(mostly from 3rd party posting)
The banking ads represent, in one way or another, that the bank will lend you money in exchange for repayment, plus interest. This absurd idea is completely contrary to what, in reality, transpires and what is actually intended. In actual fact, banks do not lend you any of their own, or their depositors money.
False advertising is an act of deliberately misleading a potential client about a product, service or a company by misrepresenting information or data in advertising or other promotional materials. False advertising is a type of fraud and is often, a crime.
When you sign and remit a loan or credit card application, (say you are approved for $10,000.00) the commercial bank stamps the back of the application, as if it were a check, with the words: “Pay $10,000.00 to the order of…” which alters your application, transforming it into a promissory note.
Altering a signed document, after the fact with the intention of changing the document's value, constitutes forgery and fraud.
Having altered the original document, the (now) promissory note is deposited at the local Federal Reserve Bank as new money. Generally Accepted Accounting Principles (the publication governing corporate accounting practices) states: “Anything accepted by the bank as a deposit is considered as cash.” This new money represents a three to ten percent fraction of what the commercial bank may now create and do with as they please.
So, $100,000.00 to $330,000.00.00, minus the original $10,000.00 is now added to the commercial bank's coffers. With this scheme they are taking your asset, depositing it, multiplying it and exchanging it for an alleged loan back to you. This may constitute deliberate theft by deception. In reality, of course, no loan exists – which is why when we ask for certain records to verify their transfer of real property (assets) to you, they can never produce it, EVER.
At this point in the process, they have now transferred and deposited your note (asset) to the Federal Reserve Bank. This note will permanently reside and be concealed there. Since they've pilfered your promissory note, they owe it back to you. It is you, therefore, who is actually the creditor. This deceptive acquisition and concealment of such a potentially valuable asset amounts to fraudulent conveyance.
The term “fraudulent conveyance” refers to the illegal transfer of property to another party in order to defer, hinder or defraud creditors. In order to be found guilty of fraudulent conveyance, it must be proven that the intention of transferring the property was to put it out of reach of a known creditor – in this case, you.
Once they have perpetrated this fraudulent conveyance, the creditor then establishes a demand deposit transaction account (checking account) in your name. $10,000.00 of these newly created/acquired funds are then deposited into this account. A debit card, or in this case, a credit card or paper check is then issued against these funds. Remember – it's all just bookkeeping entries, because this money is backed by nothing.
Money laundering is the practice of engaging in financial transactions in order to conceal the identity, source and/or destination of money. Previously, the term “money laundering” was applied only to financial transactions related to otherwise criminal activity.
Today, its definition is often expanded by government regulators to encompass any financial transactions which generate an asset or a value as the result of an illegal act, which may involve actions such as tax evasion or false accounting.
As a result, the illegal activity of money laundering is now recognized as routinely practiced by individuals, small or large businesses, corrupt officials, and members of organized crime (such as drug dealers, criminal organizations and possibly, the banking cartel).
Since receipt of your first “statement” from each of your creditors, they have perpetuated the notion of your indebtedness to them. These assertions did not disclose a remaining balance owed to you, as would your checking account. Mail fraud refers to any scheme which attempts to unlawfully obtain money or valuables in which the postal system is used at any point in the commission of a criminal offense.
When they claim you owe a delinquent payment, you are typically contacted via telephone, by their representative, requesting a payment. In some cases this constitutes wire fraud, which is the Federal crime of utilizing interstate wire communications to facilitate a fraudulent scheme.
Throughout the process of receiving monthly payment demands, you may have been threatened with late fees, increased interest rates, derogatory information being applied to your credit reports, telephone harassment and the threat of being “wrongfully” sued. They extract even more money while keeping the illusion alive.
Extortion is a criminal offense which occurs when a person obtains money, behavior, or other goods and/or services from another by wrongfully threatening or inflicting harm to this person, their reputation, or property. Refraining from doing harm to someone in exchange for cooperation or compensation is extortion, sometimes euphemistically referred to as “protection”. This is a common practice of organized crime groups.
Blackmail is one kind of extortion – specifically, extortion by threatening to impugn another's reputation (in this case) by publishing derogatory information about them, true or false, on credit reports. Even if it is not criminal to disseminate the information, demanding money or other consideration under threat of injury constitutes blackmail.
Lack of Contract Consideration
New money was brought into existence by the deposit of your agreement/promissory note. If you were to pay off the alleged loan, you would never receive your original deposit/asset back (the value of the promissory note). In essence, you have now paid the loan twice. Simultaneously, the banks are able to indefinitely hold and multiply the value of your note (by a factor of 10 to 33) and exponentially generate additional profits.
