New Zealand Socialist Government does something right

[TLandHim]

In response to the havoc they have wreaked on the economy by their "lockdown" they have announced a loan package for small and medium businesses (those that employ less than 50 people)

$100,000 loan, interest free for 1 year and then 3% for a maximum of 5 years. Must be repaid, it is not a gift.
Totally unsecured.

The real plus on this is they have cheated the vultures that prey on the NZ economy. The Australian owned banks have looted their NZ customers for many years, just the same as they did to their Australian base.

The loan requires no security ie no personal guarantee or security by way of mortgage on their house.

Should be a great tool that will assist owners to try and keeo staff on in this period of no business takings.

[JohnDoe]

Sounds great.
Get the loan, close down the business, sell the house, move to Thailand and spunk all the money.

Win win

[TLandHim]

Sounds great.
Get the loan, close down the business, sell the house, move to Thailand and spunk all the money.

Win win

Yes in theory you could win

the reality is NZ has a ridiculously good pension system payable to all NZ citizens at 65 even if you do not reside in NZ.
The loan is from the tax department and they would just sequester repayments from your superannuation or put a lien on your Kiwisaver funds which cannot be paid until you reach 65.

Having seen the way the tax dept pursue student loans, slowly but surely,
I'd put my money on them to collect from most deliberate defaulters.