Melbourne couple find their Westpac mortgage they’ve been paying off for 10 years was based on fraud

Elderly, illiterate couple claim they were duped by a dodgy ‘loan introducer’ who made a fake mortgage application on their behalf – leaving them $280,000 in debt and with no way to pay

  • Melbourne couple Miriam and Michael Wright’s mortgage was based on a fraud
  • They were approved for a $280,000 loan in 2009 and its now worth $800,000
  • They fear Westpac is going to take their home after telling them they owe money 
  • Joseph Crane from Shine Lawyers said the documents were ‘clearly forged’ 
  • Westpac is investigating but haven’t ruled out action if they find ‘wrongdoing’ 

An elderly couple fear they could lose their home of 30 years after being told they have to immediately pay $280,000 to Westpac.

Melbourne couple Miriam, 70, and Michael Wright, 72,  who are both illiterate, claim a loan application with Westpac in 2009 was filled out on their behalf by a ‘loan introducer’ and not by them.

They said the mortgage application over their home – now worth $800,000 – for $280,000 was a fraud, and claimed Westpac failed to check the application properly, news.com.au reported.

Miriam, 70, and Michael Wright, 72, were shocked to find that their mortgage they were paying off for the last 10 years was based on a complete ‘fraud’ (stock)

Miriam’s name was spelled incorrectly in the application and the couple have claimed the reason given in the document for the loan was also wrong. 

The application also claimed Mr Wright was making $92,000 a year working as an investment relations executive when in reality he has been on a pension since 1995, and worked as a labourer before that.

The mortgage application stated the money was going to be used for home renovations when the couple actually wanted it to start a restaurant business, which proved to be unsuccessful.

The couple have continued to make payments on the loan despite the business failure – believing that after 10 years, their $1400-a-month payments would be enough to settle the mortgage.

However, they had actually signed up to an interest-only loan and were shocked to recently discover that they would need to repay the full amount by October 2019. They have paid nearly $170,000 in interest to Westpac since the mortgage application was approved. 

The couple’s nephew Joseph Mifsud said Westpac should never have given them the money.   

‘My aunty and uncle can’t read or write and they were too embarrassed at that stage [when they found out the conditions of the mortgage],’ he said.

The Melbourne couple, who are both illiterate, allege the claim was filed by a third party and Westpac failed to double check the information (stock)

The Melbourne couple, who are both illiterate, allege the claim was filed by a third party and Westpac failed to double check the information (stock) 

Westpac told Shine Lawyers, who are representing the Wrights, that approval of the application was made in line with their policies at the time.

Mr and Mrs Wright said they can’t remember who filled out the loan application for them.

Shine Lawyers senior solicitor Joseph Crane said the application was ‘clearly forged’.

‘The broker gets a commission, the banks get the benefit of the interest on the loan, the person who gets a raw deal is the consumer,’ he said.

Westpac said they are planning to review the loan.

Daily Mail Australia has contacted Westpac for comment.

Read more at DailyMail.co.uk