Advances And Security Agreement: Fill & Download for Free

We often hear about the supposed atrocities of the communist regimes. Most of these are propaganda. But the dirty deeds done by the U.S. government are real, and I can assure you these are cold blooded, ruthless, and horrific.People wonder why there are so many people from Latin America trying to seek asylum in the U.S. It isn’t because they are unable to govern themselves, or that they are lazy or incompetent. There has been a systematic assault on the way of life of people in Latin America by the U.S. government for political purposes.The drafters of NAFTA designed it to offshore labor costs for U.S. manufacturers to increase profits, with predictable results—the decimation of the Middle Class and the end of manufacturing jobs for U.S. workers. Without the reliable tax base the cities fell apart too in the Rust Belt states. NAFTA was designed to help agribusinesses make some real profits too. U.S. grain producers are subsidized by U.S. taxpayers. “Free trade” under NAFTA meant flooding the Mexican grain market with subsidized U.S. grain. Of course the small Mexican family farmers could not compete, so they went out of business. Their way of life was wiped out. Some people were able to get jobs in factories that had been moved from places like Ohio and Michigan, but nowhere near the amount of jobs lost. So they decided to move North to find work. This was one of the primary causes of the illegal immigration problem in the U.S.But there is more. The CIA has engaged in a number of regime change operations in Latin America, and sometimes the US relies on outright invasions to install right wing dictators and puppet governments subservient to U.S. financial and political interests. But these dictators tend to turn their countries into, as Trump would say, “shithole countries.” So again, the people try to move North and get work in the US.One of the most horrific examples of U.S. atrocities was called Operation Condor. The purpose was to smash communists and ensure that governments open to neoliberal policies were installed.[1][1][1][1] Mass repression and terrorism were the tools they used.[2][2][2][2]Victims included dissidents and leftists, union and peasant leaders, priests and nuns, students and teachers, intellectuals and suspected guerillas.[3][3][3][3]50,000 were killed, 30,000 disappeared, and 400,000 were imprisoned.[4][4][4][4] These covert operations from the CIA happened between 1968–1989. The U.S. claimed that the purpose was to stop terrorism and subversion, which was absolutely untrue, considering any guerrillas faced were small forces, and were never any threat to U.S. national security in any way.[5][5][5][5]The governments of Argentina, Chile, Uruguay, Paraguay, Bolivia and Brazil. Ecuador and Peru were involved, and the operation ran through the Johnson to Reagan administrations. The United States government provided planning, coordinating, training on torture technical support and supplied military aid to the Juntas.[6][6][6][6]Aside from assassinations and torture the goal of the program was to help implement U.S. neoliberal economic policies. For example, in Argentina the government borrowed an enormous amount of money from the IMF and private banks. Corrupt officials engaged in financial speculation. Debts incurred were passed onto the public, while government workers had to endure wage freezes. Inflation also increased.Throughout the world we see a similar pattern. U.S. sponsored right wing officials are put into power as their left wing and socialist enemies are tortured, assassinated, etc. Elections are influenced, corruption reigns. An elite group of government officials take over. They engage in financial speculation, borrow lots of money from the IMF which is borrowed in dollars so they cannot print their local currencies to pay back the loans because these must be repaid in dollars and printing more currency at home leads to increased inflation. Consider Venezuela:The Saker: Could you summarize the state of Venezuela’s economy when Chavez came to power?Michael Hudson: Venezuela was an oil monoculture. Its export revenue was spent largely on importing food and other necessities that it could have produced at home. Its trade was largely with the United States. So despite its oil wealth, it ran up foreign debt.From the outset, U.S. oil companies have feared that Venezuela might someday use its oil revenues to benefit its overall population instead of letting the U.S. oil industry and its local comprador aristocracy siphon off its wealth. So the oil industry – backed by U.S. diplomacy – held Venezuela hostage in two ways.First of all, oil refineries were not built in Venezuela, but in Trinidad and in the southern U.S. Gulf Coast states. This enabled U.S. oil companies – or the U.S. Government – to leave Venezuela without a means of “going it alone” and pursuing an independent policy with its oil, as it needed to have this oil refined. It doesn’t help to have oil reserves if you are unable to get this oil refined so as to be usable.Second, Venezuela’s central bankers were persuaded to pledge their oil reserves and all assets of the state oil sector (including Citgo) as collateral for its foreign debt. This meant that if Venezuela defaulted (or was forced into default by U.S. banks refusing to make timely payment on its foreign debt), bondholders and U.S. oil majors would be in a legal position to take possession of Venezuelan oil assets.These pro-U.S. policies made Venezuela a typically polarized Latin American oligarchy. Despite being nominally rich in oil revenue, its wealth was concentrated in the hands of a pro-U.S. oligarchy that let its domestic development be steered by the World Bank and IMF. The indigenous population, especially its rural racial minority as well as the urban underclass, was excluded from sharing in the country’s oil wealth. The oligarchy’s arrogant refusal to share the wealth, or even to make Venezuela self-sufficient in essentials, made the election of Hugo Chavez a natural outcome.The Saker: Could you outline the various reforms and changes introduced by Hugo Chavez? What did he do right, and what did he do wrong?Michael Hudson: Chavez sought to restore a mixed economy to Venezuela, using its government revenue – mainly from oil, of course – to develop infrastructure and domestic spending on health care, education, employment to raise living standards and productivity for his electoral constituency.What he was unable to do was to clean up the embezzlement and built-in rake-off of income from the oil sector. And he was unable to stem the capital flight of the oligarchy, taking its wealth and moving it abroad – while running away themselves.This was not “wrong”. It merely takes a long time to change an economy’s disruption – while the U.S. is using sanctions and “dirty tricks” to stop that process.The Saker: What are, in your opinion, the causes of the current economic crisis in Venezuela – is it primarily due to mistakes by Chavez and Maduro or is the main cause US sabotage, subversion and sanctions?Michael Hudson: There is no way that Chavez and Maduro could have pursued a pro-Venezuelan policy aimed at achieving economic independence without inciting fury, subversion and sanctions from the United States. American foreign policy remains as focused on oil as it was when it invaded Iraq under Dick Cheney’s regime. U.S. policy is to treat Venezuela as an extension of the U.S. economy, running a trade surplus in oil to spend in the United States or transfer its savings to U.S. banks.By imposing sanctions that prevent Venezuela from gaining access to its U.S. bank deposits and the assets of its state-owned Citco, the United States is making it impossible for Venezuela to pay its foreign debt. This is forcing it into default, which U.S. diplomats hope to use as an excuse to foreclose on Venezuela’s oil resources and seize its foreign assets much as Paul Singer hedge fund sought to do with Argentina’s foreign assets.Just as U.S. policy under Kissinger was to make Chile’s “economy scream,” so the U.S. is following the same path against Venezuela. It is using that country as a “demonstration effect” to warn other countries not to act in their self-interest in any way that prevents their economic surplus from being siphoned off by U.S. investors.