Table of Contents

Promissory Note – How it works

The Promissory Note may either

1. be drawn against the balance of your share of the Running Balance Account (a.k.a. Treasury Trust Account), being an account held within the Australian Federal Treasury,  As the drawee, much the same as a bank on a cheque when you as signer or drawer Draw a cheque against a regular bank account OR

2. be securitized by the bank when it collects numerous negotiable instruments, being securities and therefore tradable, it is bundled with other securities until the gross value of the bundle achieves a significant commercial value in the order of billions of dollars upon which the bundle is sold to offshore fund managers for a premium such that the credits attained from the securitization process of each individual security is returned to the originating lender. Where there was a loan application by a borrower, the credits-proceeds attained from the securitization process is returned to the lender and the liability (debt) to the bank discharged.

In the case whereby a Promissory Note is delivered to the bank and is securitized, there is no liability to the bank such that the item purchased by the delivery of the Promissory Note to the bank and the title to the purchased item (Certificate of Title) is free and clear.

Why haggle for a better price, offer a tip instead

Although it is inherent in most people to haggle for the best price because of our preconditioned mindset to reason for the lowest price because we are using our own ‘scarce’ cash resources so keep in mind, you are not now constrained by such limitations because the amount you may write in figures on your Promissory Note (hereafter ‘not’) has technically no ceiling limit! Does that mean one ought to exercise their often predisposition to greed, as a result of their previous life of lack? NO!

The market has an uncanny mechanism to isolate and punish greed, usually through the judicial and legal system. Competency and greed rarely mix.

Competency takes time, research, study, application, grit and backbone, persistence and even much empathy.

These ingredients are not conducive with a ‘greed’ or ‘make a quick buck’ mindset.

Any real work and effort in applying one self to study in order to attain sufficient knowledge to not only complete contracts with attached payment instruments along with at least sufficient consideration to support a simple contract but to hold your position should any challenges from the bank facilitating the credits for you, occur, should no doubt put off those with the mindset of ‘get rich quick’ mentality.

The Promissory Note payment process is entirely about honour and certainly not about, like some uneducated folks claim, getting something for nothing. The fact is the Promissory Note payment process is a legitimate process and permitted under authority of statute whereby you, as the banker (S4 Bills of Exchange Act 1909 (Cth)), have authority to create credit instruments and attain a benefit by them. The payment of goods and services are facilitated by a process of ‘different performance’ rather than ‘strict performance’ (check legal definition of the word ‘satisfaction’).

Now this is cleared, remember, that when using your note, the amount of the final total price will not directly effect you. You may even be somewhat generous, thereby attaining superior service from your dealer who appreciate your custom and generous ‘tips’ thereby achieving a win-win for all parties to the contract.

Folks should read two useful books:

1. The Bills of Exchange Act 1909 (Cth) – freely downloadable from the web.

2. Australian Mercantile Law – Yorston & Fortescue 13th or any other edition.

Protect your Property in your Living Name (Royal Registry de Jure)

Therefore you can immediately protect your privacy by entering the name of your Trust as the chattel/property owner, for ownership and registration purposes. As the trustee, you may sign all documents on behalf of the trust, if property and privacy protection is important to you.

Ensure when you sign the contract of purchase to;

  1. Add a ‘subject to finance’ clause and stipulate a within 90 day period should the bank claim to be unable to securitise the note such that the sale is subject to the bank’s acceptance of the note and specify precisely the note that you deliver to the bank is YOUR note with its own unique Promissory Note (PN) # upon it, because if you don’t you may find you must pay in Australian Reserve Bank notes which are also Promissory Notes! (see attached copy of a completed Promissory Note), and
  2. Sign the paperwork as a CREDITOR, as follows;

    By: Your STRAW signature
    Your title case full name               (eg John Henry Doe)
    All rights reserved

  3. Ensure you have limited and negatived your liability to the holder of the contract (S21(1), S36(5) Australian Bills of Exchange Act 1909 (Cth) by writing on the top left of each page of the contract the words:


GST, stamp Duty, Luxury Car Tax

Exemptions for taxes and duties is possible if the chattel is purchased by a NOT FOR PROFIT and NON GOVERNMENT ORGANISATION such as a private Trust or Foundation.

