BFCSA Blog

And the comments continue whilst we wait for ASIC's next orbit (eg round in circles)....................From that height they can only see tall bank and insurance buildings the GREEDY BIG END OF TOWN....................no pesky consumers.       This observant piece from a member:- Great analysis Denise. I agree with Organza - we'd be laughing in the aisles if this weren't such a tragedy.  The lack of depth in ASICs comments is what gets to most people. It's like they're parroting buzz words and catch phrases.  As for having faith ... that's nice, but we're looking for real solutions, not just the public service PR fluff that keeps being recycled.  It's like a conversation between robots with pre-recorded responses.  But what we're saying is: "Danger, danger Will Robinson" and "Destroy Exterminate".  And the boffins at ASIC are trotting out totally inappropriate responses, like they're on another planet, which clearly they have been...

Changes to Penalties?  It's more of Australian Securities and Investment Commission ("ASIC") Chief Medcraft's Muddle and his equally mind-blowing smoke screens:  He wants parking ticket type fines increased for misdeameanors  BUT DOES NOT MENTION immediate action AGAINST LENDERS.  Lenders APPROVED these dodgy loans - every last one of them.  Medcraft's Banker Mates set up the consumers to enable the Banks to steal ordinary Mums and Dads homes and his Banker Mates set up the Borrower agents to take the wrap! Then there was the securitisation scandal re the Australian Office of Financial Management to buy the TOXIC products and and "profit from the fraud." Medcraft says he wants stiffer penalties but only takes the annual obligatory handful of actions via DPP, and only against the little cases - brokers with foreign names...........did you notice that?  Easy targets?  Not too much hard yakka?   Your bias is showing. Greggie, What about the...

Yes Robert we "start cleaning up this Nation by exposure of THE BANKERS CARTEL" Robert Mc - one of our readers writes:-   Banking FRAUD the reason we all come to this site, to see if one day a Mainstream Media outlet will finally put on the table the truth they have known for many years but have been too scared to expose. Our Government certainly wont let it out, not this current one as their illustrious longest serving Prime Minister was the one to lay the foundation for the deregulating of our Banks.   Our now opposition wont expose the truth about what is happening because they are the ones who implemented the entire deregulation of the Banking industry when they held power then went on to sell the toxic Banking product the RMBS. To cap off the two major political parties having a big vested interest in this fiasco...

399 Submissions and counting..... Some very interesting reading here.  I understand that Submissions into the Performance of ASIC are still being accepted by the Committee up to 10 January 2013. http://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Economics/ASIC/Submissions email your submission via Email:  This email address is being protected from spambots. You need JavaScript enabled to view it. EDR’s are supposed to have a Panel of Review – but that has disappeared from FOS….why? Did ASIC say they could drop the review process?  If yes,  when?  ASIC are the licensee of the EDRs How did that reduction in investigations assist consumers or the Lowering of investigative standards? It's a bit like the Banksters lowering lending standards. This is not a fair and equitable system when recommendation is being now bypassed and a TAKE IT OR LEAVE IT stance has been taken by the Ombudsman. Banks must be whooping for joy... So everyone needs to write to Parliament about this latest twist in FOS behaviour that ASIC HAS failed to address. ASIC have meetings...

Members understand what this crime scene is all about.  They are ordinary Mums and Dads who did not deserve to be preyed upon by deceitful banks: One Member writes: Banks cultivated brokers but also saw them as disposable pawns and foot soldiers, like door to door salesmen, which is how they were behaving where we lived. Out hawking for business, the bigger ones out spruiking and touting at glossy property investment and wealth creation events. As I understand it the Credit Assessor (CA) can override the system if they wish. Thus any loans that are knocked back can be reviewed ("talk to us") according to the collection of Bank/BDM/Broker emails I've read. Banks & Lenders were vying for business, offering Brokers "incentives" to put more business their way. Brokers also knew which Banks & Lenders were being "generous" ie. lenient with lending rules and generous to Brokers, allowing more loans through...

Tom is spot on:  Denise, As know FOS are now eliminating the appeal avenue from their decisions and going straight to determination effectively benefiting the banks and themselves.  By the time the Senate Inquiry into Lazy ASIC reports  in March FOS and COSL hope to reduce their over bloated case load.  The one they both pretend they do not have.   Our Banks and ASIC, reminiscent of the Nazi tactics in the latter stages of WW11: holding centres and send everyone to gas chambers before the Allies arrived.  This time its the Bank Case Manager executioners.  Naturally, it's in everyone's interest except consumers of toxic bank loans, to have ASIC lie twice to Parliament: "we see no systemic issues."  Industry Regulators and their Banking Buddies must be desperate to shred the evidence to skew the figures of case numbers. Yes Sir:  The most experienced INCOME FIGURE FUDGERS and Document Magicians with disappearing files living...