[7][7][7][7]Argentina:Most of the loans granted to the Argentine dictatorship came from the private banks of the U.S. It should be noted the complete agreement of the authorities of the United States (either the Federal Reserve or the American administration), with this policy of indebtedness. The government, to obtain loans from private banks, demanded that Argentine companies borrow from international private banks. The public companies thus became the fundamental lever for the denationalization of the State, and the loss of national sovereignty.[8][8][8][8]After Vatican II Pope John XXIII called on the clergy to return to the heart of the Gospels, which included a focus on serving the poor. Latin American theologians developed liberation theology, which took the areas of social justice and saw them through the lens of the Gospels. Jesus spoke more about the rich and the treatment of the poor than he did any other issue. Catholic priests and nuns heard the call, and they began to work with the people on social justice issues.[9][9][9][9] And the response was ugly and violent. U.S. backed death squads killed many of them. In fact, in El Salvador Elliot Abrams was responsible for the death squads which killed over 800 people. A dozen priests and nuns were slaughtered. Even Archbishop Oscar Romero was killed publicly while saying mass.From 1982 to 1991 The U.S. School of the Americas was a training program oriented toward the methods of torture and execution used against communists. Later the focus would be the “War on Drugs.” The school was located in Panama and originally started in 1946. But with the Kennedy administration it turned toward primarily anti-communism. Of course “anti-communist” was interpreted to mean anything. The largest number of students trained were from Colombia. So the U.S. was teaching right wing dictators and their death squads the most effective means of torture and execution.In Chile the U.S. government support Pinochet, a right wing dictator that had torture camps and killed thousands of people. Notable assassinations by CIA backed forces included car bombings, kidnappings, and use of rape as a weapon. In one case a protester against the Pinochet regime was burned alive. There were connections between these torture and killing camps and the CIA.[10][10][10][10]Disappeared people in art at Parque por la Paz at Villa Grimaldi in Santiago de ChileVictims of Operation Condor, by countryThe Peruvian dictator Francisco Morales Bermúdez was part of Operation Condor.Operation Condor also had the covert support of the US government. Washington provided Condor with military intelligence and training, financial assistance, advanced computers, sophisticated tracking technology, and access to the continental telecommunications system housed in the Panama Canal Zone.— J. Patrice McSherryThe U.S. used the Cold War as an excuse to assist right wing dictators to gain power, which assisted the U.S. elites to make money from speculative financial transactions. Assassination, torture, death camps, all of these were endorsed and assisted by the CIA. Meanwhile, the communists they were fighting never posed any national security threat to the U.S., particularly the priests and nuns that were killed.These were people trying to fight corruption and improve the lives of people and for it they were brutally tortured and killed to serve the interests of the U.S. This was the con game of the Cold War. It was bullshit.The first purpose of the Cold War was to justify the massive military spending of the U.S. The public needed to hear some justification for the money being spent, so “communism” worked. Later, it would be the War on Drugs and “terrorism.” But do you need 11 aircraft carriers to fight terrorists who use machine guns and IED’s? Of course not. So now we are back to Putin and Russia as being the bad guys again.The second reason was to justify U.S. financial interests being pursued using the military might of the U.S., paid by the taxpayers. This was done to enrich the elites, of course. Whether it be securing oil reserves in Iraq, protecting the interests of United Fruit Company in Guatemala, or helping corrupt former Soviet government officials plunder the Russian public assets to become oligarchs, you can count on the U.S. and its CIA to be there.And we are supposed to believe from these same people how horrible communism is? Given their track record I don’t feel too confident.Footnotes[1] http:// Klein, Naomi (2007). The Shock Doctrine. New York: Picador. p. 126. ISBN 978-0-312-42799-3.[1] http:// Klein, Naomi (2007). The Shock Doctrine. New York: Picador. p. 126. ISBN 978-0-312-42799-3.[1] http:// Klein, Naomi (2007). The Shock Doctrine. New York: Picador. p. 126. ISBN 978-0-312-42799-3.[1] http:// Klein, Naomi (2007). The Shock Doctrine. New York: Picador. p. 126. ISBN 978-0-312-42799-3.[2] http://Blakeley, Ruth (2009). State Terrorism and Neoliberalism: The North in the South. Routledge. p. 22 & 23. ISBN 978-0415686174.[2] http://Blakeley, Ruth (2009). State Terrorism and Neoliberalism: The North in the South. Routledge. p. 22 & 23. ISBN 978-0415686174.[2] http://Blakeley, Ruth (2009). State Terrorism and Neoliberalism: The North in the South. Routledge. p. 22 & 23. ISBN 978-0415686174.[2] http://Blakeley, Ruth (2009). State Terrorism and Neoliberalism: The North in the South. Routledge. p. 22 & 23. ISBN 978-0415686174.[3] http:// J. Patrice McSherry (2002). "Tracking the Origins of a State Terror Network: Operation Condor". Latin American Perspectives. 29 (1): 36–60. doi:10.1177/0094582X0202900103.[3] http:// J. Patrice McSherry (2002). "Tracking the Origins of a State Terror Network: Operation Condor". Latin American Perspectives. 29 (1): 36–60. doi:10.1177/0094582X0202900103.[3] http:// J. Patrice McSherry (2002). "Tracking the Origins of a State Terror Network: Operation Condor". Latin American Perspectives. 29 (1): 36–60. doi:10.1177/0094582X0202900103.[3] http:// J. Patrice McSherry (2002). "Tracking the Origins of a State Terror Network: Operation Condor". Latin American Perspectives. 29 (1): 36–60. doi:10.1177/0094582X0202900103.[4] http:// 1992: Archives of Terror Discovered. National Geographic. Retrieved August 26, 2015.[4] http:// 1992: Archives of Terror Discovered. National Geographic. Retrieved August 26, 2015.[4] http:// 1992: Archives of Terror Discovered. National Geographic. Retrieved August 26, 2015.[4] http:// 1992: Archives of Terror Discovered. National Geographic. Retrieved August 26, 2015.[5] http://McSherry, J. Patrice (10 July 2012). Predatory States: Operation Condor and Covert War in Latin America. Rowman & Littlefield Publishers. pp. 1–4. ISBN 9780742568709.[5] http://McSherry, J. Patrice (10 July 2012). Predatory States: Operation Condor and Covert War in Latin America. Rowman & Littlefield Publishers. pp. 1–4. ISBN 9780742568709.[5] http://McSherry, J. Patrice (10 July 2012). Predatory States: Operation Condor and Covert War in Latin America. Rowman & Littlefield Publishers. pp. 1–4. ISBN 9780742568709.[5] http://McSherry, J. Patrice (10 July 2012). Predatory States: Operation Condor and Covert War in Latin America. Rowman & Littlefield Publishers. pp. 1–4. ISBN 9780742568709.[6] http:// McSherry, Patrice (2005). Predatory States: Operation Condor and Covert War in Latin America. Lanham, Maryland: Rowman & Littlefield Publishers. p. 78. ISBN 978-0742536876.[6] http:// McSherry, Patrice (2005). Predatory States: Operation Condor and Covert War in Latin America. Lanham, Maryland: Rowman & Littlefield Publishers. p. 78. ISBN 978-0742536876.[6] http:// McSherry, Patrice (2005). Predatory States: Operation Condor and Covert War in Latin America. Lanham, Maryland: Rowman & Littlefield Publishers. p. 78. ISBN 978-0742536876.[6] http:// McSherry, Patrice (2005). Predatory States: Operation Condor and Covert War in Latin America. Lanham, Maryland: Rowman & Littlefield Publishers. p. 78. ISBN 978-0742536876.[7] Saker interview with Michael Hudson on Venezuela[7] Saker interview with Michael Hudson on Venezuela[7] Saker interview with Michael Hudson on Venezuela[7] Saker interview with Michael Hudson on Venezuela[8] J06[8] J06[8] J06[8] J06[9] Alexander Finnegan's post in Alexander Finnegan's Posts[9] Alexander Finnegan's post in Alexander Finnegan's Posts[9] Alexander Finnegan's post in Alexander Finnegan's Posts[9] Alexander Finnegan's post in Alexander Finnegan's Posts[10] http://Redireccionando. Cooperativa.cl. Retrieved on 2014-05-24.[10] http://Redireccionando. Cooperativa.cl. Retrieved on 2014-05-24.[10] http://Redireccionando. Cooperativa.cl. Retrieved on 2014-05-24.[10] http://Redireccionando. Cooperativa.cl. Retrieved on 2014-05-24.

