Document ID: chunk:federal_register_of_legislation:C2004A03717:body:0:p21
Version: federal_register_of_legislation:C2004A03717
Segment Type: other
Provision Reference: 
Character Range: 49559–52139

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 determines;
     (c) in the case of a further advance in respect of which the Minister's approval under section 19 is required:
          (i) a term equal to the time by which 25 years exceeds the prescribed period; or
          (ii) if the Secretary is satisfied that the application of subparagraph (i) would cause financial hardship to the borrower—such other term, being a term not longer than 25 years, as the Secretary determines;
     (d) in the case of a further advance to which paragraph (c) does not apply—a term equal to the time by which 25 years exceeds the prescribed period; and
     (e) in the case of an advance or a specified portfolio asset transferred to a transferee—a term equal to the unexpired part of the advance or asset so transferred.
"(2) Subject to section 37, the maximum term of a specified portfolio asset which vests in the Bank under section 6b is a term equal to the remainder of the term of that specified portfolio asset as at the relevant vesting date.
"(3) Where the term of a specified portfolio asset which vests in the Bank under section 6b, or of a subsidised advance increases as a result of a grant of instalment relief to the purchaser or borrower, the maximum term of that specified portfolio asset or advance shall be taken to have been

increased by a period equal to the period by which the term of that asset or advance was so increased.
     "(4) In this section:
     'prescribed period' means:
          (a) the period starting on the day on which the initial advance or Corporation advance, or the contract of sale (being the advance or contract of sale that preceded the further advance) was granted to or entered into by the relevant person and ending on the day on which that person ceased to be a borrower or purchaser in relation to that advance or contract of sale, as the case may be; and
          (b) if there was more than one such preceding advance or contract of sale—the period equal to the sum of the periods worked under paragraph (a) in relation to each such advance or contract of sale.

Conversion of contract of sale into mortgage
"37. Where a purchaser executes a mortgage in favour of the Bank for the balance of the purchase money and interest, and all other money, payable under a contract of sale, the Bank shall be taken to have made, on the date of the