Scenario:
A customer has an unsecured overdraft facility of $10,000 with an exposure of $11,000 and a mortgage of $400,000 on a house with an outstanding amount of $397,500.

The customer applies for increased overdraft facilities. Internal bank records indicate that frequent excesses occur on the existing overdraft and the mortgage bond in the personal name of the owner is two months in arrears.

Statement:
The application of the customer should not be considered by the bank.

True or False