I have performed a search on trusts & replication.
Eg. Borrow through trust using company as gurantor. You are the director of the company thus gurantor. Once the company is maxed out (You the gurantor) you simply set up a nmew company & start again.* My question is this – Wouldn’t all these loans appear on your CRA making this impossible to do.
* Starting up another company doesn;t solve the fact you are still a director of the company. the bank will perform checks on you diector/gurantor not just the company.
Can someone please set me straight on this issue.
* Could this work in NZ??
Hi Insider
I agree.These loans will appear on your personal CRAA (just ask anyone who has a loan thru a trust).
You would be required to tell a bank about any personal guarrantees.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
How does Steve get away with it then?? There must be away around it if he is doing it.
Steve alway have 20% deposit and all of his IPs are cashflow +ve, therefore I believe the bank won’t have the problem with that as long as the income generate are enough to cover expenses
Kind regards
Chandara
[Keep going, you’re nearly reach the end of financial freedom]They still look at your exposure regardless of whether it is positive cash-flow or not.
They look @ the maths on there END, if it’s within there formulated guidlines your in !
Michael
just be
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