimate of such damages to Xxxxxx is as follows: In the event Borrower fails to pay any installment payment of principal and/or interest within fifteen ten (1510) days after the same is due, then Borrower shall pay to Lender an amount equal to five percent (5%) of each such delinquent installment payment of interest or of principal and interest (“Late Charge”). In the event Borrower Xxxxxxxx fails to reimburse Lender for any amount advanced by or for the account of Lender which is due hereunder or under the Deed of Trust within ten (10) days after written notice of such advance is made given by Xxxxxx to Borrower, then such unreimbursed amount shall thereafter bear interest at the Default Rate until paid, such interest to be compounded annually monthly (“Default Interest”). In the event the payment of principal and accrued but unpaid interest due on the Maturity Date, or the accelerated maturity date, whichever shall first occur, is not made in full when due, then said unpaid amounts shall thereafter bear interest at the Default Rate, until paid, such interest to be compounded annuallymonthly.