However you may find that it may or may not unduly delay the purchasing process and to what end if the credits are coming from the securitisation of the Promissory Note anyway. You may also stipulate in your contract a waiver of taxes and duties by virtue a private entity is the purchaser of the chattel.

Registration of Chattel

Are you intending to register your chattel under the local statutory authority or provide your own diplomat registration number/ vehicle plates?

Unless one is properly and competently prepared to address any challenges-backlash from the alleged ‘authorities’ it may be simple and quicker to proceed with the local statutory authority until such time as one is sufficiently competent to take the giant step to transfer into the private.

Also, if your intention was to sell the new car in the near future it is easier to facilitate the sale with traditional registration rather than either being unregistered or having your own plates on the chattel.

In any case, ensure the owner of the chattel is a separate entity, such as a Trust, in order to protect your property and your privacy.

Negotiating with the Bank

It is sufficient for the dealer to deliver your paperwork to his Bank for processing.

To maximise the likelihood of a successful outcome, to either;

  1. Organise to approach the local bank (by phone or in person) where the dealer has their account with your dealer or their appropriate account manager so you can instruct the bank manager to direct the Promissory Note to the appropriate office for processing and mention the 20% surplus amount on the note is the bank’s commission for processing the note.

    It ought be a win-win situation.

    You might mention that you have 100+ friends who would come to their branch to process similar requests so the bank could reap significant financial benefits by working with us.

    Remember, you only attain what you want when you ask for it. Should the bank manager say he is unable to effect the processing, ask HIM what similar options might be available so any liability created in a commercial transaction can be immediately discharged by delivery of a negotiable instrument or any other ‘private process’ he may be aware of.

  2. Contacting the bank by phone and asking at which office their bank effects securitization of negotiable instruments and whether you might have their contact details as you wish to conduct commercial business with their bank, then either ask the branch level to process your note or contact the relevant securitization office directly and effect the process. The advantage in dealing direct with a securitization office is it bypasses any claim from the branch level that the bank cannot accept a Promissory Note or effect its securitisation and therefore the effect and necessity in ‘holding your position’.

    Remember this is a private process within the private section within the banking system and is NOT public knowledge, nor should it any result you attain from this process be broadcast publicly because it will draw attention to you and UNRAVEL what you have so far already accomplished. i.e. you will be attacked and you will have your property taken from you through fraud charges and if unsuccessfully defended you may end up in jail. Keep private what ought be private!

Use a Trust

As already disclosed, there are several reasons why it is desirable and advantageous to use a Trust to purchase the car in the name of that Trust, rather than your own name [your entity – legal fiction juristic person name]. It provides a level of protection against any potential litigation against you personally, as you are not the owner of the car, a Trust being a recognised ‘entity’ or legal person on par with a ‘person’. It affords excellent asset protection. You may also wish to protect your privacy.

Do the elite own not ‘control everything but own nothing’? Therein lies the secret to wealth generation!

For Trust information you may visit

Bank’s claim to not accept Promissory Note

  1. Demand the return of your Promissory Note. If it is not returned within four weeks of having delivered it to the bank, do a as search to trace it as it may have already been securitised.
  2. Try another ban

How to Process the Promissory Note

Treat the Promissory Note as a cheque though legally it is a different kind of security being a two party instrument as opposed to a three party instrument, as is a cheque, the cheque being a Bill of Exchange.

If dealing direct with the bank, you may deliver the documents below directly to the bank by registered mail. The author doesn’t advocate this process because of the higher probability the bank will reject the note yet keep the negotiable instrument.

If one knows how to hold one’s position, by replying by phone, in person or in writing, ‘did you not return the note, does retaining the note for longer than 72 hours evidence acceptance, does action not over ride words’?

You make an appointment with the manager of the bank in order to walk them through, in transparent manner, the process so by doing so you eliminate any potential claim for fraud as well as addressing any issue or controversy immediately, while at same time requesting the office that securitises the securities.

