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Betteto Frett accuses 1FirstBank of predatory lending

1FirstBank is being accused of predatory lending in the Virgin Islands. Photo: VINO/File
 Local businessman Betteto Frett is accusing 1FirstBank of predatory lending, alleging that the bank attempted to set him up to fail, and wrongfully foreclosed on his properties for monies owed. Photo: VINO/File
Local businessman Betteto Frett is accusing 1FirstBank of predatory lending, alleging that the bank attempted to set him up to fail, and wrongfully foreclosed on his properties for monies owed. Photo: VINO/File
ROAD TOWN, Tortola, VI- Local businessman Betteto Frett is accusing 1FirstBank of predatory lending, alleging that the bank attempted to set him up to fail, and wrongfully foreclosed on his properties for monies owed.

1FirstBank was told of the allegations but had offered no response, up to the time of publication.

Predatory lending refers to unethical practices conducted by lending institutions during a loan origination process that are unfair, deceptive, or fraudulent.

We have a ‘predatory Lender’ in VI- Betteto Frett

Mr Frett alleged in a statement to our newsroom that 1FirstBank cannot operate this way in the United States of America but is taking advantage and preying on depositors with their alleged unfair, deceptive and abusive tactics to benefit themselves and hurt the borrower.

“Ladies and gentlemen, I am Betteto Frett and I am coming to you to let you know that we have a predatory Lender in the name of First Bank operating in the British Virgin Islands and the Government is not doing anything about this.”

The local businessman alleged that 1FirstBank offered to lend him his “own insurance money of $832,000 that they used to service my loan contrary to my loan agreement which states that the insurance funds must be used either to restore the property or to reduce and discharge the debt and combine it with my existing loan of $5.5 million dollars totaling $6.3 million dollars and wanted me to pay it off in 2 years.

“I refused to sign the Indicative Term Sheet Agreement because I could not raise $6.3 million dollars in two years,” Mr Frett claimed.

1FirstBank ‘fooled me’- Frett

He continued that initially, his loan was for a 15-year term; however, the bank “fooled” him and got him to reduce it to a 7-year term by promising him that at the end of seven years, they would review it for interest rate adjustment only and extend it.  

“First bank further requested of me to reduce the seven-year term to a two-year term and pay off $6.3 million dollars together with interest thereon and I refused.

“Having refused their unfair terms the bank said to me that since the hotel will cost $1.9 million dollars to complete, I must deposit One Million and Sixty-three Thousand dollars ($1,063,000) in their bank which when combined with the remainder of my insurance monies of $832,000 there would be sufficient funds to finish it and if I do not deposit the funds they would foreclose on me.”

Mr Frett claimed that he told 1FirstBank that I could not complete the hotel for $833,000 and the bank should just return his insurance monies, but it refused.

“Since I could not come up with the One Million and Sixty-Three Thousand Dollars, they foreclosed on me,” Mr Frett said.

The businessman had turned to the public for financial assistance; however, our newsroom understands he was unable to secure the desired amount.

Several other allegations against 1FirstBank were also made by Mr Frett.

38 Responses to “Betteto Frett accuses 1FirstBank of predatory lending”

  • rattie (12/09/2023, 17:39) Like (12) Dislike (0) Reply
    You hear thing?
    • Winky (12/09/2023, 20:17) Like (26) Dislike (7) Reply
      This man well known for be the worst businessman in Tortola.
    • School children are saying that … (13/09/2023, 07:48) Like (4) Dislike (1) Reply
      The High Court rejected all of Frett’s arguments, and he failed to comply with a condition to appeal so his appeal was struck out.
    • Bruce Bruce (18/09/2023, 15:13) Like (0) Dislike (0) Reply
      There is no Welfare here like in some countries. People had better get their finances in order instead of buying jewelry, shopping for unnecessary clothing, buying take-out instead of cooking healthy meals at home, combing and styling their own hair instead of beauty parlors, painting their own nails instead of wearing all of that nasty looking fake stuff on your fingers, having 10 pairs of shoes and sneakers and so much more silly things that take away most of your paychecks. When I hear people I know talking about having a hard time making ends meet, I look at them from head to toe, suck my teeth and walk away. The majority of you will never learn and you call yourselves GROWN-UPS!
  • Salty Fish (12/09/2023, 17:42) Like (46) Dislike (9) Reply
    Bro, the banks here are disgusting. They milk.th9s country and its people for every dime, as do the lawyers to ride the bank's loan gravy train.

    But ..... they are not liars. It is right there in the documents you signed. If not, they'd have no legal.grounds to.forclose on you.

    So, did you jump into bed with the Devil? Yes, and you damn well knew you were selling your soul when you did it.

