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BFCSA investigates fraud involving lenders, spruikers and financial planners worldwide.  Full Doc, Low Doc, No Doc loans, Lines of Credit and Buffer loans appear to be normal profit making financial products, however, these loans are set to implode within seven years.  For the past two decades, Ms Brailey, President of BFCSA (Inc), has been a tireless campaigner, championing the cause of older and low income people around the Globe who have fallen victim to banking and finance scams.  She has found that people of all ages are being targeted by Bankers offering faulty lending products. BFCSA warn that anyone who has signed up for one of these financial products, is in grave danger of losing their home.


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BFCSA: "Calculators could catch brokers out "

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Calculators could catch brokers out                           

by Ben Abbott | 01 Apr 2011                    

QED Risk director Greg Ashe said that under the new licensing regime, he would “strongly advocate” brokers develop their own fact find and serviceability calculators, as lenders could in fact use legal means to “hide behind brokers”.

“If a broker is using a lender’s serviceability calculator without understanding the mathematics and assumptions behind it – and they have not accounted for lifestyle expenditure -  how can they truly stand up and say they conducted reasonable enquiries?” he said.

Ashe said at the ”very, very, least”, brokers should take comprehensive notes and consider the client’s lifestyle expenditure – even if this aspect does not form part of the serviceability calculator. Ashe said if this is known and understood by the broker, they will have some evidence to show that the information formed part of the credit decision and recommendation process for that client.

In terms of developing a credit policy, Ashe added that brokers do not need to concern themselves with the intricacies of lender policies, as long as they have a fairly simple policy document that expresses how they will approach their responsible lending obligations.

For more detailed information on how to handle your approach to credit policy, see Australian Broker's 'Toolkit' section in our upcoming edition 8.07.

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  • doyla66
    doyla66 Thursday, 30 January 2014

    have a look at the date of when this was published 1 APRIL 2011... april fools?? brokers and we consumers alike!

  • doyla66
    doyla66 Thursday, 30 January 2014

    Well sleuthed Change. Sure hope those brokers are reading comments for they are again all being led right into the lions dens!

  • doyla66
    doyla66 Thursday, 30 January 2014

    Have you read the MFAA submission to the Senate, No.411 I think. They state if there was fraud on LAF's that people could of come to them to complain about the broker. Who before this mess has heard of MFAA, the fools are backing ASIC by stating there is no systemic fraud on LAF's. Like lemmings the brokers will line up and the banksters will guide them to the cliff edge where they can all jump and take all the evidence against the banksters to their doom, just like the banksters planned it.

  • doyla66
    doyla66 Thursday, 30 January 2014

    Does it means perhaps Monuments, Fine Arts, and Archives program Neil? According to Wikipedia that's all about helping protect cultural property in war areas!

  • doyla66
    doyla66 Thursday, 30 January 2014

    I suggest all who used a broker write to the MFAA and request an investigation because of anomalies found on
    their loan application forms after signed. I had my broker expelled doing this.
    One victory to me!

  • doyla66
    doyla66 Thursday, 30 January 2014

    MFAA said our broker was not a member. He voluntarily did not renew membership and was not expelled. He declared himself bankrupt and tells us that he has destroyed ALL our files.. and we saw heaps and heaps of folders, just relating to us, on his desk in his office. Today he is a buyers agent for aussie investors wanting to buy USA property "cheaply".

    I notified ASIC and warned them about this rogue who believes he is "helping" by setting us all up to fail whilst he continues to collect his commissions.. and hefty ones at that I hear .... Now I find out he is known as a crook in the industry by his peers.

    ASIC CSO says, he does not need to be licenced to operate as a buyers agent.... so he is left to his own devices... no doubt working under someone else's business registration (as he is a bankrupt)


  • doyla66
    doyla66 Thursday, 30 January 2014

    EXACTLY... as judged by the few brokers that have been pinged by ASIC lately as a show of investigative power. What about pinging a few Bank superiors and sending them off to jail?

