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The Social Security (Claims and Payments) (Amendment) Regulations (Northern Ireland) 2010

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Citation, commencement and interpretation

1.—(1) These Regulations may be cited as the Social Security (Claims and Payments) (Amendment) Regulations (Northern Ireland) 2010 and shall come into operation on 8th April 2010.

(2) The Interpretation Act (Northern Ireland) 1954(1) shall apply to these Regulations as it applies to an Act of the Assembly.

Amendment of the Social Security (Claims and Payments) Regulations

2.—(1) The Social Security (Claims and Payments) Regulations (Northern Ireland) 1987(2) are amended in accordance with paragraphs (2) and (3).

(2) In regulation 34ZA(3) and regulation 34ZB(4) (deductions of mortgage interest from benefit and payment to qualifying lenders)—

(a)in paragraph (1) at the end add “or, insofar as the payment exceeds that liability, in accordance with paragraph 4A of that Schedule”, and

(b)for paragraph (2) substitute—

“(2) The provisions of Schedule 8B shall have effect in relation to payments made under this regulation.”.

(3) In Schedule 8B(5) (deductions of mortgage interest from benefit and payment to qualifying lenders) after paragraph 4 (more than one loan) insert—

“Application of payment where it exceeds borrower’s actual mortgage interest

4A.—(1) Subject to sub-paragraph (2), insofar as the sum paid to a qualifying lender under this Schedule in respect of a particular loan exceeds the borrower’s liability in respect of the mortgage interest payable on that loan the excess shall be applied by that lender in the following order of priority—

(a)first, towards the discharge of any liability for arrears of mortgage interest in respect of that loan;

(b)second, towards the discharge of any liability to repay the principal sum, or any other sum payable by the borrower to that lender, in respect of that loan.

(2) Where the borrower is liable to pay mortgage interest to the same qualifying lender in respect of two or more different loans, insofar as the sum paid to that lender under this Schedule in respect of one of those loans (“loan A”) exceeds the borrower’s liability in respect of the mortgage interest payable on that loan the excess shall be applied by that lender in the following order of priority—

(a)first, towards the discharge of any liability for arrears of mortgage interest payable in respect of loan A;

(b)second, towards the discharge of any liability to repay the principal sum, or any other sum payable by the borrower to that lender, in respect of loan A or (insofar as that liability is not already discharged by the application of any other sum paid to the qualifying lender under this Schedule) any of the other loans.”.

Sealed with the Official Seal of the Department for Social Development on 26th March 2010

(L.S.)

Anne McCleary

A senior officer of the Department for Social Development

Yn ôl i’r brig

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