    Take a long look in the mirror because this is entirely on you man and you can cry all you want!
  • Whofeels it (12/09/2023, 18:05) Like (25) Dislike (2) Reply
    Republic bank is no better. After Scotia left and thet took over, they added on all kind of fees on the existing balance of customers' mortgages
    • WO (12/09/2023, 20:32) Like (6) Dislike (2) Reply
      You have millions and you complaining
      Most of us have noting or almost noting SO?
    • @WHO FEELS IT (13/09/2023, 09:18) Like (9) Dislike (0) Reply
      You are so right. Republic bank needs a serious audit into loans because I cant understand why all of people money they pay monthly for loans all go to either principle or sll goes to interest. The system is steeling from the customs. You should see auto split on your loans once you are paying each month even if you are a day or two off in payment date.

      People I want to warn those of you who have mortgage with banks to go in to your banks and request a detailed print out of your loan and look at your payment dates and how your hard earned monies was split to your mortgage and you would be surprised. Audit your account because your money may not be going to the right place.

      If you don't understand the details on it seek counsel on it.

      The program written to calculate those loans raising red flags.
      • :) (13/09/2023, 10:40) Like (2) Dislike (0) Reply
        thanks for the advise, I will do exactly that because I know I not easy
  • Hold it there (12/09/2023, 18:25) Like (27) Dislike (9) Reply
    Wait, hold up! Predatory lending? You didn’t have to fall for the bank’s scheme. They made it look good to you and you fell for it. Why blame the bank when it starts with you?

    I remember back then Bank of Nova Scotia would call my cell phone every second of the day to take a loan. It got to the point where I would let my cell rang out. Then they would call my work phone till I stop answering when their number showed up(thank God for caller ID). No matter how I told them I am not interested they would pester me to take a loan. Thank God I didn’t fall for their scheme.

    The bank’s objective is to make money. You didn’t have to take them up on their offer. People need to stop blame the bank for their short falls. If you can’t pay then guess what will happen…

  • more of the same (12/09/2023, 18:33) Like (17) Dislike (5) Reply
    Not him again. Guess his appeal to the public was unsuccessful.
  • Youth (12/09/2023, 18:51) Like (31) Dislike (14) Reply
    I like this man. He is a real fighter against the injustices of the bank and others to the people. Keep fighting my brother as more are with you than you think.
  • My Take (12/09/2023, 18:56) Like (44) Dislike (14) Reply
    Fight on my brother because we have a weak a@$ government who does not fight for the common man anymore. I never thought I would say this but you could have count on fahie to fight these kinds of fight in the best interest of the people.
  • resident (12/09/2023, 19:28) Like (47) Dislike (14) Reply
    This dude running a slum by the pier park, it would be a blessing if the bank took it and broke it down
  • ok (12/09/2023, 19:32) Like (16) Dislike (1) Reply
    5 million, wow, trying to figure out who is the predator, you or the bank?
  • Migoman (12/09/2023, 21:03) Like (14) Dislike (0) Reply
    The biggest gangstas are banks. You thought you could fool them but turns out, they outfooled you. Its not your first or second rodeo with a bank... No one fooled you into anything, you didnt have to agree to anything. As for the insurance money, dont act like you dont know how it works, if the bank is listed as a loss payee, you CANT get that money. The insurance payout was likely made to Betito Frett/First Bank Vi. How do you expect to grab 833k clean insurance cash on a property that you owe?
    • Realist (13/09/2023, 10:01) Like (3) Dislike (1) Reply
      I don't understand why he did not simply use the insurance money to restore the damaged property and get it to start generating revenue again. That is what insurance claims are for. This baffles me.
  • homie (12/09/2023, 21:19) Like (5) Dislike (3) Reply
    Leave this to Ralph Oneal and the Bank would find away to work things out with Betetto. What we have now are some greedy and selfish politicians representing their own self interest that they cannot carry to their grave.
  • Tadow (12/09/2023, 21:35) Like (5) Dislike (4) Reply
    The people of these Virgin Islands elected a woman who say she will be in their corner and she will have stern dialogue with the banks on the issuance of loans for Virgin Islands people, for a healthier Virgin Islands financially. It seems to me that all she want to do is go Guyana. While these Virgin Islands continue to transgress.
  • Lionel (12/09/2023, 21:44) Like (4) Dislike (1) Reply
    Mmmm Betetto Frett a blame the bank to use up he insurance money for loan payments and then he go blame Dion Stoutt for the high valuation thst make things hard for he. He aint blame himself for he his demise. Ma boy you might end right back up in court with all these allegations. The banks and these high valuator them look like them want to destroy the locals if you telling the truth ma boy.
  • Asking For Myself (12/09/2023, 22:10) Like (5) Dislike (6) Reply
    We with you frett where is Lorna on this bank matter?
  • Guest (12/09/2023, 22:52) Like (4) Dislike (0) Reply
    Birds of a feather.
  • Arrion (12/09/2023, 23:22) Like (31) Dislike (0) Reply
    This story is exactly what I was afraid of years ago. After hearing their terms on a mortgage loan, I declined it. I knew I could not meet their monthly payments and didn't want to use my land as collateral. Instead, on my own small piece of property, I had blueprint plans drawn up and started building one cinder block at a time at a pace I could afford. After 2 and 1/2 years, I completed my small modest 2-story home and moved in with my wife and 2 children. I was the foreman and also one of the workers for my project. It felt so good to sleep at night knowing I owned this outright with no banks breathing down my back. It took every penny of our savings and did not splurge on trips, functions, restaurants and unnecessary shopping, etc. Building my house was the biggest achievement for me and my family. Mr. Frett was dealing with a huge amount of money with unscrupulous bank lending practices and I am so sorry this happened to him.
  • Nissan leaves (13/09/2023, 00:07) Like (2) Dislike (1) Reply
    Why UK sites popping up on a google search
  • Heard him on jtv (13/09/2023, 02:18) Like (6) Dislike (0) Reply
    He say bank applied insurance payment to balance from beginning. Does that mean he hadnt paid the bank since the beginning?
  • No! (13/09/2023, 02:29) Like (5) Dislike (0) Reply
    Existing loan of 5.5million dollars? 1st bank does not appear to be the predator up to that point. Anything agreed afterwards was a business decision made by a business man. The bank is out of millions of dollars, is that right? How much in total does he truly owe. It is not as if Mr Frett has the best reputation around the place, no offence. He is a really really nice man though.
  • Lord (13/09/2023, 05:18) Like (11) Dislike (1) Reply
    Mr. Frett. You were lucky and blessed to get the bank to lend you that much money. You always being a good talker with good ideas but that can only get you that far, you are a very bad business man, you ran failed businesses, accept your weaknesses and your failures you will be come a better business man. Stop blaming the bank. You owe. You pay. Or.
  • 2023 (13/09/2023, 05:24) Like (5) Dislike (2) Reply
    The Government have to put new policies in place because the Banks up in here doing as they please while in other jurisdictions they policies are far different

