Explanatory note

These Regulations amend the Local Loans (Procedure) Regulations 1968by providing for payment of advances of £5,000 or more to be madeby automated direct credit transfer or, where this is impracticable, byorder to the borrower’s bank, and for payment of advances of less than£5,000 to be made by order to the borrower’s bank. Advances are tobe made after payment of fees, or, where it has been agreed that feesare to be deducted from advances, are to be made net of fees.