Centreville Road Suite Centreville Virginia Loan Originator Employment and Compensation

6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Loan Originator Employment and Compensation Agreement THIS AGREEMENT is made between CARTERET MORTGAGE CORPORATION (herein called “Employer”) and _____________________________________ (herein called “Employee”). WHEREAS, Employer is in the business of mortgage brokerage/lending and/or banking, and desires to hire Employee to originate real estate trust deeds and/or mortgage loans, and WHEREAS, Employee’s compensation is determined primarily by way of commissions computed on the dollar amount of loans originated and closed due to Employee’s individual effort, and WHEREAS, Employer and Employee desire to have an employment agreement directly specifying compensation and termination agreements, and WHEREAS, Employee is ready, willing, and able to work for Employer as a loan originator, NOW, THEREFORE, Employer and Employee in consideration for the mutual covenants and agreements contained herein and other good and valuable consideration and intending to be legally bond hereby, agree as follows: I. EMPLOYMENT Employer hereby hires Employee and Employee hereby accepts employment as a loan originator under the terms of this agreement commencing on _______ day of _____________, 20_____ and continuing until terminated as provided in this agreement. Please Note: Although you have a executed this employment agreement, the effective date of employment is when receive your “Welcome Letter” and been given access to the employer website. Originating loans prior to this effective date is prohibited. II. DUTIES a) Employee agrees to devote full attention and energy to the position of loan originator subject to the direction and control of Employer and shall utilize best efforts in representation of this position and solicitation of clients for Employer. b) Employee is employed as an originator to originate real estate trust deeds and/or mortgages in the following territory designated by Employer: 1. In all States where the branch and/or Loan Originator is legally licensed. 2. As stated in §II.b.1, unless specifically prohibited by State Regulation or Employer. c) Employee agrees not to engage in the sale of, or representation of any other competing products or services while representing Employer, including the origination of real estate trust deeds and/or mortgages for any other mortgage banker and/or broker. Revised 9.28.2005.sb CMC-122 Page 1 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 d) Employee, at all times, will comply with the rules, regulations, laws and ethics of Employer, mortgage banking industry (including brokering), investors, local jurisdictions and state and federal requirements. Any discovery of fraud, misrepresentation, or any other illegal activity by the loan officer is grounds for immediate dismissal, fines, and other sanctions. III. COMPENSATION In order to ensure that Carteret Mortgage Corporation remains compliant with evolving state Anti-Net Branching laws and HUD Mortgage Letter 00-15, Carteret is hereby providing written notice with respect to a change in its existing commission structure. For services rendered by employee under this agreement, employer shall pay employee compensation on loans originated by employee as follows: a) COMMISSIONS – Employees shall receive a credit to their BRANCH RECONCILIATION of 70 percent of the adjusted gross income received by the employer on each closed loan originated by the employee. The adjusted gross income is defined as the gross income minus the Carteret processing fee, any third party fees, unallowable fees charged to borrowers, credit or refunds to the borrower, and other similar charges. Branch expenses including, but not limited to, credit reports, appraisals, office expenses, utilities, rent, etc. will be deducted from adjusted gross income to determine the net profitability of the branch or individual employee. W-2 wages will be paid based upon this net branch profitability. Any changes to the commission structure must be approved in writing by the employer. Any revisions to the Carteret commission structure will apply only to new loan applications received on or after the revision approval date. b) COMMISSIONS will be deemed earned when the loan closes, fee income has been received and are in clear funds, and all appropriate post closing documentation has been properly executed, received, and found acceptable pursuant to all employer policies and procedures as well as local, state and federal laws regulating the mortgage industry. IMPORTANT: No commissions will be paid to Employee unless all disclosures and post-closing documents are properly in file. If a loan has been originated improperly, according to State and or Federal requirements, the employer reserves the right to refund all fees to the applicant or borrower and the