Very unhappy ex-Bankwest borrowers are looking to instigate a class action against the bank for the bank colluding with property valuers to force commercial borrowers to default on their loans.
Approximately 400 former Bankwest loan customers, have come together to create a group called Unhappy Banking, claiming that Bankwest did intentionally create loan defaults following the CBA takeover.
Unhappy Banking founder Geoff Shannon said the group believed Bankwest had, in frequently, destroyed previous valuations and replaced them with lower ones to cause borrowers loans to go into default.
This was followed with unnecessary default claims.
Bankwest completely denies these accusations claiming that lower valuations were the result of market condition changes following on from the GFC.
A spokeswoman says it was completely unreasonable to suggest the bank forced borrowers to default.
“Due to the GFC and the broader economic environment, property values and property development in general suffered between 2008 and 2011,” she said.
Valuers always act independently. It can not be claimed that anyone directed valuers to undervalue properties.
Unhappy Bankers and law firm Slater & Gordon are investigating separate class actions on behalf of aggrieved former Bankwest borrowers holding commercial loans.
Both are looking at the conditions around the CBA’s purchase of Bankwest and how that may have negatively affected some borrowers.