Inform the manager you want the note securitised and present him the evidence of the liability that enables you to raise the note. Let him know the 20% credit amount on the note, being above and beyond what’s required to settle the liability, is a commission to the bank to disperse at their discretion for facilitating the process and that if they are happy to do so, you can bring much further business to his branch.

Make it clear to the manager that if the bank retains the note, it is deemed by all parties that the note was accepted and securitised by the bank, so should the bank later claim it has not accepted the note or cannot securitise it yet failed to return it, you will make the allegation of fraud against the bank.

You either want performance or recovery of your property, the note. If the bank manager makes the claim the bank cannot process the note then retain possession of it and approach the bank at a higher level.

Cannot have it both ways. This is where ‘holding your position’ comes into its own and separates success from failure.

The securitisation process is accomplished by settlement date, a period usually within 30 days.

Another Option to process a Promissory Note

Alternatively, one can attain a chattel loan from any finance lender but a Bank lender is preferred as they understand negotiable instruments, such as Promissory Notes and will know to securitise it. Smaller financial institutions are less likely to have their own facilities to perform the securitisation process, particularly car dealers. Once you’ve attained your chattel loan, it is suggested you make monthly payments for the first four months, so as to deflect any potential claim as to self enrichment when delivering your Promissory Note, and thereafter deliver a Promissory Note to the Bank lender.

The key element to this process is holding one’s position.

Over riding law: Bills of Exchange Act 1909 (Cth) and Merchant Law

The Australian Bills of Exchange Act 1909 (Cth) (BOE Act 1909 (Cth)) governs commerce within Australia and is the over riding Commonwealth Law in commerce, only over ridden by the Bankruptcy Act 1966. See BOE Act 1909 (Cth) S5

Avoid court where possible

Remember, you’re entitled to be tested by the judiciary and legal system (wasn’t Peter tested three times before the cock crowed? Were the two ladies claiming ownership over the same baby not tested by Solomon and did Solomon not determine the real mother by offering them a ‘fish hook’, a test, by stating ‘let’s cut the baby in half and you each can have half each’ thereby identifying the real mother who thereafter said in a horrified tone ‘no, she can keep the baby, I don’t want my baby harmed’, thereby identifying the real claimant?) by their, what appear to be, false claims or ‘fish hooks’ that test and distract you such that you incriminate yourself and assume the debtor status rather than the creditor status (subject of another book).

The judiciary is entitled to test you to ensure you’re competent in pursuing your remedy. A pretender-debtor, is not permitted to claim rights reserved for a creditor(man, woman, people). Check your legal dictionary for the legal definition of ‘person’. It isn’t what you may think it is.

So, unless you’re competent in addressing courts, or have sufficient funds to employ a competent lawyer, you ought avoid litigation and appearing before any court. That’s a simply process. Any summons you receive to appear before a court is simply an offer or invitation to attend and can be legitimately accepted or not accepted by writing across it in bold red writing;






* Include the LIP Abatement Notice in to the court when returning their summons with the above statements written on it.

Holding Your Position

For the reader’s benefit so the reader is assisted in attaining a level of competency when any ‘challenge’ (we call ‘back-lash’) of the payment process occurs, the author has included an in-exhaustive list of responses that once learned and internalised, will enable anyone using the Promissory Note payment process, or any other of numerous processes, to ‘hold their position’ and successfully achieve the objective of settlement of the liability and closure of the formerly outstanding account.

Simply delivering payment of the Promissory Note to the payee – creator of the liability will achieve settlement in a small percentage of cases. Where people fail is in holding their position.

If the reader can learn the simple responses below, success will not only be attained, but the skills learned and internalised by this whole process will add tremendous commercial value to your skills and is recognised and rewarded by the marketplace! Happy studying and REHEARSING!

1. You have not paid!

a. Are you claiming the instrument tendered is not a sufficient alternative consideration to discharge the liability? (Check legal definition of ‘satisfaction’)

b. Have I NOT paid according to the tenor of my acceptance? (S59 & 60 BOE Act 1909) (Remember you may need to ask the Q 3 X if they don’t answer in the affirmative. After 3 X failing to answer, YOU have the right to answer for them.

c. Are you claiming the Bills of Exchange Act 1909 (Cth) is invalid and no longer in force or effect?

