It is not uncommon for children to receive financial support or a financial contribution from mum or dad (or even another family member) to get a foot in the property market. The “Bank of Mum and Dad” is now the fifth biggest home lender in Australia, with 29% of parents reaching into their wallets to help their children.
While many parents may assist their children with no intention of receiving repayment, a loan may still be the most prudent approach rather than a gift. Some of the key considerations for any parent are:
- Will I need this money in the future?
- What happens if my child defaults on their other loan/mortgage to another bank? Will I get my money back?
- What happens if my child goes through a relationship breakdown? Will their ex get the property or my money?
- Can I do the same for my other children and how does this affect my Will?
- What happens if this strains my relationship with my child or other family?
In this webinar, you will gain a better understanding of:
- Different approaches to documenting loans. This webinar will cover everything from “shaking on it”, to a simple “I O U” to “belts and braces” documentation.
- Common characteristics and terms found within loans, including approaches to repayment, interest rates and terms of default.
- The different levels of protection each approach affords the lender and steps a lender can take to maximise protection.
- The treatment of loans by the Family Court, where a party to the loan is going through a relationship breakdown.
- The treatment of loans in estate administration and/or estate litigation, where a party to the loan has passed away.
Join our panelists, Senior Associate Angelo Bistolaridis, Senior Associate Jana Sosner, and Associate Camille Broadhurst for an interactive session.
You have the opportunity to submit questions before the webinar. Please submit any questions to events@rk.com.au.
Webinar Details
We are utilising Zoom to run this webinar. Zoom is free to download and can be viewed from your PC/mobile device.
The live webinar is free to attend and attendees will be sent a link to log into the live webinar room 15 minutes before the scheduled start time.
DATE: Tuesday 18 August 2020
TIME: 11:00 am – 12:00 pm AEST
COST: This webinar is free to attend but bookings are essential as places are limited.
To register for this online webinar click the button below:
Register for the webinar here
Presenters: