Tuesday 17 January 2012

Alleged Debts

Hi All,
I'd like to share with you a recent partial success with a "loan" I had. I'd been doing a lot of research into money and credit and had a few revelations that were a complete eye opener so decided to use my new found knowledge.

Background
The stuff we use as money (UK pounds) are actually someone else's debt (the government) and this stuff is created by a private company (Bank of England) in exchange for IOU's created by the government (they pledge all our future labour and tax receipts as collateral) for these bits of paper we all use. So they produce a piece of paper in exchange for all property and things of value - sounds like a shitty deal but that's where we are.

Now when you or I take out a loan or a credit card we give them an IOU (a security instrument, something of real value) in exchange for the pound notes so when you pay the "loan" off then you should get your thing of value back (your security instrument). I like the analogy of pawning a watch, I take my watch to the pawn broker and he gives me £50 loan and the watch is security for the loan, next payday I go to the pawn broker and have the £50 plus interest to get my loan paid off and the watch returned. Alas when I get there the sneaky pawn broker sold my watch for £100 to someone else! So I'm pretty annoyed by this as you'd expect but more importantly I do not owe the pawn broker anything and in fact he owes me now, the difference between what he "loaned" me and the extra he received for my property. The same thing is true with a loan, my security instrument was sold by the sneaky bank for considerably more than they "loaned" me!

So a while ago I wrote to the bank asking for their assurance that my security would be returned when I settled the alleged debt, it didn't take many letters before the alleged debt was written off and marked as settled.

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