Commonwealth Consolidated Acts Commonwealth Consolidated ActsScope
(1) This section applies to a subsidised borrower if the borrower and his or her partner are parties to a single subsidised loan, whether they are liable jointly and severally, or individually.
Loan capital rules
(2) The following table has effect for the purposes of section 51:
Shared liability between partners | |||
Item | If ... | the capital amount owing by the subsidised borrower on the subsidised loan on the first authorisation day for the entitlement period is taken to be ... | the amount of the subsidised borrower's loan limit at a particular time is ... |
1 | both of the parties to the loan are subsidised borrowers | 50% of the total capital amount owing on the subsidised loan at that time | the average of the amounts of the loan limits that would apply in relation to each of the subsidised borrowers at that time if he or she were the sole party to the loan. |
2 | only one of the parties to the loan is a subsidised borrower | 100% of the total capital amount owing on the subsidised loan at that time | the loan limit that applies under subsection 51(2) at that time. |