Hi everyone!
This is my first time on the forum, and by the looks of the other forums the help people receive is incredible!
Im 22yrs old and have been reading numerous books and attending seminars since i was 19. Some of my mentors include: Robert Kiyosaki, Jamie McIntrye, Hans Jakobi, Ed Chan, Tony Melvin and of course Steve McKnight – to these guys i am very greatful!
BUT, when i was 18 i went through the loan phase, and booking up credit as to where i have a not too good credit rating and finding it hard to get into any investing at all! Like in Steve’s books im a TIME RICH, and MONEY POOR!.Any help would be greatfully appreciated!
lstreet
In general terms would you like to just give us an idea as to what you have in mind. If you would be more comfortable, you may care to discuss outside the forum. However if you post your ideas within the forum you will have not only benfit of my advice, but the advice of others. Look forward to your response.
Wade Greasley
Bluewater Financial Pty Limited
Residential, Commercial and Business Lending Brokers
[email protected] or 0414564743
“Experience the Bluewater Difference”Hi Wade, thank you for your response.
I have had a look at a couple of nice houses in the Ashburton area in Melbourne which i have been able to talk talk to the owners about. The only problem i have is my credit rating and i was wondering if there was any solution to help me get out of debt or to help my rating??? I’m open to anything!!!!!!!! [glum2]
lstreet
Hi again Wade,
The property i really want is in New Zealand – Wellington. (2 Units)
Details are:Pre negotiated purchase price – $325K
Market valuation – $365K
Rental income per week- $670
Cashflow after tax (Per annum) – $8, 972
Investment yield- 10.3%
Capital growth (10 years)- 174%What do you think????? It meets the 11 second rule too! JUST!
lstreet
which country do you have bad credit in? if its in NZ you coud have a problem, if it’s in Australia it may not show up on the NZ credit check.
If its in NZ baycorp usually hold that on your credit rating for 5 years. if you racked up the debt at 18, defulted by the time you were 19 then it looks like you have another two years to wait. Not all is lost though and it really depends on how many defults you have and the amount of them and what kind of companies they are for. If they are banks, there is no nice way to say this but you could be screwed and have to wait two more years (time for some more reading and possibly bird dogging?) If there is one small default, when you apply for your mortgage let the bank know about the default (you get no credit for lying) you may need to write a letter of explanation about the situation at the time if you have any sort of excuse.
I had this situation happen to me as when I was very young and renting I stupidly put the phone bill in my name, flatmates racked up a huge bill and had no money to pay for it (or me!) so I had a Telecom NZ default on my credit rating. when I applied for my mortgage the default was bought up and I had to write a letter to explain the situation, in my case I was only one-two months away from it dropping of my credit report and I guess my letter was sufficient enough as they gave me the mortgage and keep asking me to lend more money from them now.
I hope the experience you had earlier on has put you off personal debt!
Hi,
Your bad credit problem is only a problem firstly if it is actually listed on Baycorp NZ. If listed it then depends on the loan to valuation ratio required. If you are seeking to borrow 100% of cost or more you probably won’t be able to do the deal in your name. If you only want to borrow 80% then you may not have a problem at all. Its a question of the degree of risk you are asking the lender and their mortgage insurers to take.Philip Limbert
APM Finance Pty Ltd
[email protected]Hi Istreet,
I’ll cut straight to the heart of the issuee here which methinks you are avoiding – why is there a ‘black mark’ on your credit rating?
As dohicky indicates there are blackmarks and then there are BLACKMARKS. The nature of your black mark will really determine what you can and can’t do.
Derek
[email protected]
The Investors Club http://www.monopoly.tic.com.au
0409 882 958
Skype – derekjones2113Hi guys!
Thank you very much for all your help! i’m currently in Victoria so im not sure whether it would show up on the NZ baycorp.
The BLACKMARK i have is a loan that i defaulted on, my Motorcycle that i bought (If i could do it again, i would have bought an investment property) got stolen 3 weeks after i had bought it, it cost me $5,000, and i currently owe around $2,000. But the loan was from ANZ and they gave it to Lions finance in Brisbane. So really im shafted and i have to wait 2yrs. That slows me down. [glum]
This will be the biggest lesson i have ever learned!!!!!!!!!
If there is any other younger people on this forum, i would recommend that you learn from this!Cheers again guys!
lstreet
I think its great you fessed up to that because bottom line lots of people read the postings and we can all learn from it.
Amazing isn’t it that such a small amount can do such a lot of damage. I don’t know much about credit ratings so are you able to say whether the bad rating gets removed if you simply pay the amount owing? Or doesn’t it matter and you still have the two year black mark?Hi Tizzy
Yeah i found out that even if i pay the amount i still have a bad credit rating for 5 yrs from when i pay it!!!!! Priceless lesson though!!!!
BUT, if there is a will there is a way!!!!
At the moment the house i want is in NZ so i am sending off a BAYCORP credit check, and if i don’t show up on their listings i can still go for loan over there. If i have to move there to be eligible i will do so for a fixed period of time.But i have also been told that there is a loan for everyone which i believe to be very true.
So to everyone out there, don’t just give up because people say NO!
[biggrin]
lstreet
Originally posted by lstreet:This will be the biggest lesson i have ever learned!!!!!!!!!
Hi Lstreet,
Lesson number two – insurance is a good idea.
Lesson number three – make sure you meet loan repayments even when the item of the loan has gone walkies so that such an occurence doesn’t happen again.But having said that congratulations on looking forward – some people throw their situation into the too hard basket and then do nothing.
Sincerely – all the best with it.
Derek
[email protected]
The Investors Club http://www.monopoly.tic.com.au
0409 882 958
Skype – derekjones2113
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