It’s important for home buyers to understand that a mortgage commitment letter in NYC does not guarantee that the bank will fund your loan.As you will see from the NYC mortgage commitment letter sample below, there are many contingencies in place for the bank to revoke its loan commitment to you. If you’re about to submit an offer and deciding whether to waive the mortgage contingency, it’s important to understand what a mortgage commitment letter entails and how much assurance a loan commitment offers you in the first place.What does a NYC mortgage commitment letter sample look like?This is an example of a standard mortgage loan commitment letter that would be issued to a New York City condo or co-op apartment buyer. There are additional sections in this NYC mortgage commitment letter sample you should review such as Commitment Conditions.MORTGAGE LOAN COMMITMENTBorrower Name(s):Borrower Mailing Address:Lender:Property Address:Type of Property: [Condo, Co-op, etc.]Commitment Expiration Date:Date:It is a pleasure to notify you that your application for a mortgage loan has been approved subject to the following matters set forth below and on pages 2 and 3.INSTRUCTIONSPlease sign, date and return Lender’s copy of this Commitment, along with any required fees and items requested, to the Lender at the following address, within 15 days of the date hereof, or at the option of Lender, this Commitment shall become null and void. Should you have any questions, please contact:This approval is not a final commitment. Due to the fact that interest rates are subject to change without notice, your approved payment and loan amount may change if interest rates increase or decrease.EFFECTIVE DATE AND COMMITMENT FEEThis commitment will become effective upon compliance with the terms herein and, if applicable, the receipt of your check in the amount of any non-refundable commitment fee (“stand-by fee”). It is understood and agreed that if this mortgage loan is not settled in accordance with the terms and conditions of this commitment, the Lender shall retain this fee as earned charges for the origination and approval of this loan.AMOUNTS, TERMS AND FEESAmount of Loan $[Amount]Initial (Contract) Interest Rate [Rate]%Loan Term [Number] monthsAmortization TypeBalloon Term (if applicable) [X] monthsLoan TypeLien Position 1st LienPAYMENT (P&I)Your initial interest only principal and interest (P&I) amount is $[Amount]. This amount does not include any escrowed amounts and may change if there is a change in loan terms.ESCROW[ X ] An Escrow Account is not required.[ ] An Escrow Account is required.Even if an Escrow (Impound) Account is not required at time of settlement, subject to the terms of your specific loan documents, the Lender may set up and require an Account should the taxes or insurance on the subject property ever become delinquent.EVIDENCE OF TITLEThe Evidence of Title is to be provided to the Lender and must indicate no liens, encumbrances, or any adverse covenants or conditions to title unless approved by Lender. The Evidence of Title must be issued from a firm or source, and in a form, acceptable to Lender. Borrower will be charged for the cost of providing such title and the cost of recording documents, all of which will be ordered by Lender unless requested otherwise.CANCELLATIONThe Lender reserves the right to terminate this commitment prior to the settlement of the loan in the event of an adverse change in your personal or financial status, or if the improvements on the property are damaged by fire or other casualty.REQUIRED ITEMS OR CONDITIONSAll Items Listed on the Commitment Conditions Addendum Apply.THE FOLLOWING CONDITIONS MAY APPLY TO YOUR LOAN DEPENDING ON THE LOAN TYPE AND TERMS.BALLOON MATURITYA balloon loan matures before the loan is fully amortized. The balance of the loan will be due in a lump sum payment at maturity.FIRE AND EXTENDED COVERAGE INSURANCEPrior to settlement, we will require an original insurance policy and/or binder containing fire and extended coverage (i.e., windstorm, hurricane, hail damages, or any other perils that are normally included under an extended coverage endorsement) insurance in an amount equal to the lesser of 100% of the insurable value of the improvements, or the unpaid principal balance of the mortgage as long as it equals the minimum amount (80% of the insurable value of improvements) required to compensate for damage or loss on a replacement cost basis through a company acceptable to the Lender, and a receipt showing premiums paid in advance for one year. The insurance policy shall also contain a standard mortgage clause in favor of Lender. We cannot require you to obtain a policy which exceeds the guaranteed replacement cost of the improvements securing the loan.If the property is new construction and you are not able to occupy the property immediately after closing, you will be required to furnish an original fire/hazard insurance policy or binder, including a Builder’s Risk Rider. If this is a renovation of an existing dwelling that will remain occupied, a Builder’s Risk Rider is not necessary.GOVERNMENT INSURED LOANSLoan Commitments issued for these types of mortgage loans, including, but not limited to FmHA, RHS, FHA, and VA, are subject to all the terms and conditions of the Agency’s commitment, or the VA certificate of reasonable value, as well as the rules, and regulations, and all applicable requirements of the Farmers Home Administration, Rural Housing Service, Department of Housing and Urban Development, the Department of Veterans Affairs, and/or other state or municipal authority.FLOOD INSURANCEBy signing and accepting this commitment, you acknowledge that if the property securing this loan is in an area identified as having a special flood hazard you agree to these insurance requirements.Our policy, in order to best protect collateral interest, is to adhere to the more common industry practice of requiring flood coverage for the lesser of: the full 100% Replacement Cost Value or the maximum amount of insurance available under NFIP for the particular type of building; currently $250,000 per residential dwelling/condominium unit. A copy of the declaration page or application signed by the agent, along with proof premium has been paid, is required prior to closing.Flood insurance is mandatory now or in the future if this property has been or will be determined to be in an area which has a special flood hazard. Federal Law requires that flood insurance, available through any agent, must cover the lowest of: the outstanding principal balance of the loan[s]; the maximum amount of coverage allowed for the type of building under NFIP or the full replacement cost value of the building or contents securing the loan.TAX AND INSURANCE PAYMENTSMonthly deposits and initial deposits as determined by Lender are required to cover the payment of estimated annual real estate taxes, special assessments and, if applicable, FHA or