    “QED Risk director Greg Ashe said that under the new licensing regime, he would “strongly advocate” brokers develop their own fact find and serviceability calculators, as lenders could in fact use legal means to “hide behind brokers”."
    The lender can use their lack of exposure to the client as a defence," he said.

  • doyla66
    doyla66 Thursday, 30 January 2014

    there were no ‘regulations’ requiring brokers to keep files in 2007/09

    From: MFAA
    Sent: Friday, August 10, 2012
    To:(name withheld)
    Cc: Phil Naylor ; Peter Kennedy

    Subject: RE: Complaint re RAMS, La Trobe Financial, MortgageEZY and XXX BROKER

    Hello (name withheld),

    Unfortunately, in my opinion, we are not in a position to provide any further information on XXX, principally because he is no longer a member and as such we have no current Privacy Consent to release that information without some form of judicial demand.
    As to the other pieces of information you requested:

    (a) whether or not the documents were sent to an aggregator was (at that time) most likely merely an administrative agreement between the broker and the specific aggregator. As far as I am aware there was no legal requirement to either keep or pass on copies of those documents to aggregators;

    (b) there were no ‘regulations’ requiring brokers to keep files in 2007/09 – nor is there such a requirement currently, unless the Broker also happens to be an Australian Credit Licence (ACL) holder;

    (c) we are unable to provide you with the information about his aggregator for the reasons cited above re Privacy; and

    (d) XXX did not renew his membership, as opposed to being “deregistered”, when it fell due on 1 November 2010.

    I hope this answers your questions.

    Governance & Compliance
    Mortgage & Finance Association of Australia (MFAA)
    Suite 12, 40 Yeo Street Neutral Bay NSW 2089
    PO Box 604 Neutral Bay NSW 2089
    T: 1300 554 817 D: (02) 8905 1315 F: (02) 9967 2896 M: 0403 096 089

  • doyla66
    doyla66 Thursday, 30 January 2014

    No wonder Mr. RAMS is now hiding under the umbrella what he thinks is the big safety net of the Ned Kelly mob. I have read a few articles where it is stated he told all of his brokers to destroy paperwork once loans had been approved! GUILTY GUILTY GUILTY

  • doyla66
    doyla66 Thursday, 30 January 2014

    How the hell do these people operate. ASIC state they shut people down if they don't have the appropriate licenses but these scum bags still operate with ASIC's blessing in different guises. Kell states don't put all your faith into brokers and advisors, if the regulator stringently enforced the regulations, the evil doer's would be caught. There should be one designated authority to deal with contract fraud, at present it comes under many banners so anyone who has a complaint is shunted from one authority to another.

  • doyla66
    doyla66 Thursday, 30 January 2014

    Wish I had enough money to take out a few contracts on a few of them. I reckon they are all taking part in some new drug trial and side effects send them on such a high they really believe they invincible and beyond reproach yet the only ones they are kidding are themselves! Afraid all in my view have become a laughing stock with a -ZZZ credit rating!

  • doyla66
    doyla66 Thursday, 30 January 2014

    If we were like the U.S with basically no gun control, how many of the banksters and their shyster lawyers would be around to screw us over. I quiet fancy Greggy's stuffed trophy head mounted over the fire place, at least I could have the last laugh as he smugly looks down at me. Open season on banksters and their lawyers, now thats something to dream about.

  • doyla66
    doyla66 Thursday, 30 January 2014

    Neil and Organza you have brightened my day and made me laugh heartily. I am still giggling whilst typing. The thought of your suggestions is hysterical. Greggy's stuffed head would be more like a thin lipped devil staring back at you. At least you could make rude gestures at him and he wouldn't be able to answer back. At least you would get some satisfaction, not like ASIC's replies which tell us all to bugger off. I call the Nab's lawyer Adam Seagull not Segal. You know what seagulls do in the north of victoria they just hang around the tips and rubbish dumps scavenging. Actually my court documents were filed with Seagull all over them. Accident at the time though. My computer kept changing his name to Seagull and I didn't notice. I would think he thought I did it deliberately. Nothing was mentioned in court about the boo boo. After that is was very hard for me to call him Mr. Segal in court kept slipping back to Seagull. ARK!!!!!

