Notice of Lack of Consideration
The nuclear option. Exposes that no money was lent — banks create money from your promissory note. Their failure to prove consideration = admission the contract is void.
- Exposes the core fraud — No consideration = no valid contract
- Creates legal presumption — Their silence = admission
- Lists criminal violations — Puts them on defensive
- 30-day cure period — Complies with good faith requirements
- Sets up enforcement — Non-response enables next actions
Send to: CEO, Board of Directors, General Counsel, Servicer
Template
NOTICE OF LACK OF CONSIDERATION
AND DEMAND FOR PROOF OF LAWFUL DEBT
30-DAY OPPORTUNITY TO CURE
[YOUR FULL NAME]
[YOUR STREET ADDRESS]
[CITY, STATE ZIP]
[PHONE]
[EMAIL]
[DATE]
SENT VIA CERTIFIED MAIL # [CERTIFIED MAIL NUMBER]
TO:
[BANK CEO NAME]
Chief Executive Officer
[BANK NAME]
[BANK ADDRESS]
[CITY, STATE ZIP]
AND TO: Board of Directors (via CEO)
AND TO: General Counsel
AND TO: [Loan Servicer (if different)]
RE: LACK OF CONSIDERATION - VOID CONTRACT
Loan Number: [YOUR LOAN NUMBER]
Property Address: [PROPERTY ADDRESS]
Original Loan Amount: $[AMOUNT]
Date of Alleged Loan: [DATE]
Dear Mr./Ms. [CEO LAST NAME]:
This letter serves as formal LEGAL NOTICE that the alleged loan referenced above is void for lack of consideration. Your institution's continued attempts to collect on this void obligation constitute multiple federal crimes.
STATEMENT OF FACTS AND LAW
- I Provided a Promissory Note: On the date referenced above, I executed a promissory note for the stated amount, which is a negotiable instrument under UCC § 3-104.
- Promissory Notes ARE Payment: In our current monetary system, Federal Reserve Notes are themselves evidence of promissory obligations (12 U.S.C. § 411). My promissory note, therefore, constituted payment, not a promise to pay later.
- Your Bank Provided No Consideration: Your institution did not loan me pre-existing money from:
- Depositors' accounts
- The bank's capital reserves
- Federal Reserve funds
- Any other pre-existing source
- You Created Bookkeeping Entries: Your bank simply:
- Deposited my promissory note as an asset
- Created a matching liability (deposit) in my account
- Balanced your books with accounting entries
- Monetized my promise into spendable credits
- This Was Not a Loan: This was an undisclosed exchange of my valuable promissory note for bank-created credits, not a loan of pre-existing money.
- Federal Authorities Confirm: The Federal Reserve and Bank of England have publicly acknowledged that banks create money when they make "loans," not lend existing money.
FORMAL DEMAND FOR PROOF OF CONSIDERATION
Within thirty (30) days of receipt of this notice, you must provide documentary proof of:
- Source of Funds: Documentary evidence showing the specific source of the $[LOAN AMOUNT] allegedly loaned to me.
- Debit Entry: Bank records showing a debit to a specific account when the loan was made.
- Risk/Loss: Evidence that your bank:
- Risked or lost something of value
- Experienced a decrease in assets (other than the promissory note received)
- Had less money after the transaction than before
- Prior Existence: Proof that the money allegedly loaned existed in your possession BEFORE my promissory note was executed.