2. You need to pay with legal tender.

a. Are you claiming the negotiable instrument tendered is not sufficient alternative consideration to discharge the liability?

b. Did Lord Denning not state: “We have repeatedly said in this court that a bill of exchange or a promissory note is to be treated as cash. It is to be honoured unless there is some good reason to the contrary” (Lord Denning M.R. in Fielding & Platt Ltd v Selim Najjar [1969] 1 W.L.R. 357 at 361; [1969] 2 All E.R. 150 at 152, CA)?

c. Are you claiming a PN is NOT legal tender? Do you have some proof?

d. Are you claiming paying by BOE is not valid or is insufficient alternative performance to discharge a


e. Are you saying a Reserve Bank note is NOT a Promissory Note?

3. We don’t accept your method of payment.

a. You already have!

b. Are you claiming the instrument tendered is not a sufficient alternative consideration or performance to discharge the liability?

c. Fine, is that not your confession to already having discharged the liability against the drawer?

d. Did you not receive the PN/payment instrument? (YES)

e. Did you not accept something offered? (YES)

f. Did you not assent by your silence, & did you not show your acceptance by virtue of holding it in your possession for over 72 hours after receiving it?

g. Is the legal definition of acceptance NOT ‘assent, accept, receive, take something offered? (hahaha DING DONG)

h. Did you not fail to return the payment instrument drawer-maker within 72 hours of receiving it? (Ding Dong, TOO LATE BUDY to make the claim)

i. Does action not over ride words? (Held onto it for over 73 hours = acceptance)

j. Did you/the payee not FAIL to present it for payment thereby discharging the liability against the drawer-maker? (S92 & S93 of the BOE Act 1909 (Cth))

4. We don’t like the way you pay your debts ….

a. That’s ok, we don’t like the way you make you orders/judgments/statements/notices!

5. A Promissory Note can’t pay the debt!

a. Correct, but can it not DISCHARGE the obligation or liability?

b. Are you claiming a PN is NOT equivalent to cash and must NOT be treated as such?

6. You can’t pay the debt with this instrument.

a. What do you mean, I just did!

b. Are you claiming a Promissory Note (PN) is insufficient alternative performance to discharge the liability? (Will NEVER say yes, or their claim will wipe out the Australian currency, which are also PN’s)

c. Are you claiming a PN is NOT equivalent to cash and must NOT be treated as such?

7. We don’t accept Promissory Notes

a. Oh, you already accepted it, too late!

b. Are you claiming a Promissory Note (PN) is insufficient alternative performance to discharge the liability? (Will NEVER say yes, or their claim will wipe out the Australian currency, which are also PN’s)

c. Did you not receive the PN/payment instrument? (YES)

d. Did you not accept something offered? (YES)

e. Are you NOT in your possession of it for over 72 hours after receiving it? (Contract law – If in possession 72 hours = accepted contract)

f. Is the legal definition of acceptance NOT ‘assent, accept, receive, take something offered? (hahaha DING DONG)

g. Did you/the payee not FAIL to present it for payment thereby discharging the liability against the maker/drawer? (S93 of the BOE Act 1909)

8. We are returning your documents as we do not recognise them.

a. Thank you for confession to taking possession, receiving, taking something offered and accepting the instrument from me, as evidence of your acceptance!

b. Cool! Did you not have possession for longer than 72 hours?

c. (IF possession was less than 72 hours) Thank you for confessing to have discharged the obligation for me. Now there is no further obligation! (Contract law – IF within the cooling off period of 72 hours either party with-draws, the contract is ANNULLED!)

d. Are you claiming a PN is not sufficient alternative consideration or alternative performance to discharge the liability?