Private Mortgage Insurance Premiums. Lender may also require additional deposits for hazard or other insurance if required for this loan. Such deposits are to be placed in a separate escrow or impound account.SPECIAL ASSESSMENTSIf required, all unpaid and future special assessment installments must be paid in full prior to, or at time of settlement.DOCUMENTATIONThe mortgage or deed of trust, note and other pertinent loan documents will be provided by Lender and must be signed by all applicants that are to be contractually liable under this obligation. Further, the mortgage or deed of trust must be signed by any non-applicant spouses if their signature is required under state law to create a valid lien, pass clear title, or waive unclear rights to property. Note: Samples of loan documents are available upon request.ADDITIONAL CONDITIONS FOR CONSTRUCTION LOANS.CONSTRUCTION LOANS: ONE PAYOUT AND MULTIPLE PAYOUTImprovements are to be built in a good and workman-like manner in strict accordance with plans and specifications furnished Lender and in compliance with applicable building codes. After completion, said improvements shall be approved by a representative of Lender and an occupancy permit shall be issued by local municipality. Any changes, whether they be additions, deletions, or alterations, of the plans and specifications, must be approved in writing by Lender in order that this loan commitment remain in effect.CONSTRUCTION LOANS: MULTIPLE PAYOUTEvidence must be submitted that the net proceeds of our loan are sufficient to complete the construction of the building, free and clear of all claims of Mechanic’s Liens for labor and material. All disbursements will be made upon the order of the borrower upon presentment of proper waivers of lien, subject to compliance inspections by the Department of Veterans Affairs, the Federal Housing Administration, or Lender, not to exceed 80% of the value of the work done. The remaining funds will be held back until the certificate of completion and/or occupancy certificate is issued.I (WE) accept the terms and Conditions of this Commitment and will notify Lender if there are any changes to the information provided on the application before the closing of the loan.Borrower DateCOMMITMENT ISSUED ON BEHALF OF LENDER BY:Take special note of the cancellation clause listed above. If you lose your job or suffer some other financial setback, the bank will have cause to terminate your loan commitment!What are some typical commitment conditions in a NYC mortgage commitment letter sample?This is an example of a some typical commitment conditions in a NYC mortgage commitment letter sample. Note the long check-list of tasks that must be completed in order for the lender’s commitment to be valid.COMMITMENT CONDITIONS(Attachment to Mortgage Loan Commitment)Borrower: The Closing Disclosure will be provided to you in advance of your closing indicating your loan terms and is followed by a government mandated waiting period before the actual closing occurs. Receipt of the Closing Disclosure does not indicate all loan conditions have been satisfied which must occur prior to closing. Changes of any kind that occur after the final Closing Disclosure has been delivered to you may result in an additional waiting period prior to closing.Borrower: This loan is also subject to all other lender specified conditions and must comply with all applicable federal, state, and local laws and regulations.Lender: Verification from the Lender’s Closing Agent / Attorney that a Recognition Agreement has been executed by the the Cooperative Board and received by the Closing Agent/AttorneyLender: Title to have Recorded UCC1 lien search at time of closingLender: Recognition agreements and stock certificate required at time of closingLender: This loan is approved for a maximum interest rate of — [ ]% (qualifying pmt)Lender: If the loan does not close by the expiration date of the credit documents which includes verification of employment, assets and credit, re-verification will be required. To avoid re-verification the loan must close by: [Date] (rate)Lender: Obtain a completed and signed Form 4506-T (written permission to request tax returns from the IRS) for all borrowers at and before closing. — ** rcvd prior to closing **Lender: Closing agent to verify borrower(s) identityLender: Fully executed and signed Social Security Administration release (form OMB #0960–0760)Lender: Loan was approved based on the following parameters: Debt to Income Ratio not to exceed [ ]%; Total Reserves required for Transaction are $[Amount] or 12mos (subject to change) plus closing cost & prepays of $[Amount] (subject to change). Required Liquid Funds for transaction can be no less than $[Amount]. If any of these parameters change, as required by product guidelines, the loan will be subject to re-underwriting.Lender: If the loan does not close by the expiration date of the following documents, re-verification will be required:Appraisal: [Date] Verbal VOE: [Date] Rate: [Date] Lien Search: [Date] Co-Op Approval: [Date]Lender: No subordinate financing allowedLender: Seller paid closing cost may not exceed actual costs, the maximum amount that can be paid is — $[Amount]Lender: No cash out to borrower(s) at closingNote that this hypothetical lender does not allow any subordinate financing. That means you won’t be able to take out a 2nd lien home equity line of credit at a later time. Please also note that if your purchase doesn’t close in time, the lender may need to re-do the underwriting process.Sample Mortgage Commitment Letter InstructionsCONGRATULATIONS!Your application for a [Bank Name] Co-op Loan has just been approved. Enclosed you will find a commitment letter which provides you with specific details regarding your loan approval. We urge you to read it carefully as it contains important information on the financing terms and the documentation that is required in order to close your loan.WHAT ARE THE NEXT STEPS?You must sign the commitment and return it to us within ten (10) days of the commitment or before the expiration date, whichever is sooner with any fees specified. Please note that this commitment letter contains two critical dates. If you elected to lock in your interest rate and points there is a rate expiration date. If you do not close your loan on or before the rate expiration date, the terms and conditions will change.In addition, there is credit document expiration date. If you do not close your loan on before this date you will need to satisfactorily update certain credit documents in order for the terms and conditions of this commitment letter to apply. If your rate and points have not been locked, the rate expiration date will be established once you elect to lock in your rate. You must lock in your rate at least five business days prior to loan closing.Please read the commitment letter and riders carefully, as they contain conditions that must be satisfied prior to your loan closing. It is incumbent upon you to make sure that we are in receipt of all items listed. These items must be reviewed and approved at least three (3) days prior to loan closing. Again we must emphasize that you cannot close your loan unless all these items have been satisfied.We have notified the closing attorney for [Bank Name] of this loan transaction.Arrangement and instructions for closing your loan should be obtained by contacting the [Bank Name] attorney named in your commitment letter. A loan closing can be scheduled shortly after all necessary documents have been received by [Bank Name].The [Bank Name] attorney will be able to provide you with specific information regarding the following:-Closing Date-Closing Location-Prepaid Interest and Escrow Funds-Co-op Lien Search Requirements-Survey Coverage Requirements-Insurance Requirements (Hazard/Flood/Condominium/Co-op)We encourage you to have your attorney contact the [Bank Name] closing attorney to review the requirements. This should help to ensure that your closing goes