Section 412F | Assigned loans treated as made by the assignee etc ^F1

(1)This section applies where—

(a)a person (“A”) is assigned the right to recover the principal of a loan,

(b)the right is assigned through an operator (“O”),

(c)A makes a payment in consideration of the assignment, and

(d)A does not further assign the right.

(2)The loan is to be treated for the purposes of section 412A(1) as—

(a)having been made by A, and

(b)having been made through O.

(3)The amount (if any) of the principal of the loan which is treated as irrecoverable may not exceed the amount which is arrived at by—

(a)taking the amount of the payment mentioned in subsection (1)(c), and

(b)deducting any amount of the principal of the loan previously recovered by A.