employee is prohibited from attempting to recover or receive any funds from the applicant/borrower. c) If the employee causes the employer to pay out funds to a third party based on a legitimate complaint that could have been avoided by the employee, the employer reserves the right to charge back the employee and mentor for the costs incurred. IV. LICENSING RESTRICTION AND USE a) All Employees are W-2 Employees of Carteret Mortgage Corporation and in accordance with State Regulation cannot be employed simultaneously by any other licensed or unlicensed mortgage broker, banker, or lender. Co-brokering loans is also strictly prohibited. Revised 9.28.2005.sb CMC-122 Page 2 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 b) Federal Regulation for FHA (Federal Housing Authority) and VA (Veterans Affairs Administration) loan originations require the employees offering those loan types must be exclusive employees of the approved lender and cannot be engaged in any real estate related activity at any time. 1. Employees required by some State Licensing Regulations to obtain a realtor’s license will not be in violation of either Federal or State Regulation, provided realtor activities are limited to properties personally sold or purchased. 2. Branch managers of offices offering FHA and VA loans may only be managers of one office. c) Employees shall display licenses in their office locations as required by State regulation. e) Branch licenses are the property of Carteret Mortgage Corporation and ultimately the State for which the license is issued. Branch licenses must be surrendered upon the request of Employer and/or the State. Any compensation due the loan officer will be withheld until the licenses and other required items are returned and accepted by the employer. V. TERMINATION a) AUTOMATIC TERMINATION: This agreement shall automatically terminate upon the occurrence of any or all of the following events: 1. Death of Employee 2. Loss of legal capacity by Employee 3. Termination of employment 4. Occurrence of Fraud by Employee. Should Employer discover an instance of Employee knowingly and purposely committing fraud, Employee agrees all commissions owed by Employer to Employee are forfeited. b) WITH CAUSE: If Employee willfully breaches or habitually neglects the duties required to be performed under the terms of this agreement, Employer may, at its option, terminate this agreement by giving notice of termination to Employee, without prejudice to any other remedy to which Employer may be entitled, either at law, in equity, or under this agreement. By signing this contract, Employee agrees that violation of §II.c of this agreement will result in forfeiture of the last 30 days of commissions. c) WITHOUT CAUSE: This agreement may be terminated without cause, by either party, by giving notice of termination to the other party. Termination by Employee must be in writing and addressed to your MENTOR and to Carteret Mortgage Corporation’s headquarters, located at 6211 Centreville Road Suite 800 Centreville, VA 20121. VI. COMPENSATION ON TERMINATION Revised 9.28.2005.sb CMC-122 Page 3 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 a) In the event of termination of this agreement for any reason, employee may receive, with employer’s approval, compensation after the date of termination as follows: 1. Employee will be entitled to compensation as determined under §III for loans closed and presented for payment within sixty (60) days after termination, pursuant to §II .b. Loans originated after the termination date are not eligible for compensation to the employee. b) Payment of any compensation will be made in a lump sum on the first regularly scheduled commission pay date, but not later than sixty (60) days after termination. The lump sum payment will be reduced by the sum of any/all of the following prior to termination: 1. Un-reimbursed draws 2. Uncollected fees 3. Credit report and appraisal fees 4. Prepaid commitment fees 5. Required discount points 6. Loan closing escrows 7. Losses or potential losses based on fraud or representation on the part of the employee. c) Employee agrees to fully cooperate with Employer to bring all originated loans to settlement. In the event Employee does not cooperate, Employee shall not be entitled to full compensation due on the loan. d) Employer reserves the right to withhold commission payments if there is evidence of unresolved complaints against the employee. VII. TRADE SECRETS a) Employee acknowledges that loan programs, customer and investor lists and documentation used and developed by the Employer for its loan programs are valuable trade secrets of Employer. The loan programs, customer and investor lists and documents have been developed through the expenditure of substantial time, effort, and money which Employer wishes to maintain in confidence and withhold disclosure thereof to other parties. b) Employee