Please help .....

You weren't happy with how the branch loans manager dealt with your situation. Why did you call his friend that HE recommended? He is asking you to do something dishonest.
I have sent you a PM. Please check it.

 

He gave his friend my number who then called me. I spoke with him out of curiosity and because right now I am so stressed I can't think clear. However I would not go with him of course not!
Many thanks York for your recommendation. I will give your suggestion a try.

 

Mate I cannot help much, but I just want to say I feel for you. I hope things get resolved quickly for you and that you find a way out of this that allows you to keep your hard earned for your future PPOR.
Has any brokers contacted you yet? I have not used them myself, but a few guys on the forum seem to be recommended by many: @Jamie Moore , @Peter_Tersteeg , @Rolf Latham , @Steven Ryan , @Michael_X , @Redom and of course @Jess Peletier who has been helping here already.
I hope someone can help you.
Hang in there mate !

 

Hi Terry,

The trust is a discretionary trust, say trust A with a Company ABN. I'm the sole company director and guarantor of the loan to the trust. You are right the loan will be in the trust's name (i.e the trustee.) not my name.

So in that case, is it ok for me to lend the cash money to the trustee, i.e trust A to complete the cash settlement. Then afterwards once I've got a job in order to be a guarantor of the loan to the trustee which is Trust A, take out a bank loan and receive the refunded funds as cash back ?

And in this case will the bank interest charged on the loan to the trustee be tax deductible ? (regardless what the purpose of the loan was used for ? i.e if I were to use it to buy PPOR as previously intended with the current cash savings)

If the above logic is correct, I will check if Trust A has been set up correctly in order to do this.

Many thanks for any advise given.

 

You need specific legal advice as does the trustee

 

Thanks All for replying to my thread, especially Terry for your pointers. The bank manager says he's trying to get the loan across for me. At the moment they haven't flat out declined the loan yet so fingers crossed it will go through ...if not I will consult the expert advise on how to best source the funds and set up the structure for settlement.

 

Honeydew,
Is there someone whom you can totally trust so that you loan them your cash ( do a proper legal agreement) and then you simply arrange finance for the property from that person. When the dust settles you could then refinance with a bank.

 

Good idea but the ATO may deny the deductions in this instance. And it is not necessary in this situation as a related entity will be the one buying the property.

 

Hi Roomer,
This is a great idea but fortunately I have found a great broker who's able to obtain a loan with another lender.... fingers crossed things will go smoothly from here and onwards ~.~

 

Thanks Terry, all your tips are like gems

 

Thanks everyone for your all your kind inputs. I will post an update on this once the dust settles....

very anxious time ....

 

Hi Roomer,

Apologies for my late reply. Fortunately I did manage to get a loan with another bank and settled on time....it was scary but luckily things went ok....

Hope no one has to go through this ...

 

I am really glad to hear your loan went through and you were able to settle on time. Lessons learned:

1) find a good broker
2) loan approvals only mean something if they are in writing

 

+1 Perthguy