Warning: This information is not intended to constitute
legal advice and should not be relied upon in lieu of
consultation with appropriate legal advisors in your own
jurisdiction. It may not be current as the laws in the
area of informed consent change frequently.
The process of confiscation and illegal siezure of money
and property starts with the banks' illegal creation of
money and ends with the bottom feeders - the debt collectors
who prey on those who are down and out. The debt collectors,
comprised of lawyers and debt collection agents feeds
on the accounts that have been written off by the banks.
The debt collection process starts from the banks' own
collection departments as soon as the accounts becomes
delinquent. The banks' own collection agents start sending
written notices and reminders to let you know that you
have missed a few payments or soon after, they let you
know that your account is past overdue. They still have
to do this inspite of the fact that the banks actually
never loaned you any money and the loan was nothing but
a scam, a fraudulent scheme to turn you into a debt slave
and then confiscate your property despite the fact that
they never really risked or lost any money in the process.
They had to go through the charade not because they have
lost any money or that they could lose the money because
you cannot pay your so-called debts, but the real reason
is: they don't want to blow their cover! So they go on
pretending, threatening you in the process, that they
will report the matter to the credit bureau and thus ruin
your credit, or that they are going to take legal action
against you. Usually it's all smoke. Other than the fact
that they will report you to the credit bureau, if they
haven't done it already, they don't normally take anyone
to court just yet. Debt collectors cannot take you to
court simply because you do not have a contract with them
and they do not own the accounts.
The next step is the bank writing off the delinquent
account, usually after six months. The reason is, it is
very expensive and time consuming for the banks to do
debt collection themselves and therefore they prefer to
throw the account into the "pile", or the delinquent
account database just like garbage being thrown overboard
from a ship, where the bottom-feeding creatures feast
on the garbage. Once the account is in the database and
fully accessible to the debt collectors, they sign in
on the account one at a time and start their dirty work.
Some credit card companies like MBNA employs its own army
of debt collection agents and staff lawyers who does nothing
but debt collection work. These corporations seldom use
outside collection agents to do the dirty work, they prefer
to do it themselves. Most banks however simply assigns
the debt collection work to the debt collection agencies.
Some collection agencies actually buy or trade accounts.
What to do when the debt collectors start bugging you.
Number one is: never, never ignore them, especially when
the banks starts the collection process. You meet them
head on by replying to their collection letters. Do not
reply to them over the phone, this is useless, unless
you are able to record your conversation with them. First
thing to do is dispute the amount in writing, never admit
that you owe them anything because you really don't. Because
they never really gave you any valuable consideration,
they never could have lost anything; you have to ask them
for a proof of loss; you also ask them for a certified
or notarized copy of the contract between you and the
bank; ask them to return the original promissory note
or loan application they got from you. Chances are they
do not have it. Why? Because the contract does not exist.
There is no contract. What they call a contract is the
loan application they took from you. That is not a valid
contract. A valid contract must be signed by two parties;
the bank never signed anything with you. There is no such
thing as a unilateral contract. In the case of a credit
card agreement, the contract is the credit card holder
agreement is nothing but an agreement between you and
the bank which enables them to charge you an annual fee
for using the card. But as far as loans are concerned,
there is no such thing as a loan contract. Because if
there is, it would not be hard to show that they have
breached the contract for non-disclosure of material fact,
or the fact that they have not loaned you any money.
It is very important for you to do these initial steps
because you are establishing for yourself the evidence
that you can use in a court of law should the banks or
their agents (lawyers) decides to escalate the matter
and take you to court. The idea is to accumulate enough
evidence that the banks have failed or refused to provide
you with any verifiable evidence that you owed them anything.
Once they failed to produce the evidence you need, that
in itself should discharge their claim - they have no
Once you have the evidence that the principal or the
creditor has no verifiable claim, their lawyers and debt
collection agents would not have any verifiable evidence
either and therefore these third parties or agents have
no legal standing to bother you. The biblical principle
that says: "no man is greater than his master"
applies here. If the principal has no claim, no one else
have any claim, simple as that, so do not be afraid of