hereby agrees that any information, knowledge and factual data related to loan programs, customer and investor lists and documentation which may be given to Employee by Employer at any time will not be communicated to any third party, except Employees of Employer for use in performance of duties. VIII. BOOKS AND RECORDS The following shall be deemed the exclusive property of Employer and surrendered to Employer upon termination of this contract: 1. Records of customer accounts 2. Records of a business nature pertaining to Employer 3. Books relating to Employer customers Revised 9.28.2005.sb CMC-122 Page 4 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 4. Any equipment provided by Employer in the course of business 5. Papers and documentation whether prepared by the Employee or coming into the Employee’s possession or control during employment. 6. Licenses received because of employment with employer. IX. INSURANCE Employee agrees to maintain a minimum of FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) combined single liability limit auto insurance for body or property damage. X. AFFILIATES OF EMPLOYER Recognizing that Employer may conduct its business at various times under one or more different entities, Employee agrees that the provisions of this agreement shall be for the benefit of and may be enforced by Employer and any of Employer’s present or future affiliates as designated by Employer. XI. EMPLOYER’S OBLIGATION TO ACCEPT LOANS No provision of this agreement shall be deemed to obligate Employer to accept any loan application or to close any loans. XII. PROGRAM REVIEW AND AMENDMENT Employer reserves the right from time to time, by written notice to Employee to change any of the terms and conditions of this agreement. Except for the foregoing provision, no change, alteration, amendment, modification or waiver of any of the terms or provisions hereof shall be valid unless the same shall be in writing and signed by all parties hereto. XIII. SEVERABILITY In the event any provision of this agreement shall be held to be illegal, unenforceable or inoperative, as a matter if applicable law, the remaining provisions, hereof, to the extent legal shall remain in full force and effect. XIV. BRANCH OFFICE EXPENSE a) All expenses of commercial offices will be paid by Employer from branch revenues. These include the following: 1. Office Rental 2. Utilities 3. Telephone 4. Major office equipment Major Equipment purchases require prior corporate approval Revised 9.28.2005.sb CMC-122 Page 5 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 b) If for some legal or monetary reason the office rental or lease agreement and or other office services cannot be placed in Employer’s name, the billing for those services will be submitted to and paid by Employer. XV. ENTIRE AGREEMENT This agreement embodies the entire agreement between all parties. XVI. CONSTRUCTION OF AGREEMENT This agreement shall be construed and enforced in accordance with the laws of the State of Virginia. XVII. CAPTIONS The captions contained herein are inserted only for the purpose of convenient reference and in no way define, limit or describe the scope or intent of this agreement or any party hereof. XVIII. ASSIGNMENT AND BINDING EFFECT Employee shall not have the right to assign any or all interest it may have in this agreement. Otherwise, the terms of this agreement shall inure to the benefit of and shall be binding upon the heirs, administrators, successors, and assigns of all parties hereto. XIX. AGREEMENT NOT TO COMPETE IT IS HEREBY MUTUALLY AGREED, and Employee acknowledges that, the systems and procedures developed by Employer for its branches are valuable trade secrets of Employer: a) The systems and procedures have been developed through the expenditure of substantial time, effort, and money, which the Employer wishes to maintain in confidence and withhold disclosure to other persons. b) Employee hereby agrees that any information, knowledge and factual data relating to said systems and procedures will not be communicated to any third party, except Employees of Employer for their use in performance of duties. Further: IT IS HEREBY MUTUALLY AGREED and Employee acknowledges said systems and procedures are of valuable consideration which benefit the Employee, consideration of which is acknowledged by all parties to be the sum of TWELVE THOUSAND DOLLARS ($12,000.00). Revised 9.28.2005.sb CMC-122 Page 6 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 NOW THEREFORE, IT IS AGREED that for the above said consideration, Employee agrees not to open, create, incorporate or become an ultimate equity owner of FIVE PERCENT (5%) or more of a company which would engage in the sale of, or representation of any other competing products or services representing Employer, including the origination of trust deeds and/or mortgages for any other mortgage banker or