members alliance

They will convince you that you NEED to refinance your home loan…. commission payment number 1
… then do an equity release…. commission payment number 2
…. and then a third loan for the actual property … commission payment number 3
and finally the big payout …. a commission from the developer in the realms of between $30K-$60K+ per property (incidentally very close to how overvalued the property is … surprise, surprise)

They will likely cross collaterlise the securities to hide the undervalued IP purchase as a stand alone structure as you have described will make this easier to spot. This is one of the many trick they will pull on the unsuspecting public.

They still get the same commission fora cross coll structure with one less application therefore less paperwork as only one loan is generated for both properties.

Mel wrote:

I just did a brief Google search and it seems as though this finance clause (‘subject to finance’) can be used against us. The way I understood it: if we don’t make every endeavour to get the finance then we can end up owing a lot more money than the 0.25% penalty. Does this sound right to you? Thank you again for your advice.

It is not difficult to get out of a finance clause. Most sales agents will accept a bank or broker letter.

Members Alliance is the front page story in today’s Sunday Telegraph under the headline “HOME AND HOAXED”. I wrote the story, which is also featured prominently in other Sunday newspapers across Australia today. The story reveals the group of companies is under investigation by police, the ATO, ASIC, bankers and building authorities. You can read it online here: https://www.facebook.com/publicdefendercolumn

Please share as you see fit.
Cheers, John
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