One Nation (NSW Division) Media Release - 15/2//2008
Bank De-regulation To Blame for Home Loan Crisis
Deregulation of banks and the financial system is largely to blame for
the current home-loan crisis.
Institutions have been allowed to lure people into debt far beyond their capacity
to re-pay. The loan industry should be regulated so
that borrowers are left with sufficient to live on after they pay their
mortgage even if interest
rates go up.
Outrageous mortgages have also driven home prices up, as
the amount
people bid at auction is proportional to
what they know the bank is prepared to lend them,.
The banks also exploit borrowers' financial naivety
and their fears of missing out on the bandwagon of future price surges with misleading
advertising for "restructured" loans and fixed rate terms that are guaranteed only
to put more money in the banks' coffers at the expense of the well - being
of the
borrowers.
Their philosophy is obviously "there's a sucker born every minute".
Don't expect re-regulation of the banks to be advocated by the
major parties: if you go to the disclosure returns on
aec.gov.au you will see what the banks have given
them in the way of political donations.
One Nation has always advocated re-establishment of a publically-owned bank and believes the Government's mandate is the well-being to the citizens of
Australia, not the profits of the financial institutions. One Nation calls on the Government to make banks play by the same rules of common decency which everyone else is obliged to follow.
Statement issued February 15th, 2008 on behalf of One Nation (NSW Division) by Bob Vinnicombe Publicity Officer
For more information contact Bob Vinnicombe 0407949963 / (02) 96454910