To be clear, here is an extract from Schedule 1 of the NCCP. So, if you are in the business of buying and renovating properties for profit then NCCP does not apply. If you borrow in a company or trust name the NCCP does not apply. If the people you borrow money from are not in the business of credit provision the NCCP does not apply.
When you take…[Read more]

Hi Steven,

I think you are overcomplicating the issue. I would not worry about being caught under the NCCP as what your dad does is more like a JV where he is an unsecured lendor and he does not run a money lending business, he simply invests cash for a profit. There are a number of qualifiers to be classified to be in the business of money…[Read more]

I think Richard is wrong, as mentioned above, to be caught under the NCCP you need to be in the business of making loans. For example, if you have sold your property with vendor finance you don’t need a license for a one off event. Similarly, for a one off money lending to help your friends with finance you don’t need to be licensed. Once you…[Read more]

I am invested in the Richard’s fund so can vouch for him. I think he has set up a very clever scheme where loans are advanced to multiple borrowers and not for development purposes. 3-6 month loans at 17% interest in my opinion are safer than first mortgages for 12 or more months advanced for construction at 10-12%. So well done Richard. My only “…[Read more]

No, I don’t have the credit license
Also, to answer previous comment RateSetter is a bit of a joke. Unsecured lending at 3% p/a is the same as you would get at the bank. What I am looking for is first and second mortgages where loan is in my name.

I would say stay away or be very careful. In these types of deals there is really nothing left in the property for the buyer as both builder and marketer have taken all of the profit. Buyer’s only hope is that market would keep rising thus covering all of the extras.
Here is an example – developer is selling lots for 300k, builder secures the lot…[Read more]

Most so called property advisors in Australia are marketers flogging new off the plan property of house and land packages with commission between 30 and 60k.
I am not saying that there are no decent people but after years working with marketers I can tell you that in large percentage of cases the game is rigged and not in the buyer’s favor.
The…[Read more]