    Governments in our country will not implement new policies because some use their portfolios to secure the personal living

    Some folks come into this territory and do as they please some working with out valid permits some over staying and the authorities will do nothing

  • Interesting at best (13/09/2023, 05:44) Like (5) Dislike (0) Reply
    The situation for Mr. Frett is unfortunate. Too often we forget that the bank is not your friend or family member that gives loans out of the goodness of its heart. The bank is profit driven, plain and simply. For such a large amount of money to borrow and repay, I’m very surprised that he didn’t get an attorney to review the terms of the loan documents and to accompany him the the loan closing to make sure that the terms of the loan are mutually favorable and within his best interest. It may be a situation where Mr. Frett didn’t seek proper advice and representation before committing to an obligation that he can’t meet. Perhaps?
  • jack (13/09/2023, 08:37) Like (2) Dislike (1) Reply
    This is thing to tell the king!
  • Third Eye (13/09/2023, 09:53) Like (7) Dislike (2) Reply
    Look how this situation going to send this poor man to his grave.

    Betito I am willing to buy you out at a break even value meaning, I pay off the bank but there is no profit to gain for you. I will then give you a job in maintenance so you can have an income for the rest of your life with this project.

    Post contact here
  • karma (13/09/2023, 12:08) Like (1) Dislike (0) Reply
  • John (13/09/2023, 12:13) Like (2) Dislike (0) Reply
    Mr fret how can you let this go so far no one will bail you out they would buy out insteat
  • HMMM (13/09/2023, 13:56) Like (2) Dislike (0) Reply
    this man name bad in alllllllll BVI Banks and many BVI people.
  • Concerned (13/09/2023, 14:19) Like (2) Dislike (0) Reply
    These banks are killing you with their fees for everything even when you are a long standing customer. The loan application fees and loan commitment fees are high and ridiculous! It's like you paying them to give you a loan and then you still have to pay the interest on the loan so it's a no win situation if you have to deal with these banks cause they are doing things here they can't do in other jurisdictions. Even for someone to send you a wire transfer they taking fees off of the deposit to your account. We don't stand a chance with these banks with no government intervention.
  • Trinidad Reaping US dollars in the BVI (13/09/2023, 17:53) Like (1) Dislike (0) Reply
    Trinidad think we spending tt dollars so their programmer seems to set the system to rob the customer in us dollar. Please please those of you who govern our territory need to stand up for your people. The banks in the bvi are reaping while the people suffer under their hands. Wake up wake up. Otherwise the reserves you have put away you the government will have the public always begging for help. Stop and think wake up please we beg you.

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