27Special provisions as to assistance by way of loan

27 Special provisions as to assistance by way of loan

(1)  Where financial assistance under this Division is given by way of a loan it is to be given on such security (if any) as the Authority requires, and the agreement by which the loan is made is to specify the period within which the loan is to be repaid.

(2)  [Section 27 Subsection (2) amended by No. 20 of 1995, s. 3 and Sched. 1 ][Section 27 Subsection (2) omitted by No. 10 of 2010, Sched. 1, Applied:27 Jul 2010] .  .  .  .  .  .  .  .  

(2A)  .  .  .  .  .  .  .  .  

(3)  In making a loan under this section the Authority may reserve to itself the right to alter the terms on which the loan is to be repaid and the rate of interest payable in respect of that loan, and, where such a right is so reserved, the Authority must exercise it in such manner as it considers reasonable in order to ensure that, having regard to the purposes for which the loan was made, arrangements are made for its repayment as soon as practicable, whether by way of borrowing of money from other sources or otherwise.

(4)  Where a loan under this Division is secured by a mortgage of land, nothing in Part 3 of the Local Government (Building and Miscellaneous Provisions) Act 1993 prevents the subdivision of a block in the exercise of any power of sale or other right arising under the mortgage.