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Race to the Bottom

Which New Zealand Bank has won the race to the bottom? Or is there yet another lap to go? Rate cut for market share policies blaze away. Industry commentators point the finger at loose credit policies and see them as a major factor in residential house price inflation. The tactical genius of the banks’ back . . . → Read More: Race to the Bottom

Loans For the self employed

Life can be difficult for those small to mid sized business people wanting to inject cash as a result of a growth spurt, or wanting a short term facility to assist with cash flow. The bank alternative scene is hotting up. There are more options in this field than mainstream supply. Short term interest only, . . . → Read More: Loans For the self employed

Turned down?

If a main stream banking organisation has turned you down, don’t feel too bad about it. Prime banking criteria is strict, is has to be. The Bank Alternative scene is hotting up. There are some excellent options available for both refinancing and purchasing. Criteria is different. Rates and terms can be very competitive. Email: . . . → Read More: Turned down?

Deal of the Century

Well almost!! Two clients. In their 60’s. Wanted money to tour the world before going into a retirement village. Income was tight. No Bank interested in their situation. My firm arranged a two year capitalised interest facility at the insane rate of 6.5%. fixed for the term via a Lender on my panel. They will . . . → Read More: Deal of the Century

Marketing Engine

On building a marketing engine via LinkedIn. Is it all about torque?…. I like the USA’s engineers’ analogy: “ There is no substitute for cubic capacity.” You can build a two stroke, that splutters and coughs, or perhaps, a high spinning rotary, that blows up in your face after a few miles. Then again you . . . → Read More: Marketing Engine

What is an open ended bridging loan?

I’ll tell you in one word…. “Risky”. When you take out an open ended bridging facility, you buy a property without having exchanged contracts on your present property. Even when you have a potential buyer you are exposed. If the deal falls over you could end up paying a hefty interest bill on both properties . . . → Read More: What is an open ended bridging loan?

What Is Mezzanine Finance?

Expensive if you need it. Risky if you are supplying it. Popular amongst Developers in NZ (Pre 2008) Basically it is debt capital that gives the lender the rights to convert to an ownership or equity interest in the company if the loan is not paid back in time and in full. It is generally . . . → Read More: What Is Mezzanine Finance?

Go on… Google Yourself

It does not take much in the way of courage, not unless there are negatives hanging out there. Your private parts could be exposed!!… Find every article about yourself that you can, you may be surprised at what turns up!! Social media and the internet expand privacy boundaries to the limit. People love negative gossip . . . → Read More: Go on… Google Yourself

Business &Commercial borrowing rates

How much will you pay ? Whilst we are all fascinated with the current downward pressure on residential rates, commercial rates are higher and erratic…. Why? As a rule Prime Banking entities split their commercial charges three ways. e.g. base rate, client specific, and monthly overdraft fee. These vary and add up. You could be . . . → Read More: Business & Commercial borrowing rates

Exit strategies

Exit strategies are important. Mortgages and loans are quite easy to get into. There are many suppliers out there ready to stitch you up….However unraveling debt facilities can be very a stressful task. Reducing pain by way of debt consolidation is a little like taking paracetamol. Planning short term debt exit should be upper most . . . → Read More: Exit strategies