Changing Trustee from Individual to Corporate Trustee

Discussion in 'Legal Issues' started by TomNewbie, 27th Nov, 2021.

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  1. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Sydney
    Many lenders wont touch a human trustee smsf in the first place. Fixing the mistake can lead to all sorts of issues when the lender vets the history of the fund and notes the changes. If they arent done well they can raise further issues.

    The very issue of esuperfund setting up a fund that will borrow with a human trustee says a lot. In the 25+ years I have yet to setup a smsf with a human trustee. Other than its slightly cheaper I cant think of other benefits.
     
    Paul@PAS, 13th Jan, 2022
    #21
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    try DBA Lawyers who specialise in trusts and know what they are doing
     
    Terry_w, 13th Jan, 2022
    #22
    Paul@PAS likes this.
  3. Jem1989

    Jem1989 Well-Known Member

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    5th Jun, 2021
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    Sydney
    Yeah initially my broker said individual/corporate trustee shouldn't matter much.
    And then the lender BMM comes back saying it has to be corporate. I have an option to apply with FirstMac as they approve individual trustees. But I just decided to change it now before I sign contract to avoid issues down the track.

    I might miss out on a property but it is what it is.

    Thanks all for your comments.
     
    Jem1989, 13th Jan, 2022
    #23
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