Document ID: chunk:federal_register_of_legislation:C2004A03717:body:0:p20
Version: federal_register_of_legislation:C2004A03717
Segment Type: other
Provision Reference: 
Character Range: 47207–49803

rate of interest that shall be specified under paragraph 17 (3) (d) in a certificate of entitlement in relation to a further advance that a person may seek from the Bank is:
     (a) if the amount of the further advance is equal to or less than the outstanding balance under the previous contract of sale, subsidised advance or Corporation advance immediately before the day on which the person ceased to be a purchaser or borrower in relation to that contract of sale or advance—the rate of interest payable on that balance immediately before that day; or
     (b) in any other case:
          (i) the rate of interest specified in paragraph (a) on so much of the further advance as equals the amount of the balance referred to in that paragraph; and
          (ii) 10% per year on the remainder of the further advance.
"(2) Where different rates of interest were payable on different parts of the balance referred to in paragraph (1) (a), subsection (1) applies as if:
     (a) paragraph (1) (a) provided that, in the circumstances referred to in that paragraph, the amount of the further advance is to be taken to be divided into parts equivalent to the different parts of the balance and the rate of interest payable on each of those parts of the further advance is the same as the rate of interest payable on the equivalent part of the balance immediately before that day; and

     (b) subparagraph (1) (b) (i) referred to the rate of interest payable under paragraph (1) (a) on each of the parts of so much of the further advance as is equal to the amount of the balance.

Rate of interest on advances for essential repairs
"35. The rate of interest that shall be specified under paragraph 17 (3) (d) in a certificate of entitlement in relation to an advance for essential repairs that a person may seek from the Bank is 10% per year.

Maximum terms of advances
"36. (1) Subject to section 37, the maximum term to be specified under paragraph 17 (3) (b) in a certificate of entitlement in relation to a subsidised advance that a person may seek from the Bank is:
     (a) in the case of an initial advance—25 years;
     (b) in the case of an additional advance, a widow's advance or an advance for essential repairs:
          (i) a term equal to the unexpired part of the term of the borrower's initial advance, further advance or Corporation advance, or of the purchaser's contract of sale, as the case may be; or
          (ii) if the Secretary determines that a longer maximum term would be appropriate, having regard to the circumstances of the case—such longer term as the Secretary