9. We consider your documents have no legal basis or effect!

a. Are you claiming the Bills of Exchange Act 1909 (Cth) has been repealed is invalid or of no legal force or effect?

b. Oh, do you have any proof & would you mind putting that on your affidavit & signing it please? (They will never do so as that would land them in hot water for fibbing!) Oh, so you were telling me a porky!

c. Are you claiming the payment instrument is defective or deficient? Do you have any evidence?

d. Are you claiming a PN is not sufficient alternative consideration or alternative performance to discharge the liability?

e. Are you claiming your Notice/statement/claim is not a legal or formal document in writing intended to be executed in technical form? (Definition of instrument)

f. Are you claiming your Notice/Statement/Claim is not inchoate?

g. Are you claiming, I as drawer or maker do NOT have prima facie authority to fill in all missing particulars and complete it as I see fit? (S25 of the BOE Act 1909)

h. What law do you operate under & are there any laws you are NOT compelled to follow?

10. Please pay with an acceptable method of payment

a. Are you claiming the payment instrument tendered is not sufficient alternative consideration to discharge the liability?

b. Are you claiming a PN has not sufficient alternative consideration or alternative performance to discharge the liability?

c. Are you saying the BOE Act 1909 (Cth) is invalid or of no legal force or effect?

d. Are you saying a PN is NOT equivalent to cash and is NOT to be treated as such?

e. Is a Reserve Bank note NOT a PN?

f. Are you claiming a PN is not an acceptable method of payment? Please put that in writing and sign it! (The claimant won’t do so) Oh, another porky!

11. When will you make payment, what you sent is not payment?

a. Really, do you have some proof to back your claim?

b. By virtue of the payee or agents/employees having confirmed receipt of the ‘delivered’ instrument was ‘acceptance’ NOT perfected by ‘delivery & Notification’? (BOE Act 1909 S4)

c. Are you claiming the payment instrument-PN delivered was not sufficient alternative consideration to discharge the liability? (See ‘10’ above)

12. Why do you believe you can pay in this way?

a. Are you claiming the Australian BOE Act 1909 (Cth) no longer applies or is invalid?

b. Have I not paid according to the tenor of my acceptance? (BOE Act 1909 (Cth) S59 & S60)

c. See ‘10‘ above

d. Is this about what I believe or is it about what YOUR statute laws disclose?

13. We do not agree to the terms of the agreement you set out.

a. Too flippen late mate!

b. What does it say in the top right hand corner, would you like to read it out? Would you like me to read it out? (NOT NEGOTIABLE)

c. Are you claiming you have authority and/or consent from the drawer (me) that allows you to attempt to negotiate a non-negotiable contract? Could you show it please?

d. Under what authority or consent do you rely on to claim you are able to negotiate a non-negotiable instrument without the consent of the drawer/maker? Please produce it!

e. How long has the payment instrument been in your possession?

f. Is that longer than 72 hours?

g. Tough luck! Its too late mate! Doesn’t Law Merchant – contract law not apply?

h. Did you not assent to the contract by virtue it’s been in your possession longer than 72 hours?

i. Does action NOT over ride words?

j. Did you NOT receive it? Did you not take something offered? Is that NOT evidence of your acceptance?

k. Do you know the legal definition of acceptance?

14. The letters we have received from you all appear to be templates found on internet websites. (fishhook)

a. Are you claiming what I delivered to you is NOT a NOT NEGOTIABLE contract?

b. So what, are you claiming they’re invalid? Do you have any proof?

c. Are you claiming I didn’t create the documents?

d. Notwithstanding the fact that I created the documents, are you claiming the instruments, such as court forms (located on the court website) are not valid legal documents and/or legal instruments?

15. That’s not a Promissory Note!

a. Really? What does it say at the top of the instrument, please read it out!

b. Really, do you have some evidence to produce now?

c. Really, are you saying it’s NOT a 2 party instrument, with the Maker committing to pay the Payee on Demand or at fixed or determinable future time a sum certain in money to the order of a specified person or to bearer?