smoothly.Thank you for choosing [Bank Name] for your financing needs. We are delighted to have you as a client.What are sample closing conditions in NYC?Dear [Borrower],We have received today from [Bank Name] a copy of a commitment letter for a co-op loan and will represent [Bank Name] at the closing. Please be advised that we cannot schedule a closing unless we receive confirmation that the conditions required by [Bank Name], prior to closing, have been satisfied and the conditions required at closing will be obtainable and brought to the loan closing.Enclosed with this letter you will find three copies of Recognition Agreements. The Recognition Agreement must be delivered to and executed by an Officer of the Cooperative Corporation. The fully executed Recognition Agreement must be delivered to our office prior to loan closing or it must be brought to loan closing. We will be unable to close a co-op loan without the original executed Recognition Agreement with the corporate seal.Enclosed with this letter you will find a Uniform Commercial Code Authorization Form. This document must be signed by each person who will be on title and promptly returned to our office. This document is necessary for [Bank Name], to obtain a security interest in the cooperative. Upon our receipt and/or confirmation of certain information i.e. section/block/lot numbers of the building same will be inserted in the financing statement prior to filing. Please be sure to note that the executed Uniform Commercial Code Authorization Form and the check required by paragraph 3 below must be remitted to our attention at the time you accept your commitment letter to a assure a timely closing.To ensure that [Bank Name] has a proper security interest, a Cooperative search of the appropriate records will be conducted solely for [Bank Name]’s benefit. The search will be ordered by our firm and will be reviewed and approved by our office prior to loan closing. Payment of the lien search must be remitted to our office at the time you send back the UCC-1 Authorization form. The cost of the search is $275.00 and the filing fee for the UCC-1 is $100.00. Please remit a check for $375.00 made payable to [Name] for the lien search and the recording of the financing statement.Unless paid prior to loan closing, all charges and fees due to [Bank Name] must be paid from the loan proceeds. If you call our office the day before loan closing, we will advise you of the exact amount being deducted from loan proceeds.The commitment letter has two expiration dates; one is the Commitment Expiration and one is the Rate Lock Expiration. The loan must close and funds must be disbursed on or before the earlier of the Commitment Expiration or the Lock-In Expiration. In the event the loan is a refinance transaction and it is subject to the required three (3) business-day right of recission it must close four (4) business days prior to the expiration of any applicable rate lock agreement.Please note that a closing cannot be scheduled until the following items have been completed:– We have been advised by [Bank Name] that all commitment conditions have been satisfied.– The U.C.C. -1 financing statement has been filed.– The co-op search has been reviewed and approved– We have a copy of the proposed Stock Certificate and the first page of the Proprietary Lease. At closing, the original Stock Certificate and Proprietary Lease must be delivered to [Bank Name] Closing Attorney.– We must be in receipt prior to or at loan closing of a blanket insurance policy for the co-op evidencing sufficient dwelling coverage.[Bank Name] requires at least two (2) business days to schedule a loan closing.We are committed to providing you with the highest level of customer service. If you should have any questions please feel free to call us at [Phone Number].Content courtesy of https://www.hauseit.com/nyc-mortgage-commitment-letter-sample/Disclosure: Hauseit and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.

Banking in Australia is dominated by four major banks: Commonwealth Bank of Australia, Westpac Banking Corporation, Australia and New Zealand Banking Group, and National Australia Bank. There are several smaller banks with a presence throughout the country, and a large number of other financial institutions, such as credit unions, building societies and mutual banks, which provide limited banking-type services and are described as authorised deposit-taking Institutions. Many large foreign banks have a presence, but few have a retail banking presence. The central bank is the Reserve Bank of Australia (RBA). Since 2008 the Australian government has guaranteed deposits up to $250,000 per customer per institution against banking failure.[1]Banks require a bank licence under the Banking Act 1959. Foreign banks require a licence to operate through a branch in Australia, and Australian-incorporated foreign bank subsidiaries. Complying Religious Charitable Development Funds (RCDFs) are exempt from the licence requirement.[2]Australia has a sophisticated, competitive and profitable financial sector and a strong regulatory system.[3]For the 10 years ended mid-2013, the Commonwealth Bank was ranked first in Bloomberg Riskless Return Ranking a risk-adjusted 18%. Westpac Bank was in fourth place with 11% and ANZ Bank was in seventh place with 8.7%.[4]The four major banks are among the world's largest banks by market capitalisation and all rank in the top 25 globally for safest banks. They are also some of the most profitable in the world.[3]Australia's financial services sector is the largest contributor to the national economy, contributing around $140 billion to GDP a year. It is a major driver of economic growth and employs 450,000 people.[3]Contents1 Financial institutions 1.1 Big four banks 1.2 Mutual banking in Australia 1.3 Other retail banks 1.4 Foreign banks2 Regulation3 Interbank lending market4 International cooperation5 History 5.1 Early history 5.2 After federation 5.3 Adoption of new technology 5.4 Deregulation and concentration6 See also7 References8 External linksFinancial institutionsDeregulation of the financial sector commenced in the mid-1960s, with the removal of the distinction between and separation of trading and savings banks. Building societies were allowed to take deposits from the public. Banking in Australia is notable by the small number of large banks in the market. Much of this concentration is the result of bank acquisitions. English, Scottish and Australian Bank was acquired by the ANZ Bank in 1970. In 1982, Bank of New South Wales merged with the Commercial Bank of Australia to form Westpac. There were many other bank mergers and acquisitions throughout Australia's banking history. Beginning in the 1980s, several building societies sought to convert to banks, but were required to demutualise before they were permitted to do so. This included NSW Building Society, which became Advance Bank, St.George, Suncorp, Metway Bank, Challenge Bank, Bank of Melbourne and Bendigo Bank. A change in regulations allowed building societies and credit unions to become banks without having to demutualise, and several including Heritage Bank have converted since 2011 while retaining their status and structure as mutual organisations.In 1990, the government, under political pressure, adopted a strategy to halt the further concentration in the banking industry, which came to be called the "four pillars policy".[5]Big four banksMain article: Four pillars policyIn 1990, the government adopted a "four pillars policy" in relation to banking in Australia and announced that it would reject any mergers between the big four banks.[5]This is long-standing policy rather than formal regulation, but it reflects the broad political unpopularity of further bank mergers. A number of commentators have argued that the "four pillars policy" is built upon economic fallacies and works against the Australia's better interests.