Veteran Forum Contributor [3180 posts]
Posted 29/05/2005, 18:54:41You are being totally irrational.
A company costs a few hundred dollars to set up which makes the actual company pretty worthless. It is the trade and assets of the company that has value.
The compan has trade figures and assets.It also has credit references from a very large international shipping company .Yet my wife who has no income apart from what I give here,no assets apart from $8000 in the bank has just been sent a form to upgrade her cc to a gold card.
Now I have on average now a million bucks a year (probably closer to 1.5 at this stage)going through my account,no debt,and very few overheads and working on a decent margin and can get no help from anyone to expand.Yet someone who depends on me for a living and has no assets and no income apart from me gets offered a gold credit card.They are alienating me.
As I said we cannot do business.The offer of a gold card to my wife is the last straw.they have completely alienated me.
By the way I can import from USA.It isnt all that expensive and taxes are not high.Changes to the vehicle are the only real extra.gf
upandcoming,
I think credit is offered to people who have a lot of transactions- not on what they can afford to pay. I just got oofered an unsolicited credit increase (there was an article about unsolicited credit offerings recently in the smh, i think) and there was a box that asked me to tick if i could afford the repayments… thing is, I can’t, so I am not going to take up the offer. No such thing as free money, unless one chooses bankruptcy as an option, and doesn’t pay it back (some bankrupts do pay back their debts, btw).
If I racked up, say 30k on credit cards, and could not pay it back, and chose bankruptcy, I would lose my IP’s, lose my car, and lose hte opportunity to borrow from mainstream banks- sometimes, for a few years, but sometimes forever. I’ve seen this happen to people before.
I know you sound as if you are happy not to borrow from banks, but in terms of OPM, they provide fairly low interest rates and are not overly-involved in your life. Give me that any day over a private lender.
Thanks for telling your tale, upandcoming- it certainly is cautionary.
kay henry
Originally posted by upandcoming:The compan has trade figures and assets.It also has credit references from a very large international shipping company .
A company with less than two years history is still considered a start-up by most lenders. Until you lodge those two returns and they show sufficient tax being paid, they will not touch the company. As Low Doc and other loans are usually mortgage insured, you cannot get this finance either as they will not do a bankrupt at any time. You can get finance from a non-conforming lender (who does not mortgage insure) but get ready to pay for it.
As for references from a shipping company, what purpose does this serve? You have to pay these guys or you don’t get your stock off the wharf. They don’t sell you your products, they just transport it. Where are the references from your suppliers?
Yet my wife who has no income apart from what I give here,no assets apart from $8000 in the bank has just been sent a form to upgrade her cc to a gold card.A Gold credit card is only a $5,000 or $7,500 limit depending where you go. As your wife has $8,000 in cash in the bank, I would also give her a Gold credit card. This is no big deal.
By the way, she also owns at least half of everything you own and is not a past bankrupt. She does not appear to be a risk.
Now I have on average now a million bucks a year (probably closer to 1.5 at this stage)going through my account,no debt,and very few overheads and working on a decent margin and can get no help from anyone to expand.1.5 million ‘going through your account’ does not mean anything. It is the ‘net’ profit that is important. As for not being able to get anyone to help you, this is rubbish. Any non-conforming lender will help you if you are telling the truth about your situation. Like I said earlier, you will have to pay for it with higher rates and fees though.
They are alienating me.I think you are alienating yourself.
As I said we cannot do business.With the information you have given us, I think they will do business with you but not on YOUR unreasonable terms.
By the way I can import from USA.It isnt all that expensive and taxes are not high.Changes to the vehicle are the only real extra.The care will end up costing more than a car bought here. With the exchange rate, transport, import taxes and conversion to left hand drive, it is a crazy idea for a single standard vehicle import.
Good luck with it.
The Mortgage Adviser
http://www.themortgageadviser.com.au
[email protected]
Essential LinksAs for references from a shipping company, what purpose does this serve? You have to pay these guys or you don’t get your stock off the wharf. They don’t sell you your products, they just transport it. Where are the references from your suppliers?
Untrue.I have a 30 day account and can take 30 days to pay although I always pay on day 1.
My wife cn borrow as much as the banks try to lend her but rest assured that if they think that she owns half of what I have for the purposes of settling her debts please think again.That is my company and it will not settle debts for others.
