Do you have a Bank problem ?
Article from a Senator. I Hope this helps you – read and understand and act
see the attach AFTER read the article
Sent: Wednesday, 2 May 2018 11:08 AM
Subject: FYI Spread far and wide. Fwd: Update & More info on the banks – 1st May 2018
Use the info as you see fit and spread this far and wide.
Now is the time to put the pressure on.
The Royal commission is chugging along in the right direction for many people
Just to give you some idea of what is happening in different peoples cases
Three people I know have communicated with the Royal commission after their submission went in
They have been asked to clarify details
The banks these submissions are complaining about are CBA and NAB
Hopefully they will get to appear before the RC and then their bank gets asked questions on their case to clarify the facts.
· Today A Qld farmer has been asked to meet with his bank (Suncorp) to discuss a settlement arrangement after years of the bank refusing to look at his case.
· A WA farmer has just worked out how his bank (NAB) has conducted an agreement called farmers choice and organised the security arrangements cleverly so it could be securitised – however after much review the penny appears to have dropped on how the deal was set up. A number of people looking at the documents with him are also realising the bank did not have the correct authority to sell up the farmers assets under this arrangement. We hope to educate the Royal commission on this in coming weeks. What the implications of this will be – we do not know.
· All banks I have contacted have now agreed in writing they will not pursue anyone who has signed a confidentiality agreement and who gives evidence to the royal commission. The last bank to do so is Bendigo / Adelaide bank
· My final bit of info to share is that the details about banks having the ability to raise loan / create credit by over 800% via fractional reserve banking are not exactly correct
What Australia has is a capital adequacy system
It works similar to fractional reserve but instead of the banks needing to keep 10% of what they loan / create credit against, they only need 8% but it does not need to be in cash, and it can create credit up to 100% not 90% of the value of the money they have.
Therefore I have modified my questions for people to consider asking their bank. (below) as they can create over 1000% (ten fold increase) in credit against the funds they have to loan.
Capital Adequacy Banking Questions
1) Does your bank practice Capital Adequacy banking? If so, can you explain it?
2) As I understand it, when the bank obtains a deposit or funds from another source, it can then loan those funds out again provided it keeps 8% or thereabouts as cash or in some other form in reserve. Is this a fair understanding?
3) I also understand the bank can loan / create credit to the value of 100% of any funds it has? Is that correct?
4) Therefore if the bank receives $100 to issue as loans (credit to someone else`s account), it can at the very least loan out (credit) $92 and keep $8 in reserve Then credit 92%. of the $92 ($84) and keep $7) then credit 92% of the $84 ($78) and keep $6 then credit 92% of the $78 etc. Is that a fair understanding?
4) By my calculations, if you do that 25 times, you can convert a $100 of a deposit into over $1000 worth of loans (credit (92+84+78+72+66+61+56+51+47+43+40+37+34+31+29+26+24 +22+20+19+17+16+15+14+12 ) plus another $11 still there (to be loaned out). Is that a fair understanding?
5) If not, would you be able to put in writing with the banks letterhead an understanding of how the fractional reserve system works and give it to me within 10 working days?
6) As I understand it, my loan was issued to me under the capital adequacy method of issuing credit to me. Is this correct?
7) If not, can you explain in writing (with the banks letterhead the bank obtained funds or created credit towards my account and how it is different to the capital adequacy system as I understand it?
8) If you do agree, I assert that the bank can easily write off my debt to the amount I am asking, because it will only be losing money that it created out of thin air? Isn`t that correct?
9) If not, can you explain in writing, with the banks letterhead, what the facts are and why writing off a debt (credit) that was created out of thin air is injust towards the bank?
10) So after 10 working days (if I receive no further correspondence) I may/will issue a letter to the bank confirming that the bank has not been countering my assertions with facts, therefore it will be in agreement with me and will enter into a new arrangement.
As a confirmation that I have asked these questions, I am giving them to you in both written and electronic form and will cc in (list any senators and others you will cc your emails to) etc
Leon Ashby| Operations Manager Canberra
Senator Fraser Anning for Queensland
S 1 32 Parliament House Canberra 2600
Phone (02) 6277 32 53 M: 0435423636
the attachment seems to be legit Westpac public notice_on_securitisation_disclosure (1) (1) – if not, it is what happens to your mortgage