DEED OF REAL ESTATE MORTGAGE

KNOW ALL MEN BY THESE PRESENTS:

This Deed of Real Estate Mortgage made and executed on ________________, in Antipolo City,
Province of Rizal, Philippines, by:

____________________ of legal age, Filipino, married to ___________________, and with

residence and postal address _________________________________________, Philippines
(hereinafter referred to as the MORTGAGOR);

- in favor of -

SME IMPACT CREDIT (SME-ICC) CORP., a corporation duly organized and existing
under Philippine laws, with principal office and business address at 77-C Sumulong
Highway, Barangay Mayamot, Antipolo City, Rizal Province, Philippines, and
represented in this act by its President, JOSE RICO C. COLIGADO (hereinafter referred
to as the MORTGAGEE);

WITNESSETH:

That the MORTGAGOR hereby conveys unto the MORTGAGEE, by way of Real of Real Estate
Mortgage, the following real property, together with all the improvements thereon, located in
____________________, registered under his/her name under Transfer Certificate of Title No. ____________
issued by the Registry of Deeds for the Province/City of _________________, and more particularly
described as follow:

“A parcel of land ___________________________________________________________________

________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________.
x x x x x x, containing and area of ________________ (___) square meters. x x x x x x.”

of which the MORTGAGOR is the lawful and absolute owner thereof.

That this Mortgage is given as security for the full and prompt payment to the MORTGAGEE of
the indebtedness of _______________________, of legal age, Filipino, married to ___________________, and
with residence and postal address at ________________________________________, (hereinafter referred to
as the “BORROWER”) in the principal amount of PESOS: ______________________________
_______________________ (₱_____________), Philippine Currency, together with the interest thereon at the
rate of ______________ per cent (___%) per month and penalty for late payment at the rate of three per
cent (3.0%) per month, payable in _______________ (__) monthly amortizations beginning on
__________________ up to _________________, evidenced by Promissory Note dated _______________
executed by the BORROWER in favor of the MORTGAGEE which is incorporated hereto by reference as
if set forth herein.

That the MORTGAGOR and the MORTGAGEE further agree that the Mortgage herein constituted
shall be subject to the following terms and conditions:

1. Continuing Security. – In the event that the above-mentioned obligation is renewed,

extended, restructured, or increased, or additional loans are granted by the MORTGAGEE to the
BORROWER after the execution of this Deed, this Mortgage shall also stand as security for the
payment of the said renewed/extended/restructured or increased obligation, or additional loans,
without the necessity of executing a new mortgage instrument, and this Mortgage shall have the same
force and effect as if the renewed/extended/restructured/increased obligations, or additional loans
were existing as of the date hereof (hereinafter referred to as the “Secured Obligations”).

2. Fees/Expenses for Preparation & Registration. - All fees and expenses for the preparation,
notarization and registration of this Mortgage, as well as the cost of documentary and stamp taxes due
thereon, shall be paid by the BORROWER.

3. Restriction on Alienation/Alteration of Mortgaged Property. – The MORTGAGOR agrees and

undertakes not to sell, dispose, mortgage, nor encumber in any manner to another person or entity the
Mortgaged Property, nor shall the MORTGAGOR make any alteration upon or demolish any building or
improvement existing on the Mortgaged Property without the prior written consent of the MORTGAGEE.
In case of any violation of this stipulation, then the Secured Obligations shall at once become due and
payable and this Mortgage may be foreclosed by the MORTGAGEE in accordance with Section 9 below,
without prejudice to my liability under existing laws due to such acts.

4. Taxes & Assessments. – The MORTGAGOR undertakes to pay, when due, to the government
the realty taxes and such other special assessments, if any, that may be levied on the Mortgaged

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Property, and shall present to the MORTGAGEE, upon demand, the receipt(s) evidencing such
payment. In case the MORTGAGOR fails to pay such taxes and assessments, the MORTAGEE may, at
its option, pay the same, including the interests and penalties, it being understood that the amount(s)
so paid by the MORTGAGEE shall be reimbursed by the MORTGAGOR with interest at the rate of 12%
per annum. The amount(s) paid or advanced by the MORTGAGEE, including the interests and penalties
thereon, shall likewise be secured by this Mortgage.

5. Repairs & Preservation. - With a view of preserving the condition of the buildings and
improvements covered by this Mortgage, the MORTGAGOR agrees to undertake the necessary repairs
thereon when so required by the MORTGAGEE, and agrees that the MORTGAGEE shall have the right to
inspect, personally or through a representative, the Mortgaged Property from time to time to ascertain
the condition thereof.

6. Insurance. - For as long as the Secured Obligations or any portion thereof shall remain
outstanding, the MORTGAGOR agrees and binds himself/herself: (a) to insure the buildings and
improvements covered by this Mortgage against loss or damage by fire and other natural calamities or
perils, with a reputable insurance company acceptable to the MORTGAGEE, for a sum of not less than
the principal obligation herein secured; and (b) to assign to the MORTGAGEE the insurance proceeds in
case the peril(s) insured against shall occur; and, for such purpose, the MORTGAGOR hereby
authorizes the MORTGAGEE to collect the insurance proceeds and/or settle, compromise or liquidate all
claims pertaining thereto. The MORTGAGOR also agrees to submit to the MORTGAGEE the insurance
policy containing the mortgagee clause whereby the insurance proceeds are assigned to the
MORTGAGEE, together with the official receipt evidencing payment of premium. If the MORTGAGOR
fails to secure the required insurance coverage, the MORTGAGEE is hereby authorized to secure the
same and advance the premium, in which case, the MORTGAGOR hereby undertakes to reimburse the
amount so advanced plus interest at the rate of 12% per annum from the date the advance was made
until fully paid. This obligation or advance shall also be secured by this Mortgage.

