The Financial Review, The Land and capital city dailies like Sydney Morning Herald have carried extensive analysis of the Federal Budget. Our loan consultancy GBAC Advisory has been looking through the pages and commented on the complexity of borrowing. We worry that banks so ready to lend money for businesses, homes and farms may turn nasty and look to foreclosure if the borrowers can’t meet repayments. Never let a bank foreclose on your hard earned assets.
Interest rates are almost non-existent which is prompting a lot of borrowing. It is easy to forget the days not so long ago when a farmer called us about his $1m loan on which he was paying 24%. We did great things and got him the loan at 18% earning him a $300,000 profit over the term of the loan.
Government ( taxpayers) is supporting a lot lending. It will be interesting to see what happens when numbers of those borrowers run into strife. We tend to think that the government may come down on the side of the borrowers if the government is guaranteeing the debt. One reason we have been able to help farmers and business owners convert debt into profit through debt discounting is that we have a unique method of involving Parliament in supporting borrowers who have been treated badly, in fact in supporting anybody who has been treated badly. That particularly relates to borrowers heading to mediation, farm debt mediation or receivership.
Don’t hesitate to call some consultant for assistance if your debt causes you problems. There are few problems that cannot be solved.