Rod + Frank, you asked for clarification about this. Here is what the guy
wrote, let me know if you don't understand it.  I reckon it's pretty bloody
dubious, not from Citibank's point of view, but from the tax office.  How
the hell are you going to explain to the tax office that the extra loan was
an investment loan!!!!!!!???


Citibank Loan Facility
----------------------

I have spoken to Citibank about the structure of your two loans
and the fact that both names are on the housing loan but only
one on the investment loan.  While this will involve a little
more paperwork for Citibank, I have been assured that the
objective I was taling to you about can be achieved.  That is,
the gains you make on your investments can be used to reduce
your housing loan and increase your investment loan without
having to realise on the investments.

This would be done once a year and the advantage to you of doing
this would be to provide you with a larger tax deductible interest
component and more rapid clearance of the housing loan.

The way it works is that if we assume that your investments increase
from $96,000 to $106,000 after 12 months, Citibank will be prepared
to consider reducing your housing loan by $10,000 to $90,000 and
increase your investment loan from $96,000 to $106,000 thereby
maintaining a total debt exposure of $196,000.  This is basically
a book entry which assumes that you have $10,000 available to
reduce the housing loan and the bank is prepared to increase
your investment loan by $10,000.

Citibank take only security over your house property, not your
investments.