Employment of Educators Act, 1998 (Act No. 76 of 1998)

Regulations

Regulations regarding the Terms and Conditions of Employment of Education

Chapter 4 : Medical Assistance, State Housing, Subsistence Allowance, Official Journeys and Transport, House Owner Allowance, Service Bonus, Long Service Recognition and Resettlement Expenditure

75. Recognised loan amount
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(1) For purposes of the scheme the recognised loan amount is the total of the whole or part of the registered mortgage that was used to buy, construct or to make immovable improvement or alterations (including structural maintenance) to the dwelling or to the premises of the dwelling which an educator occupies.

 

(2) In determining the recognised loan amount which is used to calculate the allowance—
(a) a particular registered mortgage, or the total of registered mortgages if an educator has more than one such a loan on his or her dwelling, is considered the recognised loan amount if it is used as contemplated in subregulation (1);
(b) the amount of registered mortgages or parts thereof which were not used for the purposes as contemplated in subregulation (1), shall be deducted from the registered mortgage, or the total of registered mortgages it an educator has more than one such a loan on his or her dwelling; and
(c) the recognised loan amount, when applicable, shall be further reduced with the amount with which an educator should be penalised in accordance with regulation 76.

 

(3) The amounts of registered mortgages which were not used for the purposes as contemplated in subregulation (1) and with which an educator is penalised in terms of the order of magnitude of the recognised loan amount which is used to calculate his or her allowance, shall not be transferable with regard to dwellings which he or she may later purchase or cause to be constructed.