broker, within a period of at least one (1) year from the date of mutually acknowledged written termination or resignation, from Employer. a) Employee agrees to reimburse Employer for any and all expenses incurred, including but not limited to legal fees and court costs, should Employer be forced to litigate this employment contract in order to enforce it. b) Employer, however, will consider waiving §19 once Employee has generated no less than ONE HUNDRED THOUSAND DOLLARS ($100,000.00) in gross fee as an Employee of Carteret Mortgage Corporation. Revised 9.28.2005.sb CMC-122 Page 7 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 THE FOLLOWING HEALTH INSURANCE INFORMATION IS MANDATORY. COMPLETE THIS SECTION WHETHER YOU WANT OR HAVE HEALTH INSURANCE OR NOT. Full Legal Name: _________________________________________________________ Home Address: ___________________________________________________________ City: ___________________________________________________________________ State: __________________________________________________________________ Zip: ____________________________________________________________________ Date of Birth: ____________________________________________________________ Date of Hire: ____________________________________________________________ Home Phone: ____________________________________________________________ Office Phone: ____________________________________________________________ Cell Phone: ______________________________________________________________ Email: __________________________________________________________________ Fax: ___________________________________________________________________ Dependent Information (enter only those dependents that may be covered on your insurance): Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Full Legal Name: _________________________________________________________ Date of Birth: ____________________________________________________________ Relationship: ____________________________________________________________ Current Health Insurance Coverage Information: Revised 9.28.2005.sb CMC-122 Page 8 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Health Insurance Company (enter company name or “NONE”): ____________________ _______________________________________________________________________ Are you currently under a group plan? YES _____ NO ______ Are you currently covered under COBRA? YES ____ NO ____ Are you currently covered under an individual plan? YES ____ NO ____ Employee does ______ does not _____ wish to enroll; in the company health insurance plan (Employees may not be eligible to enroll later if not exercised within thirty (30) days of contract date). Employee Signature: __________________________ Date: ___________________ Home Address: ___________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ Office Phone: ___________________________ Office Fax: ____________________ Mobile Phone: __________________________ Home Phone: __________________ Social Security Number: ___________________________________________________ Federal Withholding Tax straight percentage: ___________________________________ State Withholding Tax straight percentage: _____________________________________ E-mail Address: __________________________________________________________ Mentor: _________________________________________________________________ Employee acknowledges receipt of the Business Plan, Employee Manual, and hereby agrees to comply with all terms and conditions of this agreement, including the effective date of employment explained in Article I BY: __________________________________ (Employee Signature) Date: _________________________ CARTERET MORTGAGE CORPORATION BY: _________________________________ Eric Weinstein/President Date: _________________________ Corporate Information: 6211 Centreville Road Suite 800 Centreville, VA 20121 Phone: 703-802-8000 Fax: 703-802-3756 Revised 9.28.2005.sb CMC-122 Page 9 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Agreement Not To Compete Employee Name: _____________________________________________(“employee”) This agreement dated ______________________________ shall be an addendum to, and considered part of, that certain “RESIDENTIAL LOAN ORIGINATOR EMPLOYMENT AND COMPENSATION AGREEMENT“ dated __________, between CARTERET MORTGAGE CORPORATION (herein called "employer") and ______________________________ (herein called "employee"). IT IS HEREBY MUTUALLY AGREED, and Employee acknowledges that, the systems and procedures developed by employer for its branches are valuable trade secrets of the employer. The systems and procedures have been developed through the expenditure of substantial time, effort and money, which the employer wishes to maintain in confidence and withhold disclosure to other persons. Employee hereby agrees that any information, knowledge and factual data related to said systems and procedures will