All Topics / Finance / Increased borrowing limits using trusts???

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  • Profile photo of mtairsmtairs
    Member
    @mtairs
    Join Date: 2002
    Post Count: 3
    June 28, 2005 - 11:04 pm

    Hi all,
    Have just read an article in API magazine outlining the different ways of structuring a trust to use for property investing. What I don’t understand, and it was mentioned again at last weeks PPPW workshop in Melbourne, is how using a trust or company (or a combination of the two) can increase your borrowing limits as opposed to investing in my private name. How can this be when I (as a beneficiary, director, or trustee) would need to guarantee any finance?

    Can somebody please shed some light on this as I’m nearing my personal borrowing limits.

    Thanks,
    mtairs

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213
    June 29, 2005 - 6:02 am

    I think they might be talking about setting up new structures and then not telling the new lender about the personal guarrantees given with the old structure??

    Terryw
    Discover Home Loans
    North Sydney
    [email protected]

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://www.Structuring.com.au
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    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au

    Profile photo of Robbie BRobbie B
    Member
    @robbie-b
    Join Date: 2004
    Post Count: 2,493
    June 29, 2005 - 2:38 pm

    mtairs, whoever told you that is blatantly lying to you. If anything, your lending would be restricted more using multiple asset protection structures as lenders encounter more difficulty recovering their money from you if you default.

    TMA

    http://www.email4money.info
    Essential Links
    First Home Buyer Website

Viewing 3 posts - 1 through 3 (of 3 total)

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