P-20 - Farm Loan Act

Section 3 Disposition versions

1977-12-31

3. The Government, on such conditions as it shall determine, may authorize the Bureau to pay, as from 1 May 1962, on hypothecary loans made by the Corporation or the Board to farmers of Québec, after 8 November 1950 until 1 October 1972, the difference between the annual interest of 21/2% and that owing to the Corporation.

The Government may, on such conditions as it determines, authorize the Bureau to pay on the account of any farmer of Québec who obtains a hypothecary loan from the Corporation from 1 October 1972, the difference between the annual interest he owes the Corporation and the annual interest computed on the equivalent capital of a hypothecary loan which the Bureau may grant at the rate fixed under section 22 of the Farm Credit Act (chapter C-75); any change in the annual interest rate fixed under the said section 22 shall only apply to loans of the Corporation subsequent to the coming into force of such change.

Such difference contemplated in the first and second paragraphs shall be paid only on a loan not exceeding $15 000, and if the loan exceeds such amount it shall be paid only on a portion of the interest proportionate to the fraction of the loan corresponding to $15 000.

In applying the third paragraph to loans made before 1 May 1962, the balance of the principal on that date shall be considered as being the amount of the loan.

R. S. 1964, c. 111, s. 3; 1972, c. 35, s. 1.