(a) a person is participating in the pension loans scheme; and
(b) the debt owed by the person under section 1135 exceeds the maximum loan available to the person under the scheme;
the scheme ceases to operate in relation to the person at the beginning of the first instalment period for the pension or allowance being paid to the person that begins after the debt exceeds the maximum loan available.
Note 1: The maximum loan available is worked out by using the formula set out in subsection 1135A(1).
Note 2: For repayment or recovery of the debt owed by the person see sections 1139 and 1142A.