Family Sharing Bugs - Anyone else getting this

Hi all,
Like many of you, I excitedly reset my entire family's universe of iPads & iPhones to take advantage of Family Sharing when iOS 8 was launched.
We previously shared one master id for iTunes and iClouds (sharing photos, storage and iTunes purchases), with separate IDs for iMessage.
I have managed to set up Family Sharing but I have not managed to get it to work.
From the "master" account, I have successfully invited 2 "subsidiary" accounts on 2 separate devices. I can see the sharing has been switched on both the "master" device as well as the two "subsidiary" devices in Settings > Family for each device. Changes to the toggles here (Parent / Guardian and Share Purchases) can be successfully toggled on and off with a corresponding change in the other devices so at least these settings appear to be updating correctly.
However:
- I cannot see any of the shared music in either the Purchased section of the ITunes store (message is: This iTunes account is not set up to use Family Sharing)
- I can see apps purchased by other Family Share members ("master" or "subsidiary") but cannot update or download any apps (message is: Redownload unavailable with this Apple ID because it was bought by a different user or the item was refunded or cancelled, or Update unavailable for the same reason)
Solutions I have tried (none work:)
- Switching each device on and off
- Signing out and back in again on iCloud and iTunes on each device
- Toggling "Automatic Download" on the APP switch on and off in Settings > iTunes & App Store
- Toggling "Parent/Guardian" on / off in Settings > Family for each member
At a complete loss - any help appreciated.

I have very similar problem, but it appeared only after few days after installing most apps to my wife's iPhone. When I first installed, all worked as it should but then all of sudden I started getting the "Redownload unavailable with this Apple ID because it was bought by a different user or the item was refunded or cancelled". Recently, it also shows "Unable to download, your family must have a valid payment method.", which is ridiculous since I as family organizer am purchasing apps/music normally.

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