Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) Subject to paragraphs 12QB(2)(d), 12QC(2)(d), 12S(2)(d) and 12U(2)(c), the student is not required during the contract period to make a repayment in respect of the amount outstanding under the contract.
(2) Non - payment by the student of the amount outstanding under the contract does not constitute a default under the contract for the purposes of any law of the Commonwealth, of a State or of a Territory.
(3) Subject to subsection (4), the student may make to the corporation a repayment in respect of the amount outstanding under the contract at any time during the contract period.
(4) The student is not entitled to make a repayment under subsection (3) that is less than an amount prescribed by the regulations unless the amount repaid is equal to the amount outstanding under the contract.
(5) If the student purports to make a repayment under subsection (3) that exceeds the amount that, having regard to the discount to which the student would be entitled under subsection (7) or (7A) (as the case may be), would be needed to be paid in order to pay in full the amount outstanding under the contract, the excess is taken not to be a repayment in respect of the financial supplement and is to be repaid by the corporation to the student.
(6) If the student makes a repayment as mentioned in subsection (3), the following provisions of this section have effect in relation to the amount of that repayment ( th e amount repaid ) except:
(a) to the extent (if any) to which that repayment is taken to have been made in or towards repayment of any wrongly paid financial supplement referred to in subsection 12QB(2), 12QC(2) or 12S(2); or
(b) in respect of a repayment made after the giving of a notice under section 12QB, 12QC or 12U.
(7) If the student makes a repayment in respect of the amount outstanding under the contract that is less than the amount outstanding under the contract, the student is entitled for the purposes of this Part, in respect of the amount outstanding under the contract, to a discount of an amount worked out using the formula:
(7A) If the student makes a repayment in respect of the amount outstanding under the contract that equals that amount, the student is entitled, for the purposes of this Act, to a discount of an amount worked out using the formula:
(8) If, apart from this subsection, an amount worked out under subsection (7) or (7A) would be an amount of dollars and cents, the amount is to be rounded to the nearest dollar (rounding 50 cents upwards).
(9) If no indexation amount existed in relation to the contract immediately before the repayment is made, the student is taken to have repaid to the corporation in respect of the financial supplement an amount ( the amount notionally repaid ) equal to the discount.
(10) If an indexation amount existed in relation to the contract immediately before the repayment is made:
(a) if the discount is equal to or less than the indexation amount--the amount outstanding under the contract is taken to be reduced by the amount of the discount; or
(b) if the discount exceeds the indexation amount:
(i) the amount outstanding under the contract is taken to be reduced by the indexation amount; and
(ii) the student is taken to have repaid to the corporation in respect of the financial supplement an amount ( the amount notionally repaid ) equal to the excess.
(11) The Commonwealth is liable to pay to the corporation an amount equal to the amount notionally repaid.
(12) If, after the making of the repayment mentioned in subsection (6), the sum of the actual repayments and the notional repayments is equal to or exceeds the principal sum:
(a) the corporation's rights in respect of the student under the contract are assigned to the Commonwealth by force of this paragraph; and
(b) if the sum of the actual repayments and the notional repayments exceeds the principal sum--the corporation is liable to pay the excess to the Commonwealth.