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Bank Act

Version of section 449.1 from 2003-01-01 to 2022-06-29:


Marginal note:Rebate of borrowing costs

  •  (1) Where a bank makes a loan in respect of which the disclosure requirements of section 450 apply, and the loan is not secured by a mortgage on real property and is required to be repaid either on a fixed future date or by instalments, the bank shall, if there is a prepayment of the loan, rebate to the borrower a portion of the charges included in the cost of borrowing in respect of the loan.

  • Marginal note:Exception

    (2) The charges to be rebated do not include the interest or discount applicable to the loan.

  • Marginal note:Regulations

    (3) The Governor in Council may make regulations governing the rebate of charges under subsection (1). The rebate shall be made in accordance with those regulations.

  • 1997, c. 15, s. 49

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