  • doyla66
    doyla66 Thursday, 30 January 2014

    Seagull it is Nanna, scavenges for the tit bits the banksters throw their way and then crap on everything they come near.Did Mr Seagull have short legs , beady eyes and a shrill voice or screech?

  • doyla66
    doyla66 Thursday, 30 January 2014

    Yes Neil. He was a very pasty faced chap who went red in the face easily, you know weasley type and yes beady beady eyes. I thought he was going to explode at times when things didn't go his way. He had a lacky with him who sat on a chair with wheels at the desk. This little guy just kept rolling back and forth picking out papers for Mr. Seagull. He looked like Dicky Knee?? from Hey Hey it's Saturday from years ago. So there were some funny moments in the court room. Mr. Seagull opened his beak a bit wide at times and the judge shot him down. Yep red from head to toe. He mostly kept his back to me but you could see the blood rising up his neck. Arn't I a wicked old girl.

  • doyla66
    doyla66 Thursday, 30 January 2014

    Sounds like your Jonathon Livingstone Seagull( remember Neil Diamond and the 70's Nanna) is suffering from high blood pressure and stress. Sooner or later that boiler will blow and he will be another stroke statistic and alas a bankster victim as well. These low life banksters and lawyers can have their money and life style. I get more joy playing with my grandchildren to me thats priceless. I almost feel sorry for them. I said almost.

  • doyla66
    doyla66 Thursday, 30 January 2014

    Well I think we are really dealing with cockroaches here. Did you know if you catch a cockroach shove in a screw top jar and forget about it if one takes off the lid a year or so down the track they actually come back to life such is their ability to hibernate? Seems to me that's exactly what we are dealing with here for you just can't catch the buggars and when you manage to nab a few and lock them up once out of the clanger they all come back to life and get up to their old tricks again don't they?

  • Denise
    Denise Thursday, 30 January 2014

    BFCSA told you so..........Lenders hiding behind disgraceful calculators to bring in the business and hide behind the Brokers and then blame the Brokers for inflated incomes on LENDER ENGINEERED CALCULATORS. ASIC was warned of the dangers of these calculators in 2002, as they are a one size fits all. Very simple for Brokers and Borrowers. LOOK AT THE NET FIGURE the borrower earns - DO NOT throw in hypothetical and tainted assumptions: eg tax advantages, when people pay very little tax, rentals that may not happen, 3 year rent guarantee scams (yes that's a creating wealth industry scam and scandal).
    TIP FOR BORROWERS - if Broker uses a service calculator do not sign anything. Do not sign a document without being given an immediate copy before he or you leave the premises. Easy steps to avoid the pain of losing one's home. You were told NO RISK? Rubbish, our Member Victims LIST is piling up!! Time to fight back........................We are close to 20,000 hits since September and nearing 200,000 hits world wide the past two years..................... You seek a mortgage? Join us first and learn what not to do from those with first hand experience of the banking and finance system. [email protected]

  • doyla66
    doyla66 Thursday, 30 January 2014

    Yep thats how the Brokers and banksters do it. Projected figures for 3 years for business plan. Each year always better than the last and better than the average. Then the monsters reduce the costs to make it look even better. Inflate the equipment being purchased. Forget that lease rentals go up progressively and yearly. Don't include owners wages in the equation and finally inflate your only asset your home valuation so the get out plan look terrific. The plot thickens and gets worse. The Broker is a mate of the BDM and plays golf with him. The Broker is an ex Nab bank manager. The Broker is not accredited. Forged signatures. Unilaterally added guarantors. No LAF completed. No checks of any kind. No contact of any kind. Blah Blah The list just goes on and on. Take Denise's advice. Read and take notice of her posts.

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