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The Housing (Service Charge Loans) Regulations 1992

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The right to a loan in certain cases after exercise of right to buy

2.—(1) Subject to regulations 3 and 4, a tenant has a right to a loan in respect of service charges to which section 450A(2) of the Act (charges in respect of repairs for a certain period) applies where—

(a)a lease of a flat has been granted in pursuance of Part V of the Act (the right to buy) (except in a case where the grant is in pursuance of the preserved right to buy within the meaning of that part);

(b)the landlord is the housing authority who granted the lease or another housing authority; and

(c)a demand for such charges is made on or after the date on which these Regulations come into force.

(2) The right to a loan is—

(a)where the landlord is a housing association, a right to an advance from the Corporation; and

(b)in any other case, a right to leave the whole or part of the service charges outstanding.

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