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Hi babushka Becoming your own banker is possible and there are financial advisors already setting up arrangements to do this. However, there are a number of issues you would need to be very much aware of such as the ATO has made numerous comments this year about such arrangements. The ATO...

SMSF Lenders Hi Spud There are now more than 8 lenders in the SMSF space (including the original instalment warrant providers) that I'm aware of with 3 more apparently looking to do something shortly. Whilst the rates quoted look attractive I think you need to look more closely...

Soyabean 1/ Doesn't matter who you borrow from it's not deductible if its a super contribution. 2/ In that case I guess not however there may be other issues to consider such as what happens if a "Bare Trust" trustee dies>

Hi Soyabean Firstly, my understanding is that if you use your LOC to obtain funds to make a contribution to a SMSF then the interest is not deductible to you. In answer to your question whether the LOC lender has to be involved in the transaction, the answer is no. On the Bare Trust...

Ziggy At this point lenders rely on "income" not assets, however when SMSF lending becomes more accepted/mainstrean the ability to liquidate assets may become acceptable to service an SMSF's commitments. If an SMSF is newly established then the lenders perhaps may not agree, but if it's...

Hi Guys Some one from Monday nights SIG meeting sent me a message to send them a copy of the loan comparison calculator, unfortunately I've accidentially deleted the message and can't remember who it was. Sorry. Can that person please resend the request and I'll make sure I don't delete it...

Hi Ziggy Serviceability/repayment capacity for SMSF borrowings is assessed using the income of the SMSF (investment income less capital gains) plus members contributions plus rental income of the proeprty to be purchased. The question of whether $200K sitting in a SMSF cash account would...

Many thanks to all those that attended the Monday night SIG meeting on SMSF borrowing. And a special thanks to Perky for arranging the venue etc. I have one correction to make. The lender comparisons included some loan information on the Calliva product which I have since found to be dated &...

Grossreal Forget about 2nd mortages/mezz. Forget about cross linking securities. Forget about everything that happens in home loan land. There are very strict rules/conditions/documentation under which an SMSF can borrow not to mention is it the right strategy. Looking forward to...

The issue of personal guarantees being provided to an SMSF has been an even hotter topic since the recent taxpayer alert issued by the ATO to a point where some lenders are presently having a major re-think before releasing their loan offerings to the public. As I'm currently working...