16. (Judge) We’ve had many of those arguments before the court & they all failed. I don’t believe that’s a Promissory Note! OR That’s not a Promissory Note!

a. With respect Sir, is the judge permitted to practice law from the bench, I didn’t think so!

b. With respect Sir, are you the plaintiff today? Aren’t you to be impartial & only permitted to be the neutral administrator?

c. Is that your legal or personal opinion? We don’t give a …… for your personal opinion, with all due respect

d. Is that not a two party instrument showing ‘an unconditional promise in writing made by one person to another, signed by the maker, engaging to pay, on demand or at a fixed or determinable future time, a sum certain in money, to or to the order of a specified person, or to bearer ‘ S89 BOE Act 1909 (Cth)

17. (Judge – stated during my author’s attempt in asking him for evidence of claim & nail him) ‘That’s right, it’s the 3rd & final time & sit down now or I’ll have you removed from the court’)

a. With respect Sir, do I NOT have the floor & are you permitted to threaten me from the bench, isn’t  that a breach of the peace?

18. ‘But that’s a court order. It’s not negotiable?’

a. Yes, I acknowledge it’s a court order. Do you see anywhere, where it says it’s NOT ‘NOT NEGOTIABLE’?

‘No, but it’s a court order! They’re not negotiable. You must do as it orders!’

Yes, I agree – it’s a court order, but for the second time, do you see anywhere on the instrument saying it’s NOT ‘NOT NEGOTIABLE’?

(DEFLATED: ‘no, I don’t!’ Therefore could it NOT possibly be ‘NOT NEGOTIABLE’? (YES, I guess so!)

19. It’s NOT an instrument …

a. Really? Is it not a formal document? (YES…)

b. Is it NOT a legal document in writing? (YES, for sure!…)


(they’ll be in shock … You just read out the legal definition of ‘instrument’)

d. Now that we have agreement, could it NOT have been inchoate? (silence…) Inchoate is INCOMPLETE… Therefore, as drawer, signer, holder, accepter, do I NOT have prima facie authority to fill in any missing particulars and complete as I see fit? (S20 BOE Act 1882/S25 BOE Act 1909)

NOW YOU WILL HAVE WON. Your adversary will acquiesce. A big shot Manager for a powerful administrator (of companies that have committed acts of insolvency -THEY are NOT allies, they strip the assets of the company & deprive the owner of his own cash flow! He stated he’d never seen the process & claims he knows many law firms, bounced off them & none of them had ever seen the process.

A new ‘friendly’ administrator was appointed, the earlier one sacked & the Manager for the new one is excited as they have huge database of problem companies & HE sees the process as EXTRAORDINARY, valid & legal/lawful.

Submit in to court with the FOI CAG Reply.

20. I have noted your comments concerning the payment that you have sent. I can only assume that you refer to the promissory note that you have produced which was included with your initial challenge. I can confirm that we can only accept cash payment of a recognised legal tender of the United Kingdom. As the promissory note that you have provided, has no legal standing, is not legal tender and is of no legal monetary value, the Penalty Charge Notice remains unpaid.

a. Will you so kindly sign your claim so you are held accountable and liable for your statement/claim?

b. Thank you for acknowledging my payment!

c. Is the cash payment that you refer to not a Reserve Bank NOTE?

d. Is the BOE Act 1909 definition of NOTES not ‘PROMISSORY NOTES’?


f. Are you authorized, and if so, how was it derived, to distinguish between different Promissory


g. Do you NOT realise that by excluding/rejecting our Promissory Note as payment you also exclude/obliterate//discredit/make of no effect the entire Australian Reserve Bank notes and monitory system?

h. Are you claiming the Australian BOE Act 1909 is no longer in force or valid?

i. Are you claiming a Promissory Note is NOT equivalent to cash and once tendered DOES NOT have to be treated as cash (Lord Denning M.R. in Fielding & Platt Ltd v Selim Najjar [1969])

j. Is acceptance not perfected by delivery and notification? (Bills of Exchange Act 1909 S4?

k. Is it not true that by virtue of the payee or agents/employees having confirmed receipt of the delivered payment instrument that acceptance has been perfected (Bills of Exchange Act 1909 (4)?

l. Are you claiming you are authorised and licensed to give legal advice?

m. Were you NOT in possession of my payment instrument for more than 72 hours after receiving it?

n. By your confession are you NOT in breach of the NOT NEGOTIABLE contract and therefore the party in commercial default and dishonour?

