Calling the Bank and accusing them of Fraud PART 2

Having another go.. ive tried APRA, AFCA and ASIC. They all have no idea what I’m talking about and tell me to submit an online enquiry. I did that with APRA and apparently they don’t actually regulate the banks - they advise them on making good investments. It is on their website - fair enough - but they call themselves the Australian Prudential Regulatory Authority, so a slightly misleading name. We will see what AFCA and ASIC come back with. I still have the Reserve Bank of Australia (RBA) to call, as well as the commercial banks themselves. Anyway here is the video and also the transcript taken from YouTube and formatted by ChatGPT - hopefully it makes sense.

ASIC Rep: Hello.

Windsor: Hi, my name is Windsor. I have a complaint—or an inquiry/complaint.

ASIC Rep: And is it regarding a company?

Windsor: Yeah. Yes. The bank.

ASIC Rep: All right. Can you explain the situation?

Windsor: Yeah. So, it's about the process of credit creation. I’m just—uh—the way that a bank will extend a loan. I just want to ask about this and inquire to see if this is actually legal or not, the way they do it.

The RBA says that when a bank makes a loan, the money is created out of thin air, essentially. And that adds to the supply of money. So, the loan is not drawn from anywhere. It’s just created into the account of the borrower. Does that make sense?

ASIC Rep: All right. So, the bank created a loan out of the depositors’—

Windsor: Yeah. This is how the RBA describes it, right? They say money is created when financial intermediaries make loans. So when banks make loans, they create the money out of thin air.

ASIC Rep: All right.

Windsor: So I’m just wondering—since we know that that is the case, because the RBA has said it, and the Bank of International Settlements has said it, and the Bank of England has said it—and if you look at the broad money graph and compare it to the loan money graph, it's very, very similar. So it makes sense.

So my question is: if they do this, then what is the justification for charging interest on a loan? Does that make sense?

ASIC Rep: Yeah. So, did you have a loan with the bank or...?

Windsor: Not yet. No.

ASIC Rep: No?

Windsor: No. So, my complaint is just about how the bank is—it's about the system. I think it’s a systemic issue, and I think it’s a big one. That’s why I’m bothering to call up about it.

ASIC Rep: All right. So, you guys regulate the creditors, right? You're the consumer credit regulator—is that right?

ASIC Rep: Yeah.

Windsor: So I’m just wondering, is this really legal? Or is this good for the stability of the economy, you know?

ASIC Rep: Uh yeah, for that I think the better complaint authority is APRA.

Windsor: I’ve called APRA. They don’t actually regulate credit companies. What they do is they advise—

ASIC Rep: —AFCA?

Windsor: Oh, AFCA. Yeah, I’ve also called AFCA. They only deal with specific complaints. I called them yesterday and they told me to call you, actually.

ASIC Rep: All right.

Windsor: Yeah. So, here I am.

ASIC Rep: And do you know the name of the bank?

Windsor: All of the banks. They all do it.

ASIC Rep: All of—

Windsor: Yeah.

ASIC Rep: All right. One moment. Let me have a look. Can you hold for a minute?

Windsor: Sure.

ASIC Rep: If you like, you can report misconduct to us. Can I have your email address?

Windsor: Yeah. Windsorswan@gmail.com.

ASIC Rep: How do you spell that?

Windsor: W-I-N-D-S-O-R S-W-A-N at gmail.com.

ASIC Rep: One moment. I’ll send an email.

Windsor: Yeah.

ASIC Rep: Yep, I’ve sent you an email.

Windsor: Okay. What’s in the email?

CUT IN EDIT

ASIC Rep: If you read the last sentence: “We welcome reports of misconduct if a credit provider has broken the laws.”

Windsor: Yeah. So—have they? Have they broken it?

ASIC Rep: You can report a misconduct. Make a report of misconduct to us.

Windsor: I see.

ASIC Rep: Prepare to report key facts. You cannot attach documents. Should take 15 minutes.

Windsor: I see. How long will it take to get back?

ASIC Rep: They will only contact you if they need more information, right? And it depends on the type of misconduct, as it takes some actions.

Windsor: But do you think that they’ve broken the law?

ASIC Rep: If they have broken the law, then you can report misconduct.

Windsor: Yeah, but does it sound like they’ve broken the law?

ASIC Rep: If they’re charging you a higher interest rate, then—

Windsor: The problem is, they’re charging any interest on money that they created. Which is a problem, because they’re not at risk of losing anything, because they never had the money to start with. So how can they charge interest?

ASIC Rep: Interest is generally charged if they provide loans to any lending authority.

Windsor: Could I speak to maybe a supervisor?

ASIC Rep: Yeah.

Windsor: I’m just not sure you’re understanding correctly.

ASIC Rep: For that, you need your own legal advice. We can’t tell you whether they’ve broken the law or not.

Windsor: Even your supervisor—he can’t tell me whether the bank has broken the law with this?

ASIC Rep: Who can tell you? Your legal—legal, like lawyers.

Windsor: You guys are the credit regulators, aren’t you? You regulate the credit companies. How do you do that if you don’t know the law?

ASIC Rep: We don’t provide legal advice.

Windsor: I see. So, you can’t—you don’t want to tell me if they’re breaking the law or not?

ASIC Rep: You can’t tell if that’s—that’s something for legal advice. You need to get that from a lawyer.

Windsor: I see.

ASIC Rep: So it’s your judgment to decide whether they’ve broken the law. We can’t give you legal advice regarding that.

Windsor: Well, it’s not really advice. I’m not taking a lawsuit against them. I haven’t taken any loan. It’s just a general inquiry, you know?

ASIC Rep: Yeah. We’re not—we’re not lawyers. If some organization breaks the law, you need to seek advice from a lawyer whether they have broken the law. We can only tell you how to report it to us.

Windsor: Oh, so you can tell me—

ASIC Rep: We can give you the directions—like how to report misconduct if they have broken the law. But we can’t decide whether they have or not. For that...

Windsor: I see.

ASIC Rep: ...you need to seek the advice from lawyers.

Windsor: I see. All right. So, can I speak to the supervisor or manager? About the same thing?

ASIC Rep: Yeah. He will also tell you the same thing.

Windsor: Well, I’ll get him to tell me then, please.

ASIC Rep: Is there anything else you would like to know?

Windsor: Just the supervisor, please.

ASIC Rep: Yeah, but is there anything else that you would like to know from the supervisor? I can tell him.

Windsor: No, just about the credit creation. Just all about credit creation—that’s my inquiry.

ASIC Rep: We’re not the entity who can—it’s not a security jurisdiction. We can’t answer that question.

Windsor: How do you regulate the credit companies? If you don’t do it, who does it?

ASIC Rep: Not—not our jurisdiction.

Windsor: So whose jurisdiction is it? Lawyers? I have to sue the banks?

ASIC Rep: You need the legal advice from lawyers.

Windsor: Thank you very much.

[Windsor hangs up.]

Windsor: Jesus Christ.