Wraps illegal in WA (?!)

Viewing 4 posts - 1 through 4 (of 4 total)

Teeks
Member
@teeks
Join Date: 2004
Post Count: 7
August 4, 2004 - 9:03 am
I have recently read from 0 to 100 properties which has got me interested in Wraps as an investment strategy. I have done the numbers and am convinced of its merits however, while conducting further research I discovered that wrapping is illegal in my home state (WA) with out a Credit Lending License (CLL). Refer to:
http://www.docep.wa.gov.au/media/media/2004/April/Mortga.html
I later visited the Dept of Consumer and Employment Protection (DOCEP) and was told that this indeed is the case. However, I was able to obtain an application form to apply for a CLL as a natural person. The licence requires an initial fee and annual charges to obtain. Also to be eligible, you must meet certain criteria such as demonstrating financial sustainability of your liabilities and a working knowledge of the Credit Administration Act.
I am wondering if anyone has tried applying for the CLL and how difficult it is to actually attain oneâ€¦. Any help or comments will be appreciated! [blush2]
lifeX
Member
@lifex
Join Date: 2004
Post Count: 651
August 4, 2004 - 10:03 am
Hi, I am sure it is only S.A. that [cowboy2]prohibits individuals to wrap.
In Victoria, I just filled out application and mailed it. Free.
It was approved in 7 days, no probs.
Just have to follow CCC reporting requirements to stay current.
Don’t let it stop you.
lifexperience
FFComm
Member
@ffcomm
Join Date: 2004
Post Count: 627
August 4, 2004 - 2:43 pm
Wraps are being done in WA, so their not illegal, you just need a CCC licence. From what I’ve been told their not to hard to get, and they shouldn’t be too expensive. As for the cash requirments you ccan simply place $$$ (from home equity lets say) into a bank account, show them you have proof of the funds and you shouldn’t have too many problems. Just to let you know the DEp. is getting a bit ‘dirty’ on wrapers, so just keep peservering.
Rgds.
Lucifer_au
traceyimb
Participant
@traceyimb
Join Date: 2003
Post Count: 82
August 21, 2004 - 2:12 pm
Hi Teeks,
Wrapping is not illegal in WA and yes you will need your credit providers licence. It can take 6-12 weeks to get one. If you have the application already then you know there is a heap of things you need to organise.
You can take the UCCC test on the MIAA website, I think it costs about $110. It is a requirement you have an understanding of the legislation and the test is online. If you need to know more send me an email.
Cheers
Tracey[biggrin]
[email protected]