{"id":"F2009B00027","name":"Pension Loans Scheme (Social Security)-Rate of Compound Interest Determination No. 2 of 1997","slug":"pension-loans-scheme-social-security-rate-of-compound-interest-determination-no-2-of-1997","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"repealed","isInForce":false,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":121219,"registerId":"commonwealth-F2009B00027-current","compilationNumber":null,"startDate":"2026-04-03","status":"Repealed","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Pension Loans Scheme (Social Security)-Rate of Compound Interest Determination No. 2 of 1997","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\nmeta-generator: Aspose.Words for .NET 20.2\ntitle: Commonwealth of Australia\n---\n\n?xml version=\"1.0\" encoding=\"utf-8\" standalone=\"no\"?>\n\nCommonwealth of Australia\n\nSocial Security Act 1991\n\nPension Loans Scheme (Social Security)—Rate of Compound Interest Determination No. 2 of 1997\n\nI, JOCELYN MARGARET NEWMAN, Minister for Social Security, make this determination under subsection 1135 (4) of the Social Security Act 1991.\n\nDated 22 December 1997.\n\n \n\n \n\n \n\nJOCELYN NEWMAN\n\nMinister for Social Security\n\n____________\n\n1. Citation\n\nThis determination may be cited as the Pension Loans Scheme (Social Security)—Rate of Compound Interest Determination No. 2 of 1997.\n\n2. Commencement\n\nThis determination commences on 25 December 1997.\n\n3. Rate of compound interest\n\nFor subsection 1135 (4) of the Social Security Act 1991, the rate of compound interest is 5.25%.\n\n4. Revocation\n\nPension Loans Scheme (Social Security)—Rate of Compound Interest Determination No. 1 of 1997 is revoked.\n\n \n\n \n","sortOrder":0}],"analysis":{"kimi_summary":{"_metrics":{"model":"kimi-k2.5","source":"moonshot-batch","completionTokens":1333},"content_quality":"ok","complexity_score":1,"scope_assessment":{"changed":false,"description":"This is a routine administrative instrument that performs the exact function described in its title: updating the interest rate for the Pension Loans Scheme. It represents a standard rate revision and does not expand the scheme's scope, eligibility criteria, or operational framework."},"complexity_factors":["Only 4 sections with no subsections","Single operative provision containing only a percentage figure","No defined terms, schedules, or interpretation rules","No conditional logic, exceptions, or cross-references beyond the empowering provision"],"plain_english_summary":"This determination sets the interest rate charged on loans under the **Pension Loans Scheme** (now known as the Home Equity Access Scheme).\n\n**What it does:**\n- Fixes the **compound interest rate at 5.25% per year** for loans taken out under this scheme.\n- Replaces an earlier determination from earlier in 1997 that set a different rate.\n\n**Who it affects:**\n- Older Australians who borrow money from the government using their home equity as security. Participants receive loan payments (similar to pension top-ups) that are repaid later, usually when the property is sold.\n\n**Why it matters:**\n- The interest rate determines how quickly the debt grows. Because the interest compounds (you pay interest on the interest), the 5.25% rate affects the total amount retirees or their estates will eventually owe."}},"importantCases":[],"_links":{"self":"/api/acts/pension-loans-scheme-social-security-rate-of-compound-interest-determination-no-2-of-1997","history":"/api/acts/pension-loans-scheme-social-security-rate-of-compound-interest-determination-no-2-of-1997/history","analysis":"/api/acts/pension-loans-scheme-social-security-rate-of-compound-interest-determination-no-2-of-1997/analysis","conflicts":"/api/acts/pension-loans-scheme-social-security-rate-of-compound-interest-determination-no-2-of-1997/conflicts","importantCases":"/api/acts/pension-loans-scheme-social-security-rate-of-compound-interest-determination-no-2-of-1997/important-cases","documents":"/api/acts/pension-loans-scheme-social-security-rate-of-compound-interest-determination-no-2-of-1997/documents"}}