Our own M Gruber has an article in todays SMH to do with one his wrap properties .
http://www.smh.com.au/news/National/Dangers-of-lending-scheme-hit-home/2004/12/23/1103391900303.html
An excerpt from the article:
Michael Gruber sells "wrap finance", a new style of home loan sweeping Australia.
Mr Gruber controls a company called Dark Thoughts Pty Ltd. A fortnight ago he marched into the Straker family's living room, told the children to go outside and threatened costly legal proceedings if the parents did not sign an eviction agreement that week.
The Strakers' wrap agreement says they must give up their small property at Beresfield, near Newcastle, if they miss just one repayment - which they did this year after Michael Straker was retrenched from his factory management job and Julie Straker suffered serious illness.
The family is one of tens of thousands who resorted to the risky finance because they were desperate to enter the property market but unable to secure a bank loan.
Only when they fell behind on repayments did they understand what wrap finance really meant.
"It's just like a hire purchase arrangement when you buy a car," Mr Gruber told the Herald. "Title doesn't pass until the last payment has been made."
I will not post the whole article, but it deteriorates into another anti-wrap article.
Typical media anti-wrap rubbish if you ask me....
I wouldn't mind betting that Michael asked the family to get independent legal advice before going through with the wrap loan in the first place - but that is conveniently left out.
http://www.smh.com.au/news/National/Dangers-of-lending-scheme-hit-home/2004/12/23/1103391900303.html
An excerpt from the article:
Michael Gruber sells "wrap finance", a new style of home loan sweeping Australia.
Mr Gruber controls a company called Dark Thoughts Pty Ltd. A fortnight ago he marched into the Straker family's living room, told the children to go outside and threatened costly legal proceedings if the parents did not sign an eviction agreement that week.
The Strakers' wrap agreement says they must give up their small property at Beresfield, near Newcastle, if they miss just one repayment - which they did this year after Michael Straker was retrenched from his factory management job and Julie Straker suffered serious illness.
The family is one of tens of thousands who resorted to the risky finance because they were desperate to enter the property market but unable to secure a bank loan.
Only when they fell behind on repayments did they understand what wrap finance really meant.
"It's just like a hire purchase arrangement when you buy a car," Mr Gruber told the Herald. "Title doesn't pass until the last payment has been made."
I will not post the whole article, but it deteriorates into another anti-wrap article.
Typical media anti-wrap rubbish if you ask me....
I wouldn't mind betting that Michael asked the family to get independent legal advice before going through with the wrap loan in the first place - but that is conveniently left out.