[6]The four pillars policy does not prevent the four major banks from acquiring smaller competitors. In 2000, CBA acquired the Colonial group, which had emerged as a major bank–insurance combine in the 1990s, after the Colonial Mutual insurance group took over State Bank of NSW in 1994. The Commonwealth Bank also acquired the State Bank of Victoria in 1990 and BankWest in 2008. Westpac acquired the Challenge Bank in 1995, Bank of Melbourne in 1997, and St.George Bank in 2008.[7]Currently, banking in Australia is dominated by four major banks: Commonwealth Bank, Westpac, ANZ Bank, and the National Australia Bank. The top four banking groups in Australia ranked by market capitalisation at share price 1 December 2017:RankCompanyMarket capitalisation(2017)Cash earnings(2015)Total assets(2016)1Commonwealth Bank of Australia (CBA)A$139.219 billion[8]A$9.14 billion[9]A$933.078 billion[10]2Westpac Banking Corporation (Westpac)A$106.821 billion[8]A$7.82 billion[11]A$839.202 billion[10]3Australia and New Zealand Banking Group (ANZ)A$83.599 billion[8]A$7.22 billion[12]A$914.900 billion[10]4National Australia Bank (NAB)A$79.465 billion[8]A$5.84 billion[13]A$777.622 billion[10]Mutual banking in AustraliaThe Customer Owned Banking Association (formerly known as Abacus Australian Mutuals) is the industry body representing the more than 100 credit unions, building societies and mutual banks that constitute the Australian mutual or cooperative banking sector.[14]Collectively, Australian customer-owned banks service 4.6 million customers or 'members' (as they are mutual shareholders in the institutions), with total assets of over A$85 billion.[15]The ten largest customer-owned banks in Australia are:[16]RankInstitutionTotal assets1CUAA$10.0 billion2Heritage BankA$8.5 billion3Newcastle PermanentA$7.5 billion4People's Choice Credit UnionA$6.1 billion5IMB BankA$4.9 billion6Greater BankA$4.8 billion7Beyond Bank AustraliaA$4.12 billion8Teachers Mutual BankA$4.08[17]billion9P&N BankA$2.9 billion10Bank AustraliaA$2.8 billionHeritage Bank is Australia's largest customer-owned bank, having changed its name from Heritage Building Society in December 2011. A number of credit unions and building societies changed their business names to include the word 'bank', to overcome adverse perceptions of smaller deposit-taking entities. For example, in September 2011 Bank Australia (formerly bankmecu) was announced as Australia's first customer-owned bank.[18]Three teachers' credit unions have become known as 'banks'; namely, RACQ Bank (formerly the Queensland Teachers' Credit Union), Victoria Teachers Mutual Bank (formerly the Victoria Teachers' Credit Union), and Teachers Mutual Bank (formerly Teachers Credit Union Limited).[19]The Police & Nurses' Credit Union began trading as P&N Bank in March 2013, and some credit unions are electing to use 'mutual banking' as a business tagline, rather than as a business name, as they do not meet the criteria to be called a 'bank'.[20]Other retail banksThere are other retail banks in Australia. These are smaller and often regional banks, including the Bendigo and Adelaide Bank, Suncorp-Metway, the Bank of Queensland and ME Bank. Other banks, such as Bankwest, St George Bank and Bank of Melbourne, are subsidiaries or alternate trading names of the big four banks.Foreign banksForeign banks wishing to carry on a banking business in Australia must obtain a banking authority issued by APRA under the Banking Act, either to operate as a wholesale bank through an Australian branch or to conduct business through an Australian-incorporated subsidiary. Foreign banks engaging in retail banking require a full banking licence. Foreign banks which do not wish to obtain a banking authority in Australia may operate a representative office in Australia for liaison purposes, but the activities of that office will be restricted.According to the Foreign Investment Review Board, foreign investment in the Australian banking sector needs to be consistent with the Banking Act, the Financial Sector (Shareholdings) Act 1998 and banking policy, including prudential requirements. Any proposed foreign takeover or acquisition of an Australian bank will be considered on a case-by-case basis and judged on its merits.There are a number of foreign subsidiary banks, however only a few have a retail banking presence; ING Bank (Australia) Limited (trading as ING), HSBC Bank Australia (a subsidiary of HSBC), Delphi Bank (formerly the ‘Bank of Cyprus Australia’, and in 2012 acquired by Bendigo and Adelaide Bank), Bank of Sydney (with a full banking licence since 2001) and Citibank Australia (a subsidiary of Citigroup) have a small number of branches.Foreign banks have a more significant presence in the Australian merchant banking sector.RegulationSee also: Financial regulation in AustraliaFormally, there is extensive and detailed regulation of Australia's banking system, split mainly between the Australian Prudential Regulation Authority (APRA) and Australian Securities and Investments Commission (ASIC). The Reserve Bank of Australia also has an important involvement. However, in practice, banks in Australia are self-regulated through External Dispute Resolution (EDR) schemes, the most prominent of which is the Financial Ombudsman Service (Australia) (FOS).APRA is responsible for the licensing and prudential supervision of Authorised Deposit-Taking Institutions (ADIs) (banks, building societies, credit unions, friendly societies and participants in certain credit card schemes and certain purchaser payment facilities), as well as life and general insurance companies and superannuation funds. APRA issues capital adequacy guidelines for banks which are consistent with the Basel II guidelines. All financial institutions regulated by APRA are required to report on a periodic basis to APRA. Certain financial intermediaries, such as investment banks (which do not otherwise operate as ADIs) are neither licensed nor regulated under the Banking Act and are not subject to the prudential supervision of APRA. They may be required to obtain licences under the Corporations Act 2001 or other Commonwealth or State legislation, depending on the nature of their business activities in Australia.ASIC has responsibility for market integrity and consumer protection and the regulation of certain financial institutions (including investment banks and finance companies). However, ASIC does not actually investigate any issues or propose any regulations that concern consumer protection, this authority is delegated to the EDR schemes and the Australian Competition and Consumer Commission (ACCC). The front face of the regulation of financial institutions and financial advisers are the various EDR schemes, the most popular of which is the FOS. ASIC is responsible for the approval of EDR schemes, all of which must comply with ASIC Regulatory Guide 139.[21]Banks are also subject to obligations under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 as "reporting entities". They are required to identify and monitor customers using a risk-based approach, develop and maintain a compliance program, and report to Australian Transaction Reports and Analysis Centre (AUSTRAC) certain cash transactions as well as suspicious matters and file annual compliance reports.There have been calls in recent times for an added level of regulation of banks following lending, foreign exchange, and financial planning controversies between 2009 and 2017, highlighted in 2016 Senate inquiries.[22][23]Referring to white collar crime, ASIC's Chairman Greg Medcraft said 'This is a bit of paradise, Australia, for white collar [crime]'.[24]In December 2017 the Australian Government established the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry to inquire into and report on misconduct in the banking, superannuation and financial services industry.[25][26]The interim report from the Royal Commission prompted the industry to revamp its banking code. The code has been criticised as needing to be legally binding, strictly liable and breaches criminal.