not be communicated to any third party, except employees of the employer for their use in performing their duties. Further: IT IS HEREBY MUTUALLY AGREED and Employee acknowledges said systems and procedures are of valuable consideration which benefit the employee, which consideration is herewith acknowledged by both parties to be the sum of TWELVE THOUSAND DOLLARS ($12,000). NOW THEREFORE, IT IS AGREED that for the above said consideration, Employee agrees not to open, create, incorporate or become an ultimate equity owner of 5% or more of a company which would engage in the sale of, or representation of any other competing products or services representing employer including the origination of trust deeds and/or mortgages for any other mortgage banker or broker, within a period of at least one (1) year from the date of mutually acknowledged written termination or resignation, from employer. Employee agrees to reimburse employer for any and all expenses incurred, including, but not limited to legal fees and court costs, should employer be forced to litigate this employment contract in order to enforce it. Employer, however, will consider waiving this non-compete clause once employee has generated no less than $100,000 in gross fee income as an employee of Carteret Mortgage Corporation. IN WITNESS WHEREOF, the parties hereto have executed this agreement this _________________________ of _________________________, 20_____________. Revised 9.28.2005.sb CMC-122 Page 10 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Employee acknowledges receipt of the Business Plan and Employee Manual and hereby agrees to comply with all terms and conditions. Employee does __________ does not __________ wish to enroll in the company health insurance plan. (Employee may not be eligible to enroll later, if not exercised within 30 days of contract date.) ***Although Article I contains a contractual hire date, please be advised that you are not considered an employee of Carteret Mortgage Corporation until you have access to the Carteret Mortgage website. ________________________________________________________________________ Employee Signature Date ________________________________________________________________________ Home address – street, city, state, zip ________________________________________________________________________ Office Phone Office Fax ________________________________________________________________________ Mobile Phone Home Phone __________________________________ Social Security Number __________________________________( example 15%) Federal Withholding tax straight percentage __________________________________(example 5%) State Withholding tax straight percentage __________________________________ E-mail address Revised 9.28.2005.sb CMC-122 Page 11 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 __________________________________ Mentor --- The person who hired you CARTERET MORTGAGE CORPORATION BY: __________________________________________________________________ Eric Weinstein President/CEO Corporate Info: 6211 Centreville Rd Suite 800 Centreville, VA 20121-2635 703-802-8000 703-802-8001 Fax Revised 9.28.2005.sb CMC-122 Page 12 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 How to complete an I-9 Employment Eligibility Verification Form This form must be filled out EXACTLY as stated below and make sure all dates are within 3 days of each other to avoid having to redo this form. Please use only ONE set of instructions (A or B). A. IF MENTOR IS SIGNING FOLLOWING THESE INSTRUCTIONS: 1. Recruit completes Section 1. Employee Information and Verification making sure to enter: a. b. c. d. e. f. g. h. Last name, First name, Middle initial Maiden Name (if applicable) Address/Apt #, City, State, Zip Code Date of Birth (month/day/year) Social Security # Check if you are a citizen, permanent resident (enter Alien #), or an alien authorized to work (enter the date you can work until and Alien #) Sign and Date RECRUIT STOPS HERE 2. Mentor completes Section 2. Employer Review and Verification a. Enter ID’s (document title and number) under applicable Lists and allow the New Recruit to view the Lists of eligible documents Passport under List A, making sure to enter Issuing authority, Document # and expiration date (No other documents required). OR Driver’s license under List B, making sure to enter the state it’s from, DL #, expiration date AND Social Security Card or Birth Certificate under List C making sure to enter the state and birth certificate # or the social security number (Or any other 2 documents acceptable on the List as long as one is from List B and one from List C). b. c. d. Date of new Recruit’s Hire Date entered in the CERTIFICATION paragraph located directly below List A, List B, and List C – small date block in the center of the paragraph. Sign, Print name, put title as mentor, fill in business and business address, and date. MENTOR STOPS HERE!! FORM IS COMPLETE!! B. IF BEING NOTARIZED SEE INSTRUCTIONS BELOW: 1. Recruit completes Section 1. Employee Information and Verification making sure to enter: a. b. c. d. e. f. g. h. Last name, First name, Middle initial Maiden Name (if applicable) Address/Apt #, City, State, Zip Code Date of Birth (month/day/year) Social Security # Check if you are a citizen, permanent resident (enter Alien #), or an alien authorized to work (enter the date you can work until and Alien #) Sign and Date RECRUIT STOPS HERE ! 