Common use of Payment Reserve Clause in Contracts

Payment Reserve. (a) Contemporaneously with the execution hereof, Mortgagor has established with Mortgagee a reserve in the amount of one installment of the Monthly Payment and deposits for any applicable reserves or escrow accounts required under the terms of this Mortgage or the other Loan Documents as calculated by Mortgagee (the “Payment Reserve”). Mortgagor understands and agrees that, notwithstanding the establishment of the Payment Reserve as herein required, all of the proceeds of the Note have been, and shall be considered, fully disbursed and shall bear interest and be payable on the terms provided therein. No interest on funds contained in the Payment Reserve shall be paid by Mortgagee to Mortgagor.

Payment Reserve. (a) Contemporaneously with the execution hereof, Mortgagor has established with Mortgagee a reserve in the amount equal to [two (2) regular monthly installments of one installment of the Monthly Payment principal, interest and all required deposits for any applicable reserves or escrow accounts required under the terms of this Mortgage or the other Loan Documents impounds] as calculated by Mortgagee (the “"Payment Reserve”"). Mortgagor understands and agrees that, notwithstanding the establishment of the Payment Reserve as herein required, all of the proceeds of the Note have been, and shall be considered, fully disbursed and shall bear interest and be payable on the terms provided therein. No interest on funds contained in the Payment Reserve shall be paid by Mortgagee to Mortgagor.