Section 5(1)(b)(ii) of the National Credit Code requires the credit to be provided for the immediate purpose of the debtor purchasing, renovating or improving residential property for investment purposes. Where credit is provided to a natural person for the purpose of on-lending to a company that will undertake the property improvement, the credit does not fall within s 5(1)(b)(ii), even if all parties intend the funds to be used for residential property development. The definition of 'residential property' in s 204 of the Code encompasses multi-dwelling developments and is not limited by reference to scale.
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