TAS Is This a Breach of Duty of Care?

[Michael Townsend]

Does the imposition of mortgage insurance on customers with less than 20 per cent deposit constitute a breach of duty of care? In that having been identified by the bank as being " at risk " the bank then burdens an already " at risk " client with more debt that's only purpose is to protect the bank.

Also, because the bank gave me a loan before I had passed probation, I had no security of employment or income to pay the loan, does this constitute a breach of sections 130 and 131 of the consumer credit and protection act by the bank?

 

[Rod]

Are you over 18?

Do you have any kind of mental illness? If so did you disclose it to the bank?

Did the bank force you to sign for the loan?

If you answered yes to q1 and no to q2 and q3, why do you think you cannot make up your own mind about whether or not you can afford the loan? Why would the bank be at fault? Why did you apply for a loan if you are only probationary?

Take some personal responsibility for your own actions. Banks might have issues, but this doesn't strike me as one of them.

 

[Michael Townsend]

Are you over 18?

Do you have any kind of mental illness? If so did you disclose it to the bank?

Did the bank force you to sign for the loan?

If you answered yes to q1 and no to q2 and q3, why do you think you cannot make up your own mind about whether or not you can afford the loan? Why would the bank be at fault? Why did you apply for a loan if you are only probationary?

Take some personal responsibility for your own actions. Banks might have issues, but this doesn't strike me as one of them.

You should look at the credit protection act 2009 to understand banks have responsibilities and obligations to act responsibly and my ability to re- pay should be a corner stone of that decision you would think. Otherwise following your slant I'm starting to think Leaman brothers and the mortgage scandal that sent America broke.

I was long term unemployed, been through divorce, lost my last house, took redundancy several years ago and had been through depression as you can imagine. I had also been knocked back by another bank in the month or so previous.

Do you seriously think I was in the best position to be making these decisions or the bank the "decision maker"?

 

[Rod]

Following your argument many people would not be able to get loans and there would be an outcry from people saying banks won't lend to us, we can never get our own house.

Lehman bros collapse is totally unrelated to Australian Banking and would be extremely unlikely to happen here due to the different banking regulations and different loan agreements (for instance in the US you can hand your house keys to the bank and say the house is yours, we're leaving it and now do not owe you any money. Good luck trying that with an Aussie bank!)

Yes banks have responsibilities, but so do you. I have no idea as to what you told the bank when applying for the loan in the first place, and don't particularly want to know.

I don't think you have a cause of action, but by all means go see a solicitor if you feel you must.