2. Notary Stamps, Signs, and Dates “Designated Notary Public for I-9 Services” Form 3. Notary completes Section 2. Employer Review and Verification Passport under List A, making sure to enter Issuing authority, Document # and expiration date (No other documents required). OR Driver’s license under List B, making sure to enter the state it’s from, DL #, expiration date AND Social Security Card or Birth Certificate under List C making sure to enter the state and birth certificate # or the social security number (Or any other 2 documents acceptable on the List as long as one is from List B and one from List C). a. b. c. Date of New Recruit’s Hire entered in the CERTIFICATION paragraph located directly below List A, List B, and List C – small date block in the center of the paragraph Sign, Print name, put title as notary, stamp in the space provided for business name and address, and date NOTARY STOPS HERE! FORM IS COMPLETE! Attention Recruit: Once this form is completed, Xerox a copy of the identification documents examined and verified by your mentor or notary and attach to the I-9 Revised 9.28.2005.sb CMC-122 Page 13 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Designated Notary Public For I-9 Services In accordance with the Immigration and Naturalization Services (INS), an employer may designate notary publics to assist with the processing of the I-9 Employment Eligibility Form. Therefore, on behalf of the Carteret Mortgage Corporation (Corporate Office located in Centreville, Virginia), you hereby agree to represent this company by assisting us with the review of ____________________(new hire’s name) I-9 Form. You agree to complete Section 2 of the I-9 Form which includes the “Review and Verification of Documents for List A, B and/or C” and completing the remaining data needed under the “Certification” block which includes your signature. You may place notary information under your signature or use your notary stamped block in that area. (Do not place signature or notary seal in the “Preparer/Translator” block in Section 1 as it is unacceptable to INS). You agree to represent Carteret Mortgage Corporation in this endeavor by signing below. Please provide this document as well as the I-9 to the new hire listed above _______________________ Name of Notary (Print Name) ______________________ Signature of Notary _________ Date Carteret Mortgage thanks each notary for their assistance on this issue. If you have any questions regarding this matter, you may call Brenda Englehart at Corporate at (703) 802-8000x138 Revised 9.28.2005.sb CMC-122 Page 14 of 25 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Security Certification Carteret Mortgage Corporation depends on our computer and information systems on a daily basis to perform our normal business operations. Carteret Mortgage also has an obligation to maintain the privacy of our customer’s information Since these computer systems and our Information Technology is so critical to the normal functioning of our company, it is vital that we are protected from malicious software (computer viruses1) and unauthorized access to our computer systems both at the Corporate office, and all of our Branch Locations. Our network of Loan Officers and employees are tied together through the Internet, which makes our systems vulnerable to these types of undesirable items. Therefore it is company policy that each loan officer shall have working anti-virus software which is maintained on a regular basis. It is also company policy that each loan officer shall have firewall protection. In many cases, firewall protection is provided by your Internet router, or your Internet Service Provider (ISP). Please contact your ISP to find out if you are protected from unauthorized access to your computer. Our business also depends on keeping our Customers Non-Public Information (NPI) private and confidential. It is therefore imperative that you understand and abide by the Corporate Consumer Privacy and Security Program. By signing the document below, you are certifying that you have both anti-virus software2 and firewall protection3 and that you are maintaining your anti-virus software by obtaining updates on a regular basis. You also certify that you will review the Consumer Privacy and Security Program once you have access to the Corporate Website. Printed Name ___________________________________________ Signature _________________________ Date ________________ 1. A virus is a piece of programming code usually disguised as something else that causes some unexpected and usually undesirable event. A virus is often designed so that it is automatically spread to other computer users. Viruses can be transmitted as attachments to an e-mail note, as downloads, or be present on a diskette or CD. The source of the e-mail note, downloaded file, or diskette you've received is often unaware of the virus. Some viruses wreak their effect as soon as their code is executed; other viruses lie dormant until circumstances cause their code to be executed by the computer. 