From: Glenn Mott
After crawling the internet for a few days, hassling Rick Otten, Michael G, Francois and a few others (thank you to all very much), I have found the way to become a credit provider in Western Australia.
Firstly, navigate to http://www.fairtrading.wa.gov.au/publications/forms.shtml#licence and download:
Credit Providers application for an Individual (65kb)
Credit Providers application for a Body Corporate (65kb)
Credit Providers application explanatory guide (65kb)
The explanation guide will tell you that the application fee is only $239 and that there is an ongoing fee of:
Average financed amount in previous 12 months x 12 / 1000 with a minimum fee of $233 per annum
After speaking with a very helpful person at Fair Trading, she advised that while most applicants apply on behalf of their own Pty Ltd, she does receive applications from individuals. All applicants must have at least $10,000 setup in a separate bank account to be used for their credit providing business. There are no minimum education or experience requirements but if these are not present, a detailed examination of the applicant's history will take place. To date, nobody has been refused their application.
Now, I have a question for those that have already completed vendor finance for properties that they have owned for a while...is it possible to setup the finance package for the purchaser without refinancing the property yourself. Eg, you have a property worth X amount that you have 40% equity in but don't wish to go through the process of refinancing and are happy with the extra income that would come?
Glenn
After crawling the internet for a few days, hassling Rick Otten, Michael G, Francois and a few others (thank you to all very much), I have found the way to become a credit provider in Western Australia.
Firstly, navigate to http://www.fairtrading.wa.gov.au/publications/forms.shtml#licence and download:
Credit Providers application for an Individual (65kb)
Credit Providers application for a Body Corporate (65kb)
Credit Providers application explanatory guide (65kb)
The explanation guide will tell you that the application fee is only $239 and that there is an ongoing fee of:
Average financed amount in previous 12 months x 12 / 1000 with a minimum fee of $233 per annum
After speaking with a very helpful person at Fair Trading, she advised that while most applicants apply on behalf of their own Pty Ltd, she does receive applications from individuals. All applicants must have at least $10,000 setup in a separate bank account to be used for their credit providing business. There are no minimum education or experience requirements but if these are not present, a detailed examination of the applicant's history will take place. To date, nobody has been refused their application.
Now, I have a question for those that have already completed vendor finance for properties that they have owned for a while...is it possible to setup the finance package for the purchaser without refinancing the property yourself. Eg, you have a property worth X amount that you have 40% equity in but don't wish to go through the process of refinancing and are happy with the extra income that would come?
Glenn
Last edited by a moderator: