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The Mortgage Indemnities (Recognised Bodies) Order 1996
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- UK Statutory Instruments
- 1996 No. 161
- Explanatory Note
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Explanatory Note
(This note is not part of the Order)
This Order specifies four additional bodies as recognised bodies for the purposes of sections 442 and 443 of the Housing Act 1985. Other bodies have been specified by previous Orders.
Section 442 provides for a local authority, with the approval of the Secretary of State, to enter into agreements with a recognised body to indemnify such a body against any loss or expense arising from an advance made by it on the security of a house or flat bought from a local authority, a new town corporation, an urban development corporation, the Housing Corporation, Housing for Wales, Scottish Homes or a registered housing association.
Section 443 provides for a local authority to contribute towards costs incurred in connection with a legal charge to secure an advance.
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