SECTION 57 - NO BOND REGISTERED YET CHARGED INITIATION FEES AND INTEREST RATE CHANGED

I received a call from a Absa Home Loan Consultant in this regard but the matter remains unresolved. I was informed that even though this is an endor*****t of the bond and NO NEW BOND was registered, I cannot challenge the interest rate that was applicable on the joint bond of prime minus 2%, prior to the section 57.

If this was an endor*****t of the title deed only and transfer of the half share to my name, the interest rate (original agreement) should have remained the same. On the initial agreement (prior to the section 57), the interest rate was prime minus 2%. It was only an endor*****t and not a new bond thus an endor*****t of the title deed only.

I queried this with the bank and the attorneys but received no satisfactory answer to date.

Ericka of Absa Kimberley informed me (which issue I fought for one year, which was only sorted out in December 2016) that a NEW BOND will be registered with a new term of 20 years. The terms was amended on 12 December 2016 to 8 years...

The terms of the bond was resolved in December 2016, however the interest rate was never amended accordingly. See Clause 2.4 subsection 2.4.3.

In terms of Absa Bank's Home Loan which I would like to emphasize (in terms of my case), which states:

2.4. Special Conditions

2.4.3 This is a section 57 endor*****t. No bond is to be registered.

However, in clause 1 COST OF CREDIT section 1.1.2 Initiation fee it states: "Your mortgage loan account will be debited with this fee on registration of the bond, but it can be paid immediately." I was charged R5 700 which is in contradiction with section 2.4.3 above as no bond was registered.

These clauses are contradictory and why was I charged (as the consultant inferred "You paid an initiation fee - R5 700) even though no "new" bond was registered because this is how Absa Bank does it's section 57? This then becomes a constitutional issue because the two clauses are contradicting one another. In my case, no new bond was registered! Therefore, I request that the R5 700 that I was incorrectly charged be refunded with interest as from 15 December 2015, because "No new bond" was registered. It was merely an endor*****t. I trust that this "initiation fee" will be repaid to me within a seven day period as no bond was registered and there was no need to pay such a fee. This amounts to a ********** transaction.

I therefore regard this matter as unresolved and would like this matter to be escalated higher up in terms of the interest rate in dispute and the "initiation fee" which must be refunded with interest.

I have been very patient for many years whilst trying to amicably resolve the above issues.

It is sad when a person just becomes a "file" and an interruption to someone's day, which leaves you feeling as if the Bank is doing you a favour to try and resolve your issues at hand.

Once this bond has been repaid in full, I will not do any further business with ABSA.

It is just one "long" and continuous struggle...