Page 149 - Fruits from a Poisonous Tree

Mel Stamper 133

You believe the bank approved your loan because you are a splendid
example of credit risk and would make good on your promise to pay. Actually,
the bank doesn’t give a flip whether you pay or not; it doesn’t really matter to
the bank whether you keep your promise or not. After all, if you don’t, they
just foreclose and take your home.
What took the bank moments to create will take you 23,500 hours of
labor to pay back.
Your intellect should be telling you about now that there is something
terribly wrong in River City.
Now let’s create a legitimate scenario for a moment and, using the same
numbers, make the transaction honest.
You want to buy the same home on a land contract, directly from the
seller. You would pay the seller directly.
Would the exchange of the home for money be honest? Yes.
Would it be legal? Yes, of course it would be. Why? Because the home is
a direct product of someone’s labor. The money you exchanged for the home
has value because you exchanged your labor for it. Unlike the first example
with the bank, it was not something which you created out of thin air. When
you exchange your labor for money, the money has value and substance,
because you exchanged your labor for it. It is labor which gives value to the
money. In this example, value for value is exchanged.
Financing a home through a bank could be an honest transaction. Years
ago it was. But the bank must lend you money that was either invested by
its owners or placed on deposit by its customers. We all presume when we
borrow from a bank that this is where the money comes from. It doesn’t, but
this is exactly what the bankers want you to believe.

THE BUYER-THE CONTRACT – THE FRAUD

Every contract must have six elements in order to be legally binding. If
any one of the elements is missing, then there is no legally binding contract:
1. Offer by person qualified to make the contract.
2. Acceptance by a party qualified to make and accept the contract.
3. Agreements, full disclosure, and complete understanding by both
parties.
Did you know that when you took out a bank loan or used a credit card,
the bank was creating the money out of thin air? If you didn’t, then there
was no “full disclosure and complete understanding.” Therefore, there is no
legally binding contract.