- Legal Authority: If you claim my promissory note was discounted at the Federal Reserve, provide:
- The discount window transaction records
- Legal authority to charge interest on money created from my note
- Disclosure that this would occur
CRIMINAL VIOLATIONS YOU ARE COMMITTING
Your continued collection attempts without having provided consideration violate:
Forcing me to work to pay a non-existent debt
Penalty: $500,000 fine + 20 years prison
Holding me in debt bondage through fraud
Penalty: $500,000 fine + 20 years prison
Using threats (foreclosure, credit damage) to collect void debt
Penalty: $1,000,000 fine + 20 years prison
False claims regarding promissory notes in federal jurisdiction
Penalty: Full restitution + 5 years prison
Each statement sent claiming false debt
Penalty: $500,000 per mailing + 20 years prison
Multiple parties (bank, servicer, credit agencies) conspiring
Penalty: $500,000 fine + 10 years prison
FAILURE TO RESPOND = ADMISSION OF NO CONSIDERATION
CONSEQUENCES OF NON-RESPONSE
Your failure to provide proof of consideration within 30 days will:
- Constitute admission that no consideration was provided
- Constitute confession that the debt is void
- Estop you from claiming any right to collect
- Waive any claimed interest in the property
- Subject you to criminal complaints with:
- FBI — White Collar Crime Division
- Department of Justice — Criminal Division
- U.S. Attorney — District Office
- State Attorney General
- County District Attorney
- Result in civil action under 18 U.S.C. § 1595 (civil remedy for peonage)
- Trigger complaints to all regulatory agencies
CEASE AND DESIST ILLEGAL COLLECTION
Effective immediately, you must:
- CEASE all collection attempts
- CEASE all negative credit reporting
- CEASE all foreclosure proceedings
- CEASE all communications except to provide requested proof or confirm account satisfaction
PRESERVATION OF EVIDENCE
You are hereby notified to preserve all documents, electronic records, and communications relating to this alleged loan, including but not limited to all accounting entries, Federal Reserve transactions, internal emails and memos, securitization documents, and insurance policies on the loan. Spoliation of evidence will result in adverse inference and sanctions.
PUBLIC FILING NOTICE
This Notice will be filed in the public record at the County Recorder's office. Your response or lack thereof will also be made public. The public has a right to know which financial institutions honor their legal obligations and which operate through fraud.
RESERVATION OF RIGHTS
I reserve all rights and remedies available under law, including the right to file criminal complaints, seek civil damages, quiet title, declaratory judgment, injunctive relief, punitive damages for fraud, and all defenses in any foreclosure proceeding.
This Notice is sent with the sincere hope that you will either provide the requested proof or honorably resolve this matter. However, I am fully prepared to pursue all criminal and civil remedies if you continue your unlawful collection attempts.
Time is of the essence. Govern yourself accordingly.
All rights reserved,
Without prejudice,
[YOUR PRINTED NAME]
Alleged Borrower
Date: [DATE]
cc: (all via Certified Mail)
[Bank Board of Directors]
[Bank General Counsel]
[Loan Servicer]
Consumer Financial Protection Bureau
[State] Attorney General
[State] Banking Commissioner
[Your Attorney (if applicable)]
EXHIBITS ATTACHED:
- Exhibit A: Copy of Promissory Note (showing my payment)
- Exhibit B: Federal Reserve "Modern Money Mechanics" excerpts
- Exhibit C: Bank of England "Money Creation" publication
- Exhibit D: 12 U.S.C. § 411 (Federal Reserve Notes as obligations)
- Exhibit E: Criminal statutes cited herein
Post-Mailing Checklist
- Letter sent to CEO via Certified Mail
- Letter sent to Board of Directors via Certified Mail
- Letter sent to General Counsel via Certified Mail
- Letter sent to Servicer via Certified Mail
- All tracking numbers recorded
- Copies kept for records
- Calendar marked: 30-day deadline
- Exhibits attached to each copy
- Consider recording at county recorder
Legal Citations
18 U.S.C. § 1581 — Peonage
18 U.S.C. § 894 — Extortionate collection
18 U.S.C. § 1025 — Promissory note fraud
18 U.S.C. § 1341 — Mail fraud
18 U.S.C. § 241 — Conspiracy against rights
12 U.S.C. § 411 — Federal Reserve Notes
Related Templates
- Affidavit of Truth — Sworn factual foundation
- Notice of Criminal Violations — Maximum pressure
- Notice of Disputed Debt — FDCPA protections