21. With regard to your requirement that the holder respond to the mode of the Maker’s tender offer within 10 days, I can confirm that we are under no legal obligation to accept any offer of payment within the timescales that you have presented.

a. Correct, but if you don’t accept the offer of payment, does that not automatically discharge the liability?

b. By Payee or any employee/s of the payee failing to present the Promissory Note for payment, is the liability not automatically discharged against the drawer-maker (Bills of Exchange Act 1909 S92/93?

c. Correct and accepted, however would non acceptance not constitute a commercial default and dishonour?

d. Correct and accepted, however would non acceptance after 72 hours of receiving it not automatically discharge any liability against the drawer – maker?

e. Did you NOT retain possession of the payment instrument for at least 72 hours of receiving it?

f. Is the contract NOT binding on all parties after 72 hours of the payee receiving it?

22. The Promissory Note you sent us is not a cash payment

a. Correct again, but isn’t a Promissory Note regarded equivalent to cash and to be treated as such?

b. Is it not true that a Promissory Note is equivalent to cash and once tendered has to be treated as cash (Lord Denning M.R. in Fielding & Platt Ltd v Selim Najjar [1969])?

c. Are you claiming a Promissory Note is not sufficient alternative consideration or alternative performance to discharge the liability?

23. What we sent you was a statement not a bill?

a. Are you claiming your statement isn’t inchoate and cannot be completed by the holder, drawer, maker?

b. Is your statement NOT a statement of the transaction giving rise to the bill? Australian BOE Act S8(3)(b)

Biller / Seller Creates Invoice – Subject to finance approval.

Buyer writes on that Bill as follows:



All in Blue or Black Ink – follow The text as it is shown.

Pay to the order of

Without Recourse




Title & Business Name [if billing a company]

FYI Just an idea to reinforce your BoE Remittance

An allonge is a document that is attached to a promissory note to add or modify its terms. It is made an integral part of the note. A sample allonge to promissory note is as follows:

Allonge attached to Promissory Note dated ____________, 2013, executed by ____________________, payable to the order of UDF IV FINANCE VIII, L.P., a Delaware limited partnership, in the original principal amount of $.

An Allonge should be attached to the BoE Bills when RTS as a cover page.


Allonge To Note

Loan / Invoice Number:                   12345

Property Address:                             666 high st Penrith NSW 2750

Principle Balance:                             $320,000.00

Allonge to Note Dated:                     January 26, 2024

In favour of:                                      Finance Company Inc & ABN:

and Executed by:                              First Middle Surname

Pay to the order of:                           Seller/Biller name & ABN

Without Recourse:                            Buyer

By:      _______________________________

Name: _______________________________

Title:   _______________________________



Primary tabs

(a) If tender of payment of an obligation to pay an instrument is made to a person entitled to enforce the instrument, the effect of tender is governed by principles of law applicable to tender of payment under a simple contract.

(b) If tender of payment of an obligation to pay an instrument is made to a person entitled to enforce the instrument and the tender is refused, there is discharge, to the extent of the amount of the tender, of the obligation of an indorser or accommodation party having a right of recourse with respect to the obligation to which the tender relates.

(c) If tender of payment of an amount due on an instrument is made to a person entitled to enforce the instrument, the obligation of the obligor to pay interest after the due date on the amount tendered is discharged. If presentment is required with respect to an instrument and the obligor is able and ready to pay on the due date at every place of payment stated in the instrument, the obligor is deemed to have made tender of payment on the due date to the person entitled to enforce the instrument.

What Is an Allonge?

An allonge is a sheet of paper that is attached to a negotiable instrument, such as a bill of exchange. Its purpose is to provide space for additional endorsements when there is no longer sufficient space on the original instrument.        

Key Takeaways

  • Allonges are physical sheets of paper used to provide additional space on a contract.
  • They are commonly associated with negotiable instruments such as bills of exchange.
  • Today, allonges are relatively rare as contracts are increasingly drafted and amended electronically.

How Allonges Work

Allonges are commonly used on bills of exchange, which are a type of negotiable instrument in which one party agrees to pay a specified sum of money to another party, either immediately or on a future date. Bills of exchange generally do not involve any interest payments, making them essentially postdated checks.