2. Antivirus (or "anti-virus") software is a class of program that searches your hard drive and floppy disks for any known or potential viruses. The market for this kind of program has expanded because of Internet growth and the increasing use of the Internet by businesses concerned about protecting their computer assets. Some common virus protection products include: Norton Anti-Virus, McAfee VirusScan, and Grisoft AVG. These can be purchased online, or at your local computer store. 3. A firewall is a set of related programs or hardware that protects the resources of a private network or computer from outside unauthorized users (hackers). Some common firewall software products include Zonelabs Zonealarm (www.zonelabs.com) Norton Internet Security, and McAfee Personal Firewall. These can be purchased online, or at your local computer store. Revised 9.28.2005.sb Page 18 of 25 CMC-122 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Carteret Mortgage Corporation Employee Benefits Carteret Mortgage offers benefits to all full-time employees. If you have any questions about the benefits, please contact Brenda Englehart at (703) 802-8000x38 or email her at benefits@carteretmortgage.com. Group Health Insurance Carteret Mortgage’s national health insurance provider is Aetna-US Healthcare. Carteret offers the HMO, POS, and PPO Plans and the rates vary depending on your zip code area. You may visit Aetna’s website at www.aetnaushc.com. New employees may elect enrollment in the group health plan after six months of continuous active, full-time employment status. If coverage is not elected during the time of eligibility you may not enroll until the following open enrollment period and unless you have remained active. Click here for more information. 401(k) Retirement Plan The 401(k) retirement plan is offered through Manulife Financial. Their website is www.manulife.com/usa. A packet explaining options available is sent to all eligible and interested full-time employees after one full year of employment. Enrollment periods are January and June of each year. Once you have enrolled, you may access your account through the website. You will need our contract number (72033), your social security number, and your PIN (Personal Identification Number). The first time you log in, use 1 + the last four numbers of you SSN. You will then be directed to select a PIN. To obtain a PIN from Manulife, call 1-800 -395-1113. Flexible Spending Account Under Part 125 of the Internal Revenue Code, the FSA provides tax advantages for certain types of dependent care expenses through Paychex. After six continuous months of employment at Carteret with at least one pay check, employees may elect a specified pre-tax dollar amount for certain dependent care expenses through payroll deduction. There is one entry date per year which is January 1st. The maximum employee contribution allowable per year per household is $5,000 and any monies not used by Dec 31st each year are forfeited. Enrollment kits may be requested from Human Resources at brenda.englehart@carteretmortgage.com. Pre-paid Legal Service Pre-paid legal service is available through Pre-Paid Legal Services, Inc. This service provides legal consultation and correspondence services, basic contract review, reduced fee services, and more. Each state will have an attorney provider law firm to deal with issues specific to that state. To enroll, or if you have further questions, please contact Laura Lynn. She can be reached at 708-478-8390 or Llynn145@aol.com. Supplemental Insurance Supplemental insurance is a new benefit available to all fulltime employees. AFLAC offers ACCIDENT, CANCER, and HOSPITAL CONFINEMENT. The benefits for these products are paid directly to the policy owner to help offset any expenses from medical cost. You can visit their website at www.aflac.com. To enroll or if you have further questions, please contact Sheila McCoy. She can be reached at 757-447-9318 or sheray@bellatlantic.net. Carteret Mortgage Corporation continues to evaluate new benefit options to assist all employees with their needs. Revised 9.28.2005.sb Page 19 of 25 CMC-122 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 Withholding Allowance Certificates