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Deposit Takers Act 2023

Depositor compensation scheme - Deficiency in fund

250: Minister may determine conditions

You could also call this:

"The Minister sets rules for borrowing money, like paying it back with interest."

Illustration for Deposit Takers Act 2023

The Minister can decide the rules for giving out money under this part of the law. You might need to pay back the money and interest on it. The Minister gets to choose these rules.

The Minister's rules are connected to another part of the law, see subpart 6, which is about getting back the money they gave out, and any extra costs. This is how they make sure they get their money back. You can look at subpart 6 to learn more about this.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS808310.

Topics:
Money and consumer rights > Banking and loansBusiness > Industry rules
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249: Deficiency in fund when supporting resolution measure, or

"What happens if a special fund doesn't have enough money to pay out"

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251: Financial statements of fund, or

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Part 6Depositor compensation scheme
Deficiency in fund

250Minister may determine conditions

  1. The Minister may determine the terms and conditions under which to provide money under this subpart (for example, terms about repayment of that money and interest on that money).

  2. See subpart 6, which provides for levies to recover any money provided to the fund under this subpart and any interest or fees, charges, or costs in connection with the money provided to the fund.