Home | Site Map

Member FDIC

Copyright 2008

1. By accepting, using or accessing any advance proceeds under this Open-end Plan, and to secure payment under this Plan and all expenditures incurred by the institution in connection with this Plan, or in realizing on a security interest: I grant a security interest to Atlantic Coast in (1) all goods, property, or other items purchased under this plan or with my credit card either now or in the future; (2) in any collateral described in any Advance Receipt; and (3) in any other collateral given now or at the time of any future advance, or at any other time in connection with the Open-end Plan. The security interest includes all increases, substitutions and additions to the secured property, proceeds from any insurance on the secured property and all earnings received from the secured property.

Cross-collateralization: Property given as security for this loan or for any other loan will secure all amounts I owe the institution now and in the future. However, property securing another debt will not secure this loan if such property is a dwelling used by me as a residence or are household goods.

2. I will not change the location of, sell or transfer the collateral unless I have your prior written consent.
3. I warrant that I have good title to the collateral, free of all security interests except that given to the institution and except for any interest of a non-co-maker owner of the collateral.
4. I will pay all taxes, assessments, and liens against or attached to the property described, and further agree to keep the property in good condition and housed in a suitable shelter. I agree to execute financing statements and security agreement amendments at your request and will defend the property against adverse third party claims.
5. I will maintain insurance to cover any vehicle or other property in which you have a security interest. This insurance will be in a form and an amount satisfactory to you. I will supply you with proof of such insurance until all sums owed to you and secured by this property are repaid. If I fail to maintain such insurance, you may, but are not required to, obtain insurance of your own and add the cost of such to the sums owed. This cost will bear interest at the contract rate until paid. I further assign to you the right to receive the proceeds of any insurance on such property, and direct any insurer to pay those proceeds directly to you. I authorize you to endorse any check or draft provided as the proceeds of such insurance, and apply those proceeds to the sums owed to you.

I further authorize you to provide your Insurance Service Center with the necessary information for verification of adequate coverage. I acknowledge that insurance, or any extension thereof, placed by you is without benefit to me individuals but is primarily for the protection of you.

6. You may meet all requirements for sending me a notice of any kind if you send it to me by means of United States mail, at my last given address.
7. Any additional advances made to me for the payment of taxes or assessments or liens of any kind, or premiums on authorized insurance and the interest owing thereon, shall also be secured by this agreement.
8. If a default as defined in the credit agreement should occur, you have the authority, upon such default, to repossess and sell the collateral in a lawful manner. In such cases, you or your authorized representatives may, at your option, enter the premises where the collateral is kept and take possession, subject to applicable laws. You have the right to render the property pledged as collateral unusable and dispose of the collateral on the premises where the collateral is kept. If you decide to sell the collateral at a public sale, private sale or otherwise dispose of the collateral, you will notify me of the time and place of the intended disposition ten (10) days prior to the sale or disposition. If you sell or otherwise dispose of the collateral you may collect from me reasonable expenses incurred in the retaking, holding and preparing the collateral for and arranging the sale of the collateral. You may also collect reasonable attorney's fees and legal expenses, permitted by applicable law, incurred in connection with disposition a the property. Unless I default, I may keep possession of the property (collateral) described and use it in any lawful manner consistent with this agreement or with the insurance policy on the collateral. I understand that you have certain rights and legal remedies available to you under the Uniform Commercial Code and other applications and that you may use these rights to enforce payment if I default. In that event, I will at your request assemble the property (collateral) and make it available to you at a place of your choosing. If you decide to waive this default, it will not constitute a waiver of any other subsequent defaults.
9. You are hereby appointed as my Attorney-in-Fact to perform any acts which you feel are necessary to protect the collateral and the security interest which this agreement creates.
10. If there is more than one Borrower, our obligations under this agreement are joint and several, each being equally responsible to fulfill the terms of the agreement.
11. This security agreement not only binds me, but my executors, administrators, heirs and assigns.
12. Should you feel at any time that the security presented has diminished in value, or for any other reason feel that additional security is required, I agree to assign to you within ten (1O) days whatever additional security you feel is necessary to protect yourself against possible loss.
13. My signing and endorsing any checks or drafts issued under this agreement, or otherwise using, accessing, or accepting any advance proceeds, shows my acceptance of its terms and conditions.