Real Estate Investor Magazine South Africa February 2014 | Page 16

COVER STORY not lend money they already possess; they “create” the “money” loaned through computer entries. Exorbitant interest is then charged on this “loan”. Banks then bundle these loans into investments through the process of securitisation, which are then sold to investors. The bank receives the principal debt amount as well as the interest payments for the entire loan period upfront, but loses the right to the debt. MICHAEL TELLINGER foundation for a new social structure and a new era of true freedom from financial tyranny and real prosperity. Ne wER A’s advoc ate , Dougl a s Shaw, together with various attorneys, is also preparing to launch a Constitutional case against the banks. Advocate Shaw is calling for anyone who has lost assets to a bank to join the case. Contact the legal team at [email protected] to arrange a free brief ing meeting. Advocate Shaw also runs a training website called www. bankinglawadvisor.co.za that teaches ordinary people about banking law and their rights. What is the case based on? The banks do Get a copy of UBUNTU Contributionism at www.createspace.com or the e-book at www.payloadz.com 14 February 2014 SA Real Estate Investor Even though the banks no longer own the debt, when homeowners find themselves in financial distress, the banks repossess their properties – security for loans they no longer have any rights to. This is not only in direct violation of the provisions of the National Credit Act (NCA), which demands that the bank and the borrower must make payment arrangements, it is illegal, since the bank is no long