Reply – From Australia
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From Australia
— by Sue Em Sue Em
This occurred over 10 months.  A young fellow had a bank loan issue - was meeting the payments but struggling around them and having to ask help from friends and family.  He asked the bank for relief and they responded by putting up the interest rates and threatened him with bankruptcy if he defaulted.

Anyway, lots went on, he went to a Salvation Army financial consultant who could not get the bank to assist, although she suggested he give the bank an offer.  The offer was that he pay the principal if they dropped the interest - no response.

He then went to the Cth Banking Ombudsman (who we now know is the complaints portal between the Cth (de jure) parliament and the Aust Govt (de facto) administration).  The bank has to respond to this persona as there is a compulsory cost attached to letters from the Ombudsman.  So although there were responses - there was still no resolution.  And all the time, this young fellow was making the payments - but slipping further behind personally and mentally.

The young fellow completed his reversion back to the Cth - but did not tell any legal body - was waiting for responses first.  Instead, within several days of sending the reversion out, the bank got in touch and accepted his offer, but expanded it - he pay principal only (with a bank initiated reduction in that amount), they dropped interests AND fees.

They set up the new contract, he asked for amendments, which they agreed to EXCEPT for one wherein he wanted them to state they would not onsell the contract.

He set the repayment amount - which they also accepted BUT it had to remain in a 7 year contract - had to be paid out in the 7 years.  

So for the first year, he paid the agreed principal monthly, although to discuss the payments he could not go to a regular bank teller but had to ring a certain number.  At the end of the first 12 months, he was due to begin a large payment to remain in the 7 years.  

Although he had caught up on a lot of the personal loans, at the end of the year, with inflated utility costs, he was still financially constrained, so he took a chance in asking the bank to leave the payments at the lower amount, which would have put the 7 years in jeopardy.  Considering he had set the amount - we felt the bank would not agree.

He spoke to the persons he had been dealing with and was told he had a very rare loan - a LIFE loan - and should keep up his side of the bargain, but they would get back to him.  He got a reply on the same day, accepting he would keep to the lower payments, and they reduced the final loan total!

So the conclusions we came to were these:
1.  by reverting the interest in his estate back to the Cth, the bank was informed it had no more access to
his legal estate.
2.  His offer therefore was their only way of accessing their compensation outside of piracy.
3.  Any further monies they "feel" they are owed would be claimed in compensation and/or insurance claims.

What is also of great interest is the 7 year Life Loan.  Keeps within the C'est Que Vie act.  

The young fellow was aware that he could try and push the matter to a non-payment conclusion - but he had received a benefit from the loan and felt that he should treat it as a "lay-by" in some capacity - remaining honorable to cover what he had received in benefits.  

I would be interested in any extra thoughts on this result.