Deposit Takers (Classification of Loans Made Against More Than One Form of Security) Exemption Revocation Notice 2013

2013/13

Coat of Arms of New Zealand

Deposit Takers (Classification of Loans Made Against More Than One Form of Security) Exemption Revocation Notice 2013

Pursuant to section 157G of the Reserve Bank of New Zealand Act 1989, the Reserve Bank of New Zealand gives the following notice (to which is appended a statement of reasons of the Bank).

Notice

1 Title
  • This notice is the Deposit Takers (Classification of Loans Made Against More Than One Form of Security) Exemption Revocation Notice 2013.

2 Commencement
  • This notice comes into force on the day after the date of its notification in the Gazette.

Dated at Wellington this 25th day of February 2013.

Grant Spencer,
Deputy Governor.


Statement of reasons

This notice, which comes into force on the day after the date of its notification in the Gazette, revokes the Deposit Takers (Classification of Loans Made Against More Than One Form of Security) Exemption Notice 2011. That notice allowed certain deposit takers, when calculating their risk-weighted amount for credit risk, to give a different risk weighting to certain loans with 2 sorts of securities, namely a first mortgage over land or buildings (or both) and 1 or more secondary securities.

The exemption is no longer required because the only entity that previously relied on it (Heartland Building Society) has become a registered bank and as such it no longer requires the exemption.

The exemption was due to expire on 30 June 2013.


Issued under the authority of the Acts and Regulations Publication Act 1989.

Date of notification in Gazette: 28 February 2013.

This notice is administered by the Reserve Bank of New Zealand.