You say that the bank will do business with me.Apparently you know something I dont because I can assure you I will not do business with the banks unless it is on my terms and as I suspect the banks will not do business on my terms then we cannot do business.They have had their chance.It is now gone.I dont want to borrow off banks anymore after seeing their attitude.gf
You are in for a shock if you think it is YOUR company. Your wife owns half of it at the very least. Probably more!!!
What are your terms by the way? Do you just want the money for FREE and unsecured?
The Mortgage Adviser
http://www.themortgageadviser.com.au
[email protected]
Essential LinksPosted – 31/05/2005 : 15:26:25
You are in for a shock if you think it is YOUR company. Your wife owns half of it at the very least. Probably more!!!What are your terms by the way? Do you just want the money for FREE and unsecured?
The Mortgage Adviser
Anyone who tries to take it is in for a much bigger shock I can assure you.
My terms?Do i want it for free?No I am happy to pay the going rate.Do I want it unsecured?Well if I am paying unsecured rates then yes.Although that ishypothetical now because I am not interested in borrowing it now.I have been paying cash for 18 months and I prefer it that way now.I am used to paying cash and I dont need to answer to anyone.
I get my goods made in China now with no money down and no LC based on my word so goods are coming quicker because as soon as I am ready to pay it is on the ship the next day or so so everything is speeding up.I have had Chinese offer to send goods on credit to me but because of fluctuating dollar rates I dont really want to do that but may in the future if their offer still stands.
Strange isnt it that a person in China who i havent met will do business with me based only on the fact that they accept my word as gold yet here it is like I have leprosy.But like I said a week or two ago.
The banks client sells X commodity.He pays overdraft rent wages.
I have no overdraft no rent and no wages.
He lands it here for $X because he buys from the trading company in China and I buy it for $y which is $X-15% because I buy it from the factory.
He has to pay cash or LC (which costs) or a deposit before the goods are made so it is 8 weeks per container between paying and receiving.I get 2 shipments in the same time.He sells for $x plus his markup of 50-150%.I sell for $y plus 25%.Keep lending him cash though because he may need it very shortly.
You are probably a nice guy and I am probably a bastard but I can tell you know that I dont particularly care whether the banks lend or not because it is irrelevant at the moment.
I have no cards,no loans,no wages or rents.I am also too busy dumping goods at ridiculous prices to really care too much anymore about the banks or the issues we have discussed for several weeks.
All I know is that if I keep dumping vast lots of goods I can make a quid so that is what I do and when I make enough I am thinking of throwing some into an invoice factoring business.36% the banks charge.I believe that 18% would be enough.You never know it may be just like dumping tangibles.
So there is no need for us to argue and I probably wont be around for a while because I have some things to take care of so you have your opinion and I will have mine and we can leave it at that.gf
I am interested in two things…
1. What makes you think your wife cannot get half or more of your company?
2. Why do you think that more experienced and much larger operators pay more than a one-out operator like yourself?
The Mortgage Adviser
http://www.themortgageadviser.com.au
[email protected]
Essential LinksI know bamkruptcy is a very personal issue but I would like to hear people’s opinions as to whether they would lend money to someone who has:1. …ever been bankrupt?
2. …recently become a discharged bankrupt?
3. …a current bankruptcy?
4. …mitigating circumstances?
5. …placed themselves in a good current position?Would your decision take into account whether that ‘bankrupt’ repaid all their previous debts that were outstanding when they went bankrupt or do you think it is ok to not pay your debts, take a few years break and then start again?
1. under no circumstances
2. under no circumstances
3. under no circumstances
4. refer to answers 1-3
5. n/aTo me it would make no difference whether they repaid the money or not.
Cheers,
Jason.Veteran Forum Contributor [3219 posts]
Posted 01/06/2005, 01:45:45I am interested in two things…
1. What makes you think your wife cannot get half or more of your company?
2. Why do you think that more experienced and much larger operators pay more than a one-out operator like yourself?
I dont think companies like woolies etc pay more than me.However it is getting t the point where there is not a lot of different .
Apart from big companies there are other who are in the game and unless they know exactly who China works they are in for problems.I have an associate there who like me had nothing.He was just on a Chinese wage.I put money in his pocket and he chases down companies who manufacturer not merely trade because he knows if we deal with a factory we can make more money.But apart from that we have places like woolworths covered because even though woolies and gerry harvey may buy cheaper they also need to ship the goods around the country.Shipping is expensive.We do it a different way and it is working.
