When does subsidy stop?
29 When does subsidy stop?
Subject to sections 27 and 28, subsidy stops being payable on a subsidised loan to a person who is a subsidised borrower when any of the following things happen:
all outstanding amounts due under the loan are paid;
the person’s subsidy period ends;
if the property to which the loan relates is owned by the person and his or her spouse or de facto partner as joint tenants—the joint tenancy is converted into a tenancy in common;
the property to which the loan relates is transferred under an order of the Federal Circuit and Family Court of Australia (Division 1) to the person’s spouse or de facto partner, or former spouse or former de facto partner, or to the person and his or her former spouse or former de facto partner, whether as joint tenants or as tenants in common;
the property to which the loan relates, or any interest in it, is sold or transferred to another person (other than under an order of the Federal Circuit and Family Court of Australia (Division 1)) without an approval under section 18;
the person (being a person to whom subsection 30(6) applies) dies;
the person (being a person who is or was an eligible person) dies and does not have a surviving spouse or de facto partner;
the person (being a person who is or was an eligible person) dies and the property to which the loan relates, or any interest in it, is sold or transferred under the person’s will or an intestacy law to someone other than the person's surviving spouse or de facto partner.
This Act’s bill:Second reading speech
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