[27]Interbank lending marketDuring the course of every day, each bank executes a large number of transactions, such as payroll, retail and business purchases, credit card payments, etc. Some involve cash (or its equivalent) coming into the bank and others of cash going out. Banks do not have a reliable way of predicting what or how much those transactions will be. At the end of each day banks must reconcile their positions. The bank that finds itself with a surplus of cash would miss out earning interest on the cash, even if it's for only one night. Other banks may find that they had more money going out than coming in, and the bank must borrow cash to cover the shortfall. To meet its liquidity obligations, the bank with the shortfall would borrow from a bank with a surplus in the interbank lending market. Depending on the bank's assessment of the type of shortfall and costs, the bank may take out an overnight loan, the interest rate of which is based on the cash rate, which is set by the Reserve Bank (RBA) every month (currently 1.25%); or else take out a "short duration loan", known as "prime bank paper", for a term of between one and six months and whose interest rate is called the "bank bill swap rate" (BBSW), which is set by the commercial banks.A body called the Australian Financial Markets Association (AFMA) determines the BBSW rate. Until 2013, AFMA would every morning at 10am ask each of the ‘prime banks’ what interest rates they will be offering or asking for that day. AFMA would then calculate the BBSW rate as the average of those quotes. Normally, the longer the term, the higher the offered rate. The system required some level of subjective judgement by the banks, because they would not know at that time of day what their end-of-day position would be. In addition, the system was open to abuse if banks lied to the AFMA, opening the BBSW rate to manipulation to some bank's advantage.[28]To avoid a repeat of alleged manipulations, AFMA changed the method of calculating the BBSW rate to the use of actual market transactions, which, however, is still open to possible manipulation. Besides effecting the BBSW rate, many other financial rates are based on it.[29]The Australian Securities and Investments Commission (ASIC) monitors the BBSW system and prosecutes those that manipulate the system.[29]There arises from time to time a situation when there are insufficient funds in the interbank lending market to enable the banks to balance their books. Some banks, for example, may be experiencing a bank run or may be withholding funds from the market expecting a heightened demand in the near future. The Reserve Bank's role includes ensuring liquidity in the banking system, including acting as lender of last resort in times of a liquidity crisis.[30]International cooperationThe United States has enacted the Foreign Account Tax Compliance Act. (FATCA) which came into effect on 1 July 2014, which aims to prevent tax evasion by US tax residents who hold foreign accounts by requiring foreign financial institutions to report details and interest income to the US Internal Revenue Service (IRS). Australia has signed an Intergovernmental Agreement (IGA) with the United States which sets out rules to enable Australian financial institutions to report to the Australian Taxation Office (ATO) which in turn passes the information to the IRS. FATCA affects US citizens, US tax residents and certain types of organisations that are controlled by them. To comply with FATCA, Australian banks ask customers to declare their US tax status.[31]HistoryEarly historyBetween white settlement in Sydney in 1788 and 1817, there were no banks nor much currency in the colony. The first bank in Australia was the Bank of New South Wales, established in Sydney in 1817.[32]During the 19th and early 20th century, the Bank of New South Wales opened branches throughout Australia and Oceania: at Moreton Bay (Brisbane) (in 1850), then in Victoria (1851), New Zealand (1861), South Australia (1877), Western Australia (1883), Fiji (1901), Papua (now part of Papua New Guinea) (1910) and Tasmania (1910). It was by far the most dominant bank throughout Australia until into the 1960s. The Commercial Banking Company of Sydney was established in 1834, and the National Bank of Australasia establish in 1858, and set up branches in other Australian colonies: Tasmania (in 1859), Western Australia (1866), New South Wales (1885) and Queensland (1920), and a London branch (1864). After acquiring a number of other banks over the years, these two banks merged in 1982 to form the National Commercial Banking Corporation of Australia, which was renamed the National Australia Bank.Union Bank of Australia, Sydney, 1840sIn 1835 a London-based bank called the Bank of Australasia was formed[33]that would eventually become the ANZ Bank. In 1951, it merged with the Union Bank of Australia, another London-based bank, which had been formed in 1837. In 1970, it merged with the English, Scottish and Australian Bank Limited, another London-based bank, formed in 1852, in what was then the largest merger in Australian banking history, to form the Australia and New Zealand Banking Group Limited.A speculative boom in the Australian property market in the 1880s led to the Australian banking crisis of 1893. This was in an environment where little government control or regulation of banks had been established and led to the failure of 11 commercial banks, even the National Bank of Australasia.Until 1910, banks could issue private bank notes, except in Queensland which issued treasury notes (1866–1869) and banknotes (1893–1910)[34]which were legal tender in Queensland. Private bank notes were not legal tender except for a brief period in 1893 in New South Wales.[34]There were, however, some restrictions on their issue or other provisions for the protection of the public. Queensland treasury notes were legal tender in that state.After federationPrivate bank notes and treasury notes continued in circulation until 1910, when the federal Parliament passed the Australian Notes Act 1910 which prohibited the circulation of state notes as money and the Bank Notes Tax Act 1910 imposed a prohibitive tax of 10% per annum on 'all bank notes issued or re-issued by any bank in the Commonwealth ... and not redeemed'. These Acts put an end to the issue of notes by the trading banks and the Queensland Treasury. Also in 1910, the Australian pound was first issued as the legal tender in Australia. Now, the Reserve Bank Act 1959 expressly prohibits persons from issuing bills or notes payable to bearer on demand and intended for circulation.[35]The federal government established the Commonwealth Bank in 1911, which by 1913 had branches in all six states. In 1912, it took over the State Savings Bank of Tasmania (est. 1902)[36]and did the same in 1920 with the Queensland Government Savings Bank (est. 1861). As with many other countries, the Great Depression of the 1930s brought a string of bank failures. In 1931, Commonwealth Bank took over two faltering state savings banks: the Government Savings Bank of New South Wales (est. 1871) and the State Savings Bank of Western Australia (est. 1863). In 1991, it also took over the failing State Bank of Victoria (est. 1842).Nos 5 and 7 Sydney Road Manly in 1951, taken by Sam Hood for LJ Hooker, SLNSW 31789As a response to the Great Depression, banking in Australia became tightly regulated. Until the 1980s, it was virtually impossible for a foreign bank to establish branches in Australia; with the consequence that Australia had fewer banks compared to countries such as the United States and Hong Kong. Moreover, banks in Australia were classified as either savings banks or trading banks. Savings banks paid virtually no interest to their depositors and their lending activities were restricted to providing mortgages. Many of these savings banks were owned by state governments. Trading banks were essentially merchant banks, which did not provide services to the general