Part 16Factoring of income etc
Chapter 3Loan or credit transactions
777Loan or credit transaction defined
1
This section defines a loan or credit transaction for the purposes of sections 778 and 779.
2
A transaction is a loan or credit transaction if it is—
a
effected with reference to the lending of money or the varying of the terms on which money is lent, or
b
effected with a view to enabling or facilitating an arrangement concerning the lending of money or the varying of the terms on which money is lent.
3
A transaction is a loan or credit transaction if it is—
a
effected with reference to the giving of credit or the varying of the terms on which credit is given, or
b
effected with a view to enabling or facilitating an arrangement concerning the giving of credit or the varying of the terms on which credit is given.
4
Subsection (2) has effect whether the transaction is effected—
a
between the lender and the borrower,
b
between either of them and a person connected with the other, or
c
between a person connected with one and a person connected with the other.
5
Subsection (3) has effect whether the transaction is effected—
a
between the creditor and the debtor,
b
between either of them and a person connected with the other, or
c
between a person connected with one and a person connected with the other.