Optional Repayment Waiver Plan
Schedule of terms
CREDITOR: LINSA FINANCE LIMITED LOAN CONTRACT No:
BORROWER/S:
BACKGROUND
- Linsa Finance Limited (“Linsa”) and certain borrower/s (the “Borrower/s”) are parties to the loan contract (the “Loan Contract”) described in the Schedule of this Repayment Waiver Plan (the “Schedule”)
- At the request of the Borrower/s and in consideration of the Borrower/s agreeing to pay to Linsa the Repayment Waiver Plan Fee set out in the Loan Contract, Linsa agrees to forgive certain loan installments due by the Borrower/s to Linsa under the Loan Contract on the happening of certain events to the person described in the above Schedule as the Borrower/s. The terms of this arrangement are set out in this Schedule.
THE REPAYMENT WAIVER PLAN
Part 1 – Definitions
1.1 “Illness” any illness that shall result in the Borrower/s being totally disabled from engaging in or in or attending to his or her usual business or occupation or any business or occupation for which he/she or they is reasonably suited.
1.2 “Excluded Illness” means any illness or condition caused by or contributed to (in whole or part by):
(a) Psychiatric or psychological Illness (including mental stress);
(b) Alcoholism
(c) Addiction to any harmful substance, such as glue, petrol, illegal drugs or other banned or prohibited substances. Provided that this shall not relate to or include the taking of drugs or medicine prescribed by and in accordance with the directions of a qualified medical practitioner.
1.3 “Accident” means bodily injury of the Borrower/s caused solely and directly by violent accidental, external and visible means which independently of any other cause results in the Borrower/s becoming totally disabled from ongoing in or attending to his/her or their usual business or occupation or any business or occupation for which he or she is reasonably suited.
Part 2 – REPAYMENT WAIVER BENEFIT
2.1 Subject to the terms and conditions set out in this schedule, Linsa shall forgive whatever amount may be owing by the Borrower/s to Linsa upon the happening of any one of the following events:
(a) The death of the Borrower/s;
(b) The illness of the Borrower/s, except for an Excluded Illness
(c) An injury by Accident to the Borrower/s;
(d) A Borrower/s being adjudged Bankrupt, or entering into a No Asset Procedure.
The above events shall be hereinafter referred to as the Repayment Events
Part 3 – THE PAYMENT AMOUNT
3.1 The amount to be forgiven from the Loan Contract on the happening of the Repayment Events (“the Repayment Amount”) shall be the least of the following:
(a) The amount outstanding under the Loan Contract at the time of the Repayment Event;
(b) The sum of $10,000;
(c) In the case of Illness or Accident, the Loan Installments under the Loan Contract for a period of disablement up to a maximum period of 6 months.
(d) The Borrower/s shall pay the Loan Installment due under the Loan Contract for the first week after the happening of the Repayment Event and such amount shall not be forgiven by Linsa
.
3.2 Where there is more than one Borrower named in the Loan Contract and the Schedule then the Payment Amount in respect of death shall be remitted from the Consumer Credit Contract only once in respect of the first of the Borrower/s to die.
Part 4 – LIMITATION ON THE REPAYMENT WAIVER BENEFIT
4.1 The Borrower/s shall not be entitled to a Payment Amount IF at the time of, or prior to, the Repayment Event
the Loan Contract was in arrears, Linsa was exercising any rights it has in respect of security for the Loan Contract, or the Borrower/s was/were in default of any of his/her/their obligations under the Loan Contract.
- In the event of a claim made under Part 2.1 (d), the benefit will only apply to the Borrower to which that part applies. If there is more than one borrower, unless Part 2.1(d) also applies to them, they will remain liable for the amount owing to Linsa.
- The Borrower/s shall not be entitled to a Payment Amount IF at the time of, or prior to, entering into the Loan Contract with Linsa, they knew, or reasonably should have known, that an Application for Bankruptcy or No Asset Procedure would be sought by themselves, or one of their creditors.
- Linsa shall not be obliged to remit from the Loan Contract any Payment Amount if the Repayment Event was caused by or contributed to, directly or indirectly, wholly or partly, by;
- The Borrower/s being under the influence of intoxicating liquor, narcotics or drugs, provided that this does not apply in respect of any drugs taken on the advice or administrated by a medical practitioner;
- The Borrower/s was/were engaging in criminal activities;
- The Borrower/s was/were showing a reckless disregard for his/her/their own safety or deliberately exposing him or herself to exceptional danger;
- Suicide or Intentional self injury on the part of the Borrower/s; or
- Any Illness or disability due to an injury of Accident which existed or was in remission at the time Loan Contract was entered into for which the Borrower/s required medical treatment within six month immediately preceding the taking out of this Repayment Waiver Plan.
Part 5 – TERMINATION
5.1 This Repayment Waiver Plan shall immediately terminate, and no person shall be entitled to any Payment Amount, upon the repayment of all sums owing under the Loan Contract. Any applicable rebate will be calculated in accordance with the formula set out in s7A of the CCFA Regulations 2015.
Part 6 – CLAIMS PROCEDURE
6.1 The Borrower/s must notify Linsa within fourteen days of the happening of a Repayment Event
6.2 Where the Repayment Event is death, the estate of the Borrower/s or the Borrower/s personal representative shall supply to Linsa a death certificate. Where the Coroner is investigating the circumstances surrounding the death, Linsa shall be entitled to defer any decision on the payment of a Payment Amount pending completion of the Coroner’s investigation.
6.3 In the event that the Borrower/s seeks payment of a Payment Amount based on the Illness or Accident of the Borrower/s, the Borrower/s shall furnish to Linsa such medical reports or certificates in relation to the Borrower/s as may be reasonably required by Linsa at the Borrower/s expense. Furthermore the Borrower/s shall, if required by Linsa, undergo a medical examination or assessment by a medical practitioner at the Borrower/s expense.
Part 7 – ACKNOWLEDGEMENTS
7.1 The Borrower/s has/have requested Linsa to enter into this Repayment Waiver Plan and the Borrower/s acknowledges that his/her/their participation in it has not been required by Linsa as a condition precedent to the granting of the Loan Contract.
7.2 The Repayment Waiver Plan is a service provided by Linsa that is incidental to the Loan Contract.
7.3 Pursuant to the Privacy Act 1993 the Borrower/s acknowledges the following;
(a) Linsa has collected personal information about the Borrowers.
(b) The information was collected to evaluate the Borrower/s request to enter into the Repayment Waiver Plan.
(c) The intended recipient of the information is Linsa, and will be held by Linsa at its place of business being 174 Devonport Road, Tauranga,
(c) The collection of this information voluntary;
(d) The failure to provide this information may result in the request for the Issue of the Repayment Waiver Plan being declined;
(e) The Borrower/s has/have rights of access to and correction of this information subject to the provisions of the Privacy Act 1993
(f) The Borrower/s authorise Linsa to:
- use the personal information it holds to advise them of Linsa’s other services
iii. release to other parties any information which Linsa holds that is relevant to any application for the Repayment Waiver Plan or an application for a Payment Amount pursuant to it.