public. Because of these and numerous other regulatory restrictions, other forms of non-bank financial institutions flourished in Australia, such as building societies and credit unions. These were regulated by state laws and were subject to less stringent regulations, could provide and charge higher interest rates, but were restricted in the range of services they could offer. Above all, they were not allowed to call themselves "banks".Play media1969 ABC news report on the introduction of ATMs in Sydney. People could only receive $25 at a time and the bank card was sent back to the user at a later date.From 1920, the Commonwealth Bank performed some central bank functions, which were greatly expanded during World War II. This arrangement caused some discomfort for the other banks, and as a result the Reserve Bank of Australia was created on 14 January 1960 and assumed the central bank functions previously performed by the Commonwealth Bank, including managing the currency, the money supply and exchange control.Adoption of new technologyBanks have adopted new technologies in order to reduce operating costs. The rollout of automated teller machines (ATMs) commenced in 1969. There are currently a number of ATM networks operating in Australia, the largest five of which are: the Commonwealth Bank-Bankwest network (with over 4,000 machines), NAB-rediATM network (with over 3,400 machines), Westpac-St.George-BankSA and Bank of Melbourne network (with over 3,000 machines), ANZ (with over 2,600 machines) and Suncorp (with over 2,000 machines), and others.[37]Financial institutions are linked via interbank networks.The use of the Bank State Branch (BSB) identifier was introduced in the early 1970s with the introduction of MICR on cheques to mechanise the process of data capture by the banks as well as for mechanical sorting and bundling of physical cheques for forwarding to the payer bank branch for final cheque clearance. Since then, BSBs have been used in electronic transactions (but is not used in financial card numbering).EFTPOS technology was introduced in 1984. Initially, only the banks' existing debit and credit cards could be used, but in 1985, the ATM (Financial) Network was created to link EFTPOS systems to provide access for all customers. Cards issued by all banks could then be used at all EFTPOS terminals nationally, but debit cards issued in other countries could not. Prior to 1986, the Australian banks organized a widespread uniform credit card, called Bankcard, which had been in existence since 1974. There was a dispute between the banks whether Bankcard (or credit cards in general) should be permitted into the proposed EFTPOS system. At that time several banks were actively promoting MasterCard and Visa credit cards. Store cards and proprietary cards, such as fuel cards and Bartercard, were shut out of the new system, though they use compatible technology.The widespread acceptance of credit cards and the development of SSL encrypted technology in mid 1990s opened the way to E-commerce. Telephone banking was introduced in the 1990s, with internet banking being introduced after 2001 and mobile banking after the 2010s. Bain, Research Now and Bain[38]along with GMI NPS surveys in 2012 found that 27% of Australians have had mobile banking transactions in the previous three months.[39]These innovations have resulted in significant shifts in banking in Australia away from the use of bank branches, and resulting in branch closures and staff cuts.[40][41]Deregulation and concentrationThe banking industry was slowly deregulated. In the mid-1960s, the distinction between and separation of trading and savings banks was removed and all banks were allowed to operate in the money market (traditionally the domain of merchant banks), and banks were allowed to set their own interest rates. Building societies were allowed to take deposits from the public. Foreign exchange controls were abolished and the Australian dollar was permitted to float from December 1983.Banking in Australia is notable by the small number of large banks in the market. Much of this concentration is the result of bank acquisitions. English, Scottish and Australian Bank was acquired by the ANZ Bank in 1970. In 1982, Bank of New South Wales merged with the Commercial Bank of Australia to form Westpac. There were many other bank mergers and acquisitions throughout Australia's banking history. The boom and bust of the 1980s was a turbulent period for banks, with some establishing leading market positions, while others being absorbed by the larger banks. Beginning in the 1980s, several building societies sought to convert to banks, but were required to demutualise before they were permitted to do so. This included NSW Building Society, which became Advance Bank, St.George, Suncorp, Metway Bank, Challenge Bank, Bank of Melbourne and Bendigo Bank. A change in regulations allowed building societies and credit unions to become banks without having to demutualise, and several including Heritage Bank have converted since 2011 while retaining their status and structure as mutual organisations.In 1990, the government adopted the "four pillars policy" in relation to banking in Australia and announced that it would reject any mergers between the four big banks.[5]The four pillars policy, however, has not prevented the four major banks from acquiring smaller competitors. In 2000, CBA acquired the Colonial group, which had emerged as a major bank–insurance combine in the 1990s, after the Colonial Mutual insurance group took over State Bank of NSW in 1994. The Commonwealth Bank also acquired the State Bank of Victoria in 1990 and BankWest in 2008. Westpac acquired the Challenge Bank in 1995, Bank of Melbourne in 1997, and St.George Bank in 2008.[7]The Australian government's direct ownership of banks ceased with the full privatisation of the Commonwealth Bank between 1991 and 1996. There was also increased competition from non-bank lenders, such as providers of securitised home loans. A category of authorised deposit-taking institution (ADI) was created for a corporation which is authorised under the Banking Act 1959 to take deposits from customers. The change formalised the right of non-bank financial institutions — such as building societies and credit unions — to accept deposits from non-members.Following the Wallis Committee Report, the Australian Prudential Regulation Authority (APRA) was established on 1 July 1998 to take over from the RBA the oversight of ADI's and other financial institutions in Australia, eg., banks, credit unions, building societies, friendly societies, general insurance and reinsurance companies, life insurance and most members of the superannuation industry. The Payments System Board (PSB) was also created, to maintain the safety and performance of the payments system.At the time, consumer credit in Australia was primarily loaned in the form of installment sales credit. The arrival of hundreds of thousands of readily employable migrant workers under the post-war immigration scheme, coupled with intense competition amongst lenders, discouraged proper investigation into buyers.[42]Concerns about the possibly inflationary impact of lending created the first finance companies in Australia.[42]In June 2017 the Treasurer, Hon Scott Morrison MP, initiated the Open Banking Review. Open Banking is to encourage more efficiency in the market, create new opportunities for market entrants, encourage competition and give customers greater control over their data. This was finalised in March 2018.[43]In 2018 APRA created a Restricted ADI Framework.[44]The framework is designed to encourage new entrants to the banking industry, particularly small firms with limited financial resources, to navigate the licensing process. Eligible entities can conduct a limited range of business activities for two years while they progress towards an unrestricted status. APRA announced and authorised the first Restricted ADI, volt bank limited, on 7 May 2018.