Making an offer the bank can’t refuse! This could be a powerful tactic in dealing with silence by the bank. Especially when you feel the bank hasn’t provided adequate proof of debt. (None of this is legal advice, so do your due diligence before jumping in with both feet.)

Provide Proof of the Debt Within 21 Days

The burden is with the bank to prove the debt within a specific time-frame. Otherwise the borrower will no longer engage or acknowledge the debt.

Lenders and debt collectors are required to provide proof of the debt if the borrower disputes it.

So why not assert your rights to demand proof of the debt in order to fulfill any obligations? Making an offer the bank can’t refuse…

Make this request in writing with a clear statement:

“If the bank fails to provide the requested proof within the 21 days, the borrower will consider the matter closed. And no further correspondence will be entered into.“

You’re simply demanding to see supporting documents. The original loan agreement, a clear breakdown of the balance, audited accounts, and proof of ownership of the loan.

Under the Fair Debt Collection Practices Act (FDCPA) or similar, lenders or debt collectors are required to respond with evidence of the debt.

Bank’s Response to the Ultimatum

If the bank fails to respond to your offer within the given time-frame, the offer closes. Now you may have legal grounds to challenge the debt. Or discontinue any future interactions with the bank.

Failure by the bank to provide evidence could be grounds for the dismissal of the claim. Or at least you have grounds to stop making payments or communicating further.

The burden of proof falls on the lender to show that a debt is owed. If the bank can’t prove the debt, the borrower’s in a strong position to challenge the debt or the foreclosure.

Bank’s Own Responsibility

By making an offer the bank can’t refuse, the bank now accepts full responsibility for the alleged debt. The legal burden is with the bank to demonstrate the debt’s valid. This could force the bank to either produce the required documentation or back off entirely.

“No Further Correspondence Will Be Entered Into”

Many borrowers receive such letters from banks or debt collectors:

“We have reviewed your complaint, and no further correspondence will be entered into unless new information is provided.”

This is essentially a terminating response from the bank. And it’s often sent when they feel they’ve done enough to address the issue. Or when they’re not willing to engage further unless the borrower takes additional steps.

It’s the bank’s way of saying, “We’ve done our due diligence, and unless you provide something new, we will no longer discuss the matter.”

This ends the conversation on the bank’s terms. So why not use their tactics against the bank?

Making An Offer The Bank Can’t Refuse

Flip the script and demand the bank proves the debt within a set time-frame. Instead of you being the one to accept the bank’s demands, assert your own rights and demands for clarity and proof.

Failure by the bank to provide proof of debt could lead you to disputing the debt entirely. If the matter goes to court, the bank could struggle to prove the legitimacy of its claim.

Now you’ve got grounds to request the court dismiss the foreclosure case… Because the bank fails to show the debt exists in a legally enforceable way.

In fact, if the bank fails to prove ownership of the debt, it could be prevented from taking legal action to recover the money.

Stop Communication

Now you can refuse to engage further after the bank’s failure to respond to the ultimatum. You could argue the bank chose not to engage in good faith. And therefore the you should no longer be obligated to communicate or make payments.

This could lead to the bank withdrawing from the matter. Or attempting to resolve the issue through more formal means, including legal action.

Court’s Likely Response

If the case goes to court, the burden of proof still lies with the bank.

The court may require the bank to provide clear evidence of the debt… Including the original loan agreement, proof of loan ownership, and an accurate accounting of the debt owed.

If the bank can’t provide these documents or cannot substantiate its claims, the court may dismiss the case.

Failure to prove the debt would likely result in the bank losing its case.

So you’d be in a strong position if the bank fails to provide the necessary proof.

The court could then find in your favour, potentially removing the debt or dismissing the foreclosure action.

What Happens in Practice?

In practice, legal systems aren’t perfect. Banks and financial institutions are typically obligated to follow the law and provide evidence when requested.

If a borrower is assertive, especially in providing a formal request (in writing), the bank may be forced to respond with the necessary documentation, or else risk losing its case.

Banks may attempt to ignore the request.They may hope the borrower doesn’t escalate the matter or take legal action.

However, if the borrower insists on proof and holds the bank to its obligations, the matter could gain legal momentum.

Bank’s Ultimatum

So the borrower sends an ultimatum to the bank. Asks the bank for proof of the debt within a specified timeframe.

The bank fails to provide that proof. Now the borrower has strong grounds to challenge the debt and the bank’s actions.

The bank’s failure to provide evidence could create legal risks for them. And this may give the borrower a solid defense if the matter goes to court.

Essentially, the bank would be in a position where it must prove the debt or risk losing the case.

The bank can’t enforce a debt it can’t prove exists.

So you’re effectively flipping the standard power dynamic in debt collection. This puts pressure on the bank prove its claims. And is exactly what the bank demands if the borrower’s in default.

In theory, the borrower could gain an advantage in such a situation. Especially as the bank fails to respond or provide proof of the debt within the stipulated time-frame.

What do you reckon? Add your comments below.