'Choice also reported that banks have been inflating the value...

'Choice also reported that banks have been inflating the value of the property 15% to 20%'.

How about no?

Banks have independent valuers conduct valuations, the valuers are paid the same amount regardless of the price presented. Banks cannot inflate this figure.

In fact if you have two separate valuations the bank will select the lesser.

I believe the latest LVR average for the nation was around 67%.