My files are FULL of evidence from people with legitimate claims of Maladministration in Lending amongst the Major Banks - registered as FOS members.  No-one better tell our members there is not a problem in Australia.  At least BFCSA was on the money when it told all members to demand the FAXED copy of the Loan Application form.  A key INDICATOR OF FRAUD IN THE BANKING sector materialised when NAB WESTPAC, ANZ and CBA started to SHRED DOCUMENTS.  Yet the Australian Securities and Investment Commission bleated to Federal Parliament they could find no evidence of fraud!"  Corrupt or incompetent?  YOU be the judge. ASIC hands out licences to FOS and COSL: the External "Dispute" Resolution Services (EDR's), controlled and funded by Banks.  ASIC therefore say "we do not investigate consumer complaints!"  No-one does.  Fraud is being treated as a "dispute" and the fraud is supposed to be investigated by the lazy...

Hi Anton.  Joe Hockey's Mother in Law.  If the bubble bursts, then yes, Shareholders opf Major Banks (85% Low Doc market share) have been given fudged figures as to the true exposure to bad practices and toxic lending ie 36% of TOXIC loans created by Bank Officers - no broker involved.  ASIC say 97% of brokers are hard working good guys - we agree.  Banks tell Parliament "only 1% of loans credit impaired"  That is plain rubbish.  Banks telling lies to APRA and Parliament?  APRA's figures to Treasury are gleaned from only one source and left unverified.  Figures come from trusted banks and are not cross's analysed!  Do shareholders know this?   Indeed, I raised the RMBS issue in Parliamentary Senate Inquiry into Banking Post GFC, last year (8th August 2pm) that "Government cannot profit from fraud..."  Treasurer Swan acted soon after and shot down "our most profitable policy of purchasing RMBS."   Treasurer Swan realised...

The Inquiry by the Senators into ASIC has been called for since 1998 when it first opened.  Back then ASIC was handing out Financial Planning licences to those connected to the Finance Brokers Scandal in Western Australia.  Also the solicitors involved in the Managed Investment Scheme scams were handed licences with no back ground checks and they mostly used wrong DOB's as directors to stuff up the system.  ASIC knew this to be true but said they never check DOBs cause we are all honest aussies.  Besides, ASIC could make 6 x $30 search fees by DOB confusions. The first one who boasted "in the door" and approved for  a newly minted  Managed Investment Scheme license was Clifton Partners Finance run by colorful identity Kim Clifton.  I noticed the same brokers handing out Westpoint brochures at the same time as looking after suspect investments offered to finance broker victims coming from...

Australian Banks boast the World's biggest profits from 22 million people.  Newsflash: you cannot profit from a fraud!  Yet it appears to be the case down-under in the land of the long lunches and long weekends. The Senate has acknowledged that the regulatory oversight of banks and finance is so appalling and so corrupted,  as to having the Senate hold their own Inquiry into the Australian Securities and Investment Commission.  Consumer complaints by the thousands, have been utterly ignored over a shameful 14 year history of ASIC "protecting a fraudulent bankster driven market" at the expense of ordinary Mums and Dads.  My own letters relating to consumer protection issues, or lack of, were responded to in the most shameful way, by successive Chairmen, commencing in 1998. Banks are blowing massive Bubbles in the property sector and in late 90's, set up the Broker Channel to cop the blame.  The "fudged income...

Our surveys show that 18% of FULL DOC LOANS are TOXIC.  NO verification of income took place, copies of LAFs were not given to the client in direct breach of consumer law and often three people's hand-writing on the loan applications.   Each of these files show the loans were arranged by BANK MANAGERS and internal officers: NO BROKERS involved. In addition, 36% of BFCSA Members surveyed admitted their LOW DOCS or FULL DOCS were arranged by BANK MANAGERS and internal officers: NO BROKERS involved. Would the Commonwealth Government of Australia please tell me why 36% of SUB PRIME LOANS uncovered by BFCSA investigations were specifically arranged by BANK MANAGERS, the majority of whom worked for the Major Banks?  So how safe is our $1.28 TRILLION Mortgage Market????  Who were carrying out the audits?  Not APRA it seems. This email address is being protected from spambots. You need JavaScript enabled to view it....

Derivative reforms could cost Aust banks millions Source: Business Spectator  Australia's big banks are challenging planned global financial regulation that would hit their heavily-used currency swaps, potentially increasing funding costs by hundreds of millions of dollars, The Australian Financial Review reports. Under the proposed derivative regulations, Australian banks would pay a margin of 6 per cent on about $350 billion of cross currency swaps, which are used heavily by banks that rely on international funding markets in order to hedge foreign exchange and interest rate risk. The Australian Financial Review says ANZ Banking Group, Commonwealth Bank of Australia, Macquarie Bank, National Australia Bank and Westpac Banking Corp had penned a joint letter to the International Organisation of Securities Commissions, warning the Australian banking system would be “severely impacted” by the requirement to post initial margin on cross currency swaps. Local bankers hope ASIC chairman Greg Medcraft, who also currently chairs the...