An important role that allonges play includes the housing of the signature for a contract’s guarantors. In the context of bills of exchange, the person who guarantees the payment of the bill is known as a “given of an aval.” The term aval refers to the guarantee given that the amount stipulated on the bill or allonge will be paid. To ensure enforceability, an aval must specify the account for which it is given. If no such specification is given, then it will be deemed as pertaining to the drawer.

Allonges vs. Bills of Exchange

Bills of exchange are primarily used in international trade, with each involving the following three parties. The first party is known as the “drawee,” which is the party responsible for paying the sum of money specified. The second party is the “drawer,” who is an intermediary between the drawee and the payee. Lastly, the “payee” is the party who ultimately receives the funds paid by the drawee. In the event that there are only two parties involved, then the drawer and payee would be the same party.

Importantly, bills of exchange are transferable through endorsements. In practice, this means that the original endorsements applied to a bill of exchange may need to be updated several times in the event that the bill is transferred repeatedly. To facilitate this, bills of exchange will often come with an allonge attached to the bill, effectively acting as a placeholder for potential future amendments to the contract. In order for the allonge to have legal enforceability, any new endorser must inscribe and sign their endorsement onto the allonge.

Example of an Allonge

Today, allonges are mainly used in Europe among countries that operate on a tradition of civil law, such as France. They are relatively rare in the U.K. due to differences in the treatment of endorsements under the English legal tradition. In practice, however, allonges have become rare throughout the world as contracts of all kinds are increasingly drafted and amended electronically, thereby allowing new pages to be added as needed without the prior physical constraints.

Here is a heads up on what has really happened to you when you get a bank loan.



1. Borrower signs the bank’s Loan Contract and Mortgage.

2. Borrower’s signature transforms the Loan Contract into a Financial Instrument worth the value of the agreed Loan amount.

3. Bank Fails to disclose to borrower that the borrower created an asset.

4. Loan Contract (Financial Instrument) asset deposited with the bank by borrower.

5. Financial Instrument remains property of borrower since the borrower created it.

6. Bank Fails to disclose the bank’s liability to the borrower for the value of the asset.

7. Bank fails to give borrower a receipt for deposit of the borrower’s asset.

8. New money credit is created on the bank books, credited against the borrower’s financial instrument.

9.  Bank fails to disclose to the borrower that the borrower’s signature created new money that is claimed by the bank as a Loan to the borrower.

10. Loan amount credited to an account for borrower’s use.

11. Bank deceives borrower by calling credit a “Loan” when it is an exchange for the deposited asset.

12. Bank deceives public at large by calling this process Mortgage Lending, Loan and similar.

13. Bank deceives borrower by charging Interest and fees when there is no value provided to the borrower by the bank.

14. Bank provides none of its own money so the bank has no consideration in the transaction and so no true contract exists.

15. Bank deceives borrower that the borrower’s self-created credit is a “Loan” from the bank, thus there is no full disclosure, so no true contract exists. Borrower is the true creditor in the transaction. Borrower created the money. Bank provided no value.

16.  Bank deceives borrower that borrower is Debtor not Creditor

17. Bank Hides its Liability by off balance-sheet accounting and only shows its Debtor ledger in order to deceive the borrower and the Court.

18. Bank demands borrower’s payments without just cause. Deception-theft- fraud.

19. Bank sells borrower’s Financial Instrument to a third party for profit.

20. Sale of the Financial Instrument confirms it has intrinsic value as an asset, yet that value is not credited to the borrower as creator and depositor of the Instrument.

21. Bank hides truth from the borrower, not admitting theft, nor sharing proceeds of the sale of the borrower’s Financial Instrument with the borrower.

21. The borrower’s Financial Instrument is converted into a security through a trust or similar arrangement in order to defeat restrictions on transactions of Loan Contracts.

22. The Security including the Loan Contract is sold to investors, despite the fact that such Securitization is Illegal.

23. Bank is not the Holder in Due Course of the Loan Contract. Only the Holder in Due Course can claim on the Loan Contract.

24. Bank deceives the borrower that the bank is Holder in Due Course of the Loan.