We have been completely unaware of this until now, but according to Money Morning, vast amounts of Australian borrowers can significantly reduce, or even cancel, their mortgages if the mortgage documentation was manipulated.
Have we not missed their first story, originally published in August last year, we’d be reporting on this sooner, but – better late than never – Australians with mortgages must know their rights, because the rewards for fixing the bank’s wrongdoings can be enormous.
Here’s the deal – many people whose mortgage documentation has been manipulated by the banks after they signed it, have had their mortgages reduced, and others had their loans cancelled!
The consumer advocate, Denise Brailey of the Banking and Finance Consumer Support Association, who represented these people in a fight against their lenders, gave an interview to Today Tonight. In that interview, she said this: “Well I’m only one person and I’ve been able to get at least 200 of these mortgages extinguished.”
According to research undertaken by Money Morning reporters some kinds of manipulation people found in their paperwork were:
Jobs being invented – an unemployed or retired person were described as having a job and earning a salary.
Salaries being inflated – in some cases 4 times the actual income of a person.
Assets being overstated – business owners had their business’ worth overestimated, in one case from $25,000 to $125,000.
People being conned into signing blank forms that were supposed to go “get filled later”, etc.
The borrowers whose documentation has been tampered with took the banks to court and were supported by the financial and credit ombudsmen.
Money Morning is preparing a report revealing what borrowers need to know to be able to cancel or reduce their mortgage – we will update you as soon as it’s available. Stay tuned.
Do you suspect your mortgage documentation was manipulated by the lender?