It may not work for ever but it is working now.I put my heart and soul into this company and you ask why I dont think anyone can come and take it?EG someone may want to sue it?Or someone may think they are entitled to it? or something similar?This company is mine.I worked 20 hours a day to grow it.Anyone ties to harm it and they would be removed from the equation.
gf
Interesting comments and very irrational. Your wife can take more than half of it as she is entitled to it for being married to you. If it is not insured properly, any litigant can take the lot or you would be forced back into bankruptcy again.
It makes no difference how hard you work. A company is not bullet proof especially from a pissed off spouse and, last time I checked, ‘removing someone from the equation’ would result in a holiday at Her Majesty’s pleasure whereby you would also lose the lot!
The Mortgage Adviser
http://www.themortgageadviser.com.au
[email protected]
Essential LinksQuote:Originally posted by The Mortgage Adviser:I think a bankrupt should step up and take responsibility for their own mistakes (in most cases) and seek the help they need to remedy the situation instead of taking the easy way out. I also believe those who use it as a tool to escape paying back debt should be severely punished!
Some (ex)bankrupts like myself have had no choice but to go bankrupt because our ex-spouse has left us holding the bag.
I have also moved on, got re-married but the lenders don’t want to know me dispite having a good paying job and no debts.
I went to a broker (will name them if you want) and they promised me the world knowing all my facts, until I got to their office. I advised them that I had minimal savings and they quoted they could find a lender that would lend 100% only find that I now needed 10% deposit.That is why I stated “in most cases”. Some situations are very difficult.
I am wondering, when the broker told you about the 100% finance, did he know about the bankruptcy and the minimal savings?
Also, how long ago were you bankrupt and how long ago were you discharged?
Why do you have no savings if you have no debt and a good paying job?
The Mortgage Adviser
http://www.themortgageadviser.com.au
[email protected]
Essential LinksOriginally posted by The Mortgage Adviser:That is why I stated “in most cases”. Some situations are very difficult.
I am wondering, when the broker told you about the 100% finance, did he know about the bankruptcy and the minimal savings?
Also, how long ago were you bankrupt and how long ago were you discharged?
Why do you have no savings if you have no debt and a good paying job?
1. I stated in my last post that the broker new all the facts (bankruptcy, savings)
2. I was bankrupt 3 years, being discharged in December last year.
3. I have no savings because I was left with nothing and took this long to buy furniture, pay for a modest wedding and purchase other necessities that other people take for granted.All I can say is that the broker probably lies to get you to meet with him on the off chance he could put something together for you. As far as I know, it is impossible for a recent bankrupt to get 100% funding through standard or non-conforming lenders.
Do you have any other family members who can help with cash or equity???
The Mortgage Adviser
http://www.themortgageadviser.com.au
[email protected]
Essential LinksHi Scullyman
One option you might like to look at is buying your home via vendor finance.
We (my wife and I) have helped two ex bankrupts into their own homes using a form of vendor finance, called an instalment contract. Both couples have now been with us for over a year and have perfect payment records. The plan is to refinance them into a more traditional mortgage in one to two years time.
To get more information on vendor financing, have a look at:
https://www.propertyinvesting.com/strategies/wraps.html
https://www.propertyinvesting.com/strategies/lease-options.html
and the Vendor Finance (Wraps) Association’s website at
http://www.financewraps.asn.auIf after your research, you decide that one of these techniques might suit your purposes, leave a post on the Association’s website and I’m sure someone will contact you.
I hope this helps.
Cheers, Paul
Paul Dobson | Vendor Finance Institute
http://www.vendorfinanceinstitute.com.au
Email Me | Phone MeAn alternative way to finance your home.
OK Rob i’m in … good post … yes i would lend as long as i had first mortgage security over real property and a ligit valuation.
I would also insist that in the event of default and forclosure i can claim for lost interest and costs.
Phil
What LVR would you go to on the loan Resi?
The Mortgage Adviser
http://www.themortgageadviser.com.au
[email protected]
Essential LinksInteresting article on bankrupts in a recent SMH:
kay henry
Cripes Rob why didn’t you ask me a simple question, i really don’t know what to say other than say 70% to allow for any varience in the event of a fire sale.
resiwealth
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