Think its the old borrow against your house / properties and repay when you die trick
As many as 3500 investors in the Provident Capital's Fixed Term Investment fund have been left stranded after Phil Carter, Tony Sims and Marcus Ayres of PPB Advisory were last night appointed by the Federal Court of Australia as Receivers of Provident Capital Limited.
they are To be eligible to enter into the scheme, applicants must be individuals 60 years of age or over, and have equity in their own home or another residential investment property that the Investor owns (the Property). The scheme may be entered into by either an individual applicant or joint applicants, where a home is owned jointly. Where there are joint applicants all parties must be 60 years of age or over.
MerriweatherAdelaide, South Australia Australia11,403 posts
robplum: Think its the old borrow against your house / properties and repay when you die trickAs many as 3500 investors in the Provident Capital's Fixed Term Investment fund have been left stranded after Phil Carter, Tony Sims and Marcus Ayres of PPB Advisory were last night appointed by the Federal Court of Australia as Receivers of Provident Capital Limited.
they are To be eligible to enter into the scheme, applicants must be individuals 60 years of age or over, and have equity in their own home or another residential investment property that the Investor owns (the Property). The scheme may be entered into by either an individual applicant or joint applicants, where a home is owned jointly. Where there are joint applicants all parties must be 60 years of age or over.
no no i don't hold any investments, however that sort of financial instrument has for some time been muted as a way to enjoy your retirement that the likes of many grey nomad thought as a way to fund your retirement
A reverse mortgage is a great way for a Bank to make bucket loads of money.
Example: A 60yo couple reverse mortgage their home for 50% of it's current value, say $300,000 and get $150,000 put into their pocket. For each year you have the $150,000, the current interest rate is deducted from the remaining 50%. If you lived to 100yo, you could end up being evicted from your home having no remaining equity in your home. Also the bank has locked in the value of the home to the time the reverse mortgage was granted, ie: in 20 years, it's possible the home could be worth over $1 million, but the only beneficiary of this capital gain will be the bank.
daggyone: A reverse mortgage is a great way for a Bank to make bucket loads of money.
Example: A 60yo couple reverse mortgage their home for 50% of it's current value, say $300,000 and get $150,000 put into their pocket. For each year you have the $150,000, the current interest rate is deducted from the remaining 50%. If you lived to 100yo, you could end up being evicted from your home having no remaining equity in your home. Also the bank has locked in the value of the home to the time the reverse mortgage was granted, ie: in 20 years, it's possible the home could be worth over $1 million, but the only beneficiary of this capital gain will be the bank.
In other words you are actually selling your home for half the price.
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As many as 3500 investors in the Provident Capital's Fixed Term Investment fund have been left stranded after Phil Carter, Tony Sims and Marcus Ayres of PPB Advisory were last night appointed by the Federal Court of Australia as Receivers of Provident Capital Limited.
who are the Provident Capital debenture holders
they are
To be eligible to enter into the scheme, applicants must be individuals 60 years of age or over, and have equity in their own home or another residential investment property that the Investor owns (the Property). The scheme may be entered into by either an individual applicant or joint applicants, where a home is owned jointly. Where there are joint applicants all parties must be 60 years of age or over.