[tgavin71]

I too would stay well clear of something like this unless it is run by a reputable business. There is a housing co-op in Sydney where everyone who wants to be involved deposits $50,000. How you get that money is up to you. Every month, quarter, 6 months or year depending on the number of participants a name is drawn they are given an interest free loan for the total amount they need. All participants have to fullfill borrowing criteria before the loan is settled. Any new participants go to the bottom of the list. So it is fair for all. Granted you miss out on interest you would earn on $50,000 but not having to pay interest to a bank on $400,000 is worth it. Anyone who wished to withdraw their money can do so at any time with no penalities.