Australian Banks Sitting on A$500 Billion of 'Liar Loans,' UBS Says, page-3

lol.... "could" yep real sure there!

"False statements included saying they earnt more than they really did, inflating the value of assets, and underestimating living expenses."

Love to know how people are getting away with this if it is as wide spread as these guys suggest I have yet to goto a bank manager where you didn't have to provide proof of your income via payslips etc etc and then when it comes to other income you will only get assessed based on what they think you can earn not what you really earn. Again as for the value of the assets since when do they take your word for the value of assets with respect to property they normally these days look up the value through their rpdata to work out what the values are and in many cases will still get a valuer to value the assets in questions. As for underestimating living expenses again since when do they even really get into this - normally they have their assessed level of income that they will allow to be used against a mortgage which in most cases represents the average expenditure.

About time some of these guys actually provide some evidence of the real widespread problem if there is one. Sure it will have happened a bit on the fringe but other than that where is the evidence!