if you start increasing your stall speed by putting on medium to large angles of bank you are going to spin it into the ground;
There is no misconception; forgive me if I misunderstand the issue; if your engine has failed and you have a climb speed of 75kts, you then need to get the nose down to maintain your glide speed which is still going to be in the region of 75kts. If you then wack on 65+deg AOB to facilitate a huge 180deg+ turn back to the runway your stall speed is going to increase; to avoid stalling a wing, you need to put the nose further down to increase your speed, but the problem is that you've run out of airspace cos the engine failed at 500ft ?? Misconception???
Hence my point is that the temptation is then to raise the nose which reduces the airspeed which then brings the actual airspeed and the stall speed together resulting in a spin and loss of control close to the ground.
Its your airspeed that will keep you alive !!!
Also - taken from the AAIB website which it states is contained in many aircraft POH and flight training manuals:
‘At low altitudes with a
failed engine, turns should not be attempted,
except for slight and gentle deviations to avoid
obstacles. A controlled crash landing straight
ahead is preferable to risking a stall which
could result in an uncontrolled roll and crash
out of a turn.’