Noel Whittaker's Blog
By Noel Whittaker
I recently received an email pointing out that I often recommend interest-only loans for investment, and asking what the purpose of the strategy is. In the reader’s view, it seemed futile to take out a loan that you would never pay back. The purpose of using an interest-only loan is to minimise your monthly interest …
Today we’ll talk about a strategy that can help you build wealth – borrowing. Most Australians borrow – either for logical or emotional reasons. A logical reason is to buy a home now because you believe there will be long term growth – an emotional one is to get that latest big screen TV today …
Bank interest rates are on the rise, and it’s got nothing to do with any action by the Reserve Bank. Simply, the interest rate cycle has turned, and rates all around the world are going up. As a consequence, the cost of funds sourced by our banks from overseas is rising as well. Unfortunately, our …
Even though offset accounts are one of the most useful investment tools you can have, very few people understand them. If you deposit money in a normal account you will probably earn less than 2% per annum and could lose nearly half of that in tax. However, when you deposit your money in an offset …