Defence Force (Home Loans Assistance) Act 1990
25Calculation of amounts of subsidy
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25 Calculation of amounts of subsidy
(1) Each monthly amount of subsidy is the amount that results from working out the relevant regular monthly repayment (RMR) amount under subsection (2) and then using that amount in the formula set out in subsection (3). (2) The RMR amount must be worked out using the formula: Start formula start fraction LA times start fraction BR over 12 end fraction over 1 minus open bracket start fraction BR over 12 end fraction plus 1 close bracket start superscript minus 300 end superscript end fraction end formula where:
BR is the benchmark rate.
LA (loaned amount) is the amount on which subsidy is payable.
(3) The monthly subsidy amount must be worked out using the formula: Start formula start fraction open bracket RMR times 300 close bracket minus LA over 300 end fraction times 0.4 end formula where:
LA has the same meaning as in subsection (2).
RMR is the amount worked out under that subsection.