For an agreement or a contract to be valid, there must be valuable consideration given by all parties. Valuable consideration infers a negotiated exchange and legally reciprocal obligation. If no consideration is present, the contract is generally void and unenforceable.
The bank never explained to you what you have now learned. They did not divulge that they were not loaning anything. You were not informed that you were exchanging a promissory note (which has a real cash value) that was appropriated to fund the implicit loan. You were led to assume that they were loaning you their own, or other people's money, which we have established as false. They blatantly concealed this fact. If you were misinformed, according to contract law, the agreement is null and void due to “non-disclosure.”
Contract law states that when an agreement is made between two parties, each must be given full disclosure of what is transpiring. An agreement is not valid if either party conceals pertinent information.
If none of this was true, when we request qualified written request for records, they could easily prove they loaned you money. However, out of 100,000 demands we estimate (or more), the banksters have never once that we know of, ever produced the evidence – EVER. If they loaned you actual money otherwise, they could easily prove it. So why wont they when requested? Instead they resort to export ions, corrupt courts, and deception to keep their multi party (conspiracy) scheme alive.
Concerning the assertions that were made in your, “Did the bank really loan you anything” article, there are some serious errors made therein.
The assertion was made that if a bank receives a promissory note for $10,000.00, that “This new money represents a three to ten percent fraction of what the commercial bank may now create and do with as they please.
So, $100,000.00 to $330,000.00.00, minus the original $10,000.00 is now added to the commercial bank’s coffers.”
According to what is written in Modern Money Mechanics, banks may make loans based upon the amount of bank reserves that are in their accounts at the Federal Reserve. So, when customers make bank deposits, and when the banks borrow money and place this in their reserve accounts, the banks are then authorized to make “loans” of up to 9 times the amount that the banks have in reserve. When the banks make “loans”, the promissory notes they receive are then assets of the bank, and the payments they receive from these “loans” then become the banks property to do with as they wish.
So, what was written in this article was incorrect in this regard.
Paul
Hi Paul,
Question? Isn’t there federal regulations for the banking industry? Specifically; a bank can’t lend it’s own assets or its own credit?
So, where is the error in this post?
The error in this article is the claim that when a bank receives a promissory note for a “loan” they are about to make, that the amount of money which the bank is allowed to create is much greater than the amount of the the promissory note. The bank then only passes on to the borrower three to ten percent of the amount of money which the bank created through this fractional reserve banking system. The author claimed that the bank then pockets this new money that they were allowed to create, and can do with it what they want.
Of course federal regulations govern the banking industry! Banks make loans to other banks all the time, and they also make loans using their own funds to corporations as well. But banks do not lend their own funds to people, nor can they allow someone else to use their credit. I pointed out that banks are allowed to make “loans” to people for up to nine times more than the bank has in reserves. And a bank’s reserves are comprised of all of the credits, (money) which a bank has in it’s account at the Federal Reserve Bank. Some are the banks funds, some are funds which the bank has borrowed, and some are depositor’s funds.
This is a very complex subject, and I am oversimplifying it a great deal. If one really wishes to look into this further, they should read Modern Money Mechanics- which is a relatively short publication put out by one of the Federal Reserve Bank branches.
Paul
Okay Paul so you rely on an article written by the very ones who are committing the fraud. That’s like relying on the fox to watch over the hen house….wouldn’t you say?
I have asked some pointed question to my bank regarding my automobile loan which they refer to as a vehicle loan. Two entirely different things. Motor Vehicle is a commercial transaction. An automobile falls under a consumer credit transaction and to my knowledge falls under the TILA as far as rescission rights and the FDCPA regulations.
Some states don’t allow the cooling off period on auto loans i.e. motor vehicle loans. However the federal law 15 usc 1635(a) speaks to all consumer credit transactions require a 3 day right to rescind and if not provided by the alleged creditor the obligor may rescind the contract up to 3 years into the contract and receive refunds of all monies paid i.e. down payment, interest payments, insurance etc. , etc. Feedback anybody?
Even if a promissory note is created and used should it not be returned to the creator once the obligation is fulfilled? This never happens and you as a “borrower” are never told this, thus contract void ab initio. The Federal reserve has no money of itself any money if such a thing exists was created from bonds “more promissory notes” guaranteed by the sweat/energy of real people so Paul any money created is of the people by the people and should be for the people, but it isn’t because we allow it not to be. More to the point why would you trust such a publication? There is an element of truth because the rules of the game are that what is done must be in plain site, contract law. We tacitly agree by our silence or ignorance.