Loan Brokers

[thaivisitorTeeVee]

I am looking to buy an apartment in my girlfirend's name but she doesn't have a job to qualify for a loan yet. Was introduced to the concept of a loan broker, are these guys legit?

[rgs2001uk]

Not being funny, why dont you buy the apt in your own name?

If she doesnt have a job how will she be able to repay the Loan Broker?

I wouldnt touch this with a bargepole, excuse my cynicism.

[sulasno]

"consultants" charged between 5 to 6 % of the loan and only cater to corporations ; very seldom for personal unless it is for refinancing

[thaivisitorTeeVee]

Thanks for the replies let me elaborate further...

I cant buy it in my name as I can't take a loan from thai banks as officially I dun work in Thailand.

My Gf does not have a job so she does not qualify for a loan, been taught that she can start building up her credit rating but that would take at least half a year.

Was introduced to this loan broker concept and the guy charges 5% of loan amount as one member stated. Initially I thought he was a sort of loan approving officer with a bank making some coffee money to look the other way but it seems he is a freelancer who can get me the best loan rates depending on my needs from all the banks.

Though he did not ask for any money upfront but just checking if this sort of deal is legit. Got friends who gone this route and everything was done without problems.

[dave111223]

If the loan broker can manage to get you a loan that you were otherwise unable to get and only charges the 5% contingent upon on the loan being approved/paid out then I don't see the problem?

[thaivisitorTeeVee]

If the loan broker can manage to get you a loan that you were otherwise unable to get and only charges the 5% contingent upon on the loan being approved/paid out then I don't see the problem?

i am afraid it's not legal and somewhere down the road, its discovered then the loan gets recall then the property gets confiscated etc......

[sulasno]

If the loan broker can manage to get you a loan that you were otherwise unable to get and only charges the 5% contingent upon on the loan being approved/paid out then I don't see the problem?

i am afraid it's not legal and somewhere down the road, its discovered then the loan gets recall then the property gets confiscated etc......

what's not legal ?

the consultant will provide guidelines on how to meet the conditions of the Bank; the Bank will recall the loan when you are unable to service it

[thaivisitorTeeVee]

If the loan broker can manage to get you a loan that you were otherwise unable to get and only charges the 5% contingent upon on the loan being approved/paid out then I don't see the problem?

i am afraid it's not legal and somewhere down the road, its discovered then the loan gets recall then the property gets confiscated etc......

what's not legal ?

the consultant will provide guidelines on how to meet the conditions of the Bank; the Bank will recall the loan when you are unable to service it

For starters, my girlfriend does not qualify for a housing loan with any other banks when she applied, infact she did not even get past the vetting stage.

Now the broker said after assessing my gf's details, said he already gotten an in principle approval for the loan from the Islamic bank....sound a bit dodgy to me.

One need to be a muslim before loaning from the islamic bank?

[sulasno]

what have you got to lose (since he is not getting anything upfront) if the application fails ?

he may use certain loopholes which may include creating some documents to fulfill the terms and conditions of the loan; as long as you service promptly the loan I don't see what's the problem; being a Muslim borrowing from an Islamic Bank could perhaps qualify for better rates ?

[simon43]

One need to be a muslim before loaning from the islamic bank?

No, not at all. My limited understanding of Islam is that requiring interest to be paid on a loan (bank mortgage) is not allowed, and therefore no interest is charged, but a 'fee' for providing the loan is applied - and the repayment of that fee is spread out over the term of the loan. I have heard that it can be much easier to obtain a mortgage from the Islamic Bank, and that they do not discriminate against non-Muslims.

Simon

[eljeque]

I know that the Thai Islamic Bank is easier to get loans from and does not care about the religion of the borrower.

I think that this broker has connections to the bank and for less than his fee, can get someone at the bank to write the loan.

If he prepares phony papers, and next year the bank looks at the papers again, and decides they are not legitimate, the bank can call the loan.

I think it would be better to wait until your gf can rebuild her credit and then have her get a loan straight from the bank without the go between man.

Best of luck.,

[alexanderthai]

Question is you and your gf have no job. Why do you want to buy ??

[Pib]

Nothing illegal about loan brokers (or whatever their official title is), but just beware of the big and fine print of the loan agreement you may sign with whatever bank/financial agency that provides the loan. If it's like loan brokers in the U.S., that loan broker will pretty much be the middle man for all/the great majority of the loan paperwork.

And if you are going to do this loan, PUT THE APARTMENT IN YOUR NAME not the girlfriend's name. Girlfriends come and go....wifes come and go....if the loan is in your name or you are a co-signer, but the apartment is put in her name, the apartment is hers while the loan responsibility is ultimately yours. Sounds like a potential win-lose situation with the winner being the girlfriend and the loser being you. Protect yourself....remember girlfriends come and go....etc.