7. Expropriation. – The MORTGAGOR undertakes that he/she shall commit no waste upon the
Mortgaged Property and shall suffer no part thereof to be expropriated by the government or other
entity without applying the entire proceeds or so much thereof as may be necessary to the liquidation
of the obligations herein secured. The MORTGAGOR shall, therefore, remit to the MORTGAGEE the
compensation received or so much thereof as may be sufficient to satisfy the obligation herein secured
not later than thirty (30) days from receipt thereof. In case of delay, a penalty at the rate of 24% per
annum shall be imposed.

8. Breach or Default. – In the event that the BORROWER fails to pay the Secured Obligations or
any portion thereof, when due, the same shall be sufficient ground for the immediate foreclosure of
this Mortgage by the MORTGAGEE to recover the whole amount then remaining unpaid and
outstanding.

9. Foreclosure. – In case of foreclosure, the MORTGAGEE may elect to proceed judicially or

extra-judicially under Act 3135, as amended by Act 4118. For the purpose of extra-judicial foreclosure,
the MORTGAGOR hereby appoints the MORTGAGEE as his/her attorney-in-fact with full powers to,
among others: (a) take possession of the Mortgaged Property; (b) collect the fruits and rents
therefrom; (c) sell the mortgaged property at public auction for the satisfaction of all the obligations
secured by this mortgage, including reasonable attorney’s fees in an amount equivalent to twenty per
cent (20%) of all such obligations as may then be due and outstanding apart from the costs and legal
expenses prescribed by law; (d) sign all pertinent documents and perform any act requisite and
necessary to accomplish said purpose; and (e) appoint its substitute/s as such attorney-in-fact with the
same powers as above specified.

In case of judicial foreclosure, the MORTGAGEE or any of its employees or agents shall be
appointed as receiver without bond to take charge of the Mortgaged Property at once, and to hold
possession of the same and the rents and profits derived therefrom before the sale, less the costs of
the receivership, and to exercise such other powers appertaining to such position. The MORTGAGOR
further agrees that the expenses of collection and attorney's fees, which shall be equivalent to twenty
per cent (20%) of the total indebtedness then unpaid, shall be paid to the MORTGAGEE out of any
sums realized as rents and profits derived from the Mortgaged Property or from the proceeds realized
from the sale of the Mortgaged Property and that this Mortgage shall likewise stand as security
therefor.

10. Bidder at Auction Sale. – The MORTGAGOR hereby agrees that the MORTGAGEE may
participate as bidder at the auction sale of the Mortgaged Property, whether under judicial foreclosure
proceedings or under the special power of sale herein provided or otherwise.

11. Application of Proceeds of Foreclosure/Auction Sale. - The proceeds of the foreclosure sale
of the Mortgaged Property shall be applied by the MORTGAGEE in the following order:

a. Expenses and costs of foreclosure (filing fee for petition, cost of publication, sheriff’s fees,
etc.):
b. Attorney’s Fees;

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 c. Advances made by the Lender-Mortgagee for realty taxes, insurance premiums, repairs,
preservation and improvements, etc. on the mortgaged property plus interest thereon, if
any;
d. Penalties;
e. Interests;
f. Principal; and
g. The residue, if any, to be turned over to the MORTGAGOR.

12. Additional Remedy. - The remedy of the MORTGAGEE under the special power of sale as
herein conferred upon it shall be in addition to and cumulative with such right of action as the
MORTGAGEE may have in accordance with the present and future laws of the Philippines.

13. Discharge of Mortgage. – It is the principal condition of this Mortgage that if the
BORROWER shall fully pay or cause to be paid to the MORTGAGEE the obligations secured by this
Mortgage, together with the interest and penalties thereon and other obligations arising thereunder,
then this Mortgage shall become null and void; otherwise, it shall remain in full force and effect and be
enforceable in the manner provided by law.

IN WITNESS WHEREOF, the parties hereby affix their signatures at the place and on the date
first above written.
With my marital consent:

____________________ _____________________
Mortgagor Legal Spouse of Mortgagor

SME IMPACT CREDIT (SME-ICC) CORP.

Mortgagee
By:

JOSE RICO C. COLIGADO

President

SIGNED IN THE PRESENCE OF:

_________________________ _________________________
(Complete Name & Signature) (Complete Name &
Signature)

NOTARIAL ACKNOWLEDGMENT
REPUBLIC OF THE PHILIPPINES )
ANTIPOLO CITY, RIZAL PROVINCE) SS.

BEFORE ME, a Notary Public for and in the above-stated jurisdiction, personally appeared on
__________________, the following persons showing their respective Valid Identification whereon their
picture and signature appear:

Name Valid Identification

JOSE RICO C. COLIGADO, in his capacity as
President of SME Impact Credit Corp.

____________________

known to me and to me known to be the same persons who executed the foregoing instrument and
they acknowledged to me that the same is their free and voluntary act and deed and of the
corporation being represented. This instrument, referring to a Deed of Real Estate Mortgage, contains
three (3) pages, including this page whereon the acknowledgment is written, and has been signed on
each and every page thereof by the parties and their witnesses.

WITNESS MY HAND AND SEAL on the date and place first above written.

Doc. No. _____;

Page No. _____;
Book No. _____;
Series of ______.