By State State Alabama Arizona Arkansas California Connecticut District of Columbia Hawaii Illinois Indiana Iowa Kentucky Louisiana Maine Maryland Massachusetts Michigan Mississippi Missouri New Jersey New York North Carolina Ohio Vermont Virginia West Virginia Wisconsin State Form A-4 A-4 AR-4EC DE-4 CT-W4 D-4 HW-4 IL-W-4 WH-4 IA K-4 L-4 W-4 ME MW 507 M-4 MI-W4 89-350 MO W-4 NJ-W4 IT-2104 NC-4 IT-4 W-4VT VA-4 WV/IT-104 WT-4 Web Link http://www.ador.state.al.us/Withholding/a-4.pdf http://www.revenue.state.az.us/2002/A-4.pdf http://www.accessarkansas.org/dfa/taxes/wh_tax/2002_wh_forms/AR4EC.pdf http://wwwedd.cahwnet.gov/de4.pdf http://www.drs.state.ct.us/formlib/159911.pdf http://www.toolkit.cch.com/tools/dcd-4.pdf http://www.toolkit.cch.com/tools/hawaiihw-4.pdf http://www.revenue.state.il.us/taxforms/incm2002/withholding/Il-w4.pdf http://soho.cch.com/tools/indianawh-4.pdf W-4 http://www.toolkit.cch.com/tools/iowaia -w4.pdf http://www.toolkit.cch.com/tools/indianawh-4.pdf http://soho.cch.com/tools/louisianal-4.pdf http://www.toolkit.cch.com/tools/mainew-4me.pdf http://soho.cch.com/tools/marylandmw507.pdf http://www.toolkit.cch.com/tools/massachusettsm-4.pdf http://www.toolkit.cch.com/tools/michiganmi-w4.pdf http://www.toolkit.cch.com/tools/mississippi89-350.pdf http://soho.cch.com/tools/missourimow-4.pdf http://aol.toolkit.cch.com/tools/newjerseynj-w4.pdf http://soho.cch.com/tools/newyorkit-2104.pdf http://www.toolkit.cch.com/tools/northcarolinanc-4.pdf http://www.toolkit.cch.com/tools/ohioit-4.pdf http://www.toolkit.cch.com/tools/vermontw-4vt.pdf http://soho.cch.com/tools/virginiava-4.pdf http://soho.cch.com/tools/westvirginiawvit104.pdf http://soho.cch.com/tools/wisconsinwt-4.pdf Revised 9.28.2005.sb Page 20 of 25 CMC-122 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 ADDENDUM TO RESIDENTIAL LOAN ORIGINATOR EMPLOYMENT AND COMPENSATION AGREEMENT (for all Loan Officers to sign) THIS ADDENDUM is made between CARTERET MORTGAGE CORPORATION (herein called "employer") and ____________________________________ (herein called "FHA Branch Employee") and references that certain RESIDENTIAL LOAN ORIGINATOR EMPLOYMENT AND COMPENSATION AGREEMENT previously signed between employer and employee. “FHA Branch Employee” shall be defined as any employee who is, or later becomes an employee of an FHA branch of Carteret Mortgage Corporation. WHEREAS, FHA Branch Employee is in the business of mortgage banking and/or brokerage, and desires in its employ to originate FHA real estate trust deeds and/or mortgage loans and WHEREAS, Employer wishes FHA Branch Employee, at all times, to comply with the rules, regulations, laws and ethics of employer, the mortgage banking industry, investors, HUD, VA, GNMA, FNMA, local jurisdictions, state, and federal government: NOW, THEREFORE, employer and FHA Branch Employee in consideration for the mutual covenants and agreements contained herein and other good and valuable consideration and intending to be legally bound hereby, agree as follows: IT IS HEREBY MUTUALLY AGREED and FHA Branch Employee acknowledges: FHA Branches: A) Employer hereby deletes that portion of Section III, Paragraph (a) which states “If the employee quotes a price that results in a loss at the time of settlement or floats the loan and takes a loss as a result, employee agrees to reimburse employer for any and all expenses incurred, including, but not limited to legal fees and collection costs” Employer hereby deletes Section IV, Paragraph (a) and substitutes: All employees of an FHA Branch, except receptionists, whether full- time or part-time, must be employed exclusively by Carteret Mortgage at all times, and conduct only the business affairs of Carteret Mortgage during normal business hours. The FHA Branch Managers must be located at the branch they manage and cannot operate or be the manager of more than one branch office at the same time. At no time may an FHA Branch Manager or the employees of an FHA branch possess a real estate salesman or broker’s license or an appraiser’s license, nor may they engage in real estate settlements, nor under any circumstances actively sell any real estate for any real estate firm, developer, broker, land dealer, or home builder, engage in the activities of financial planning, or engage in any real estate related activity with the only exception being buying and selling of real property belonging to said employee or FHA Branch Manager. Revised 9.28.2005.sb Page 21 of 25 CMC-122 6211 Centreville Road Suite 800 Centreville, Virginia 20121 (703) 802-8000 IN WITNESS WHEREOF, the parties hereto have executed this agreement this _________________________ of ____________, 20___. FHA Branch Employee: __________________________________________________ Signature – FHA Branch Employee ________ Date __________________________________________________ Printed name FHA Branch Employee Revised 9.28.2005.sb Page 22 of 25 CMC-122