Hey SD. I can't believe I missed another of your excellent threads.
No, we haven't done a bank run, and when I tell you why, perhaps it will add a little perspective, comparing your financial systems with ours.
First, for about the last 10 years, the two of us have worked on a cash basis. We have credit cards, and when we use them, it's to order goods from
the U.S., and if we cannot pay them off, we don't order the stuff. I have a business checking account and the primary purpose of it is to have a
mechanism for rendering checks written to me/business into cash.
We have a bit in a credit union, but NONE of our [personal] accounts are insured. We have a retirement account that is mandatory and government
sponsored. We have never figured Social Security into our plans, and we don't figure our retirement into it. If it's there, good.
We've been investing in goods that can and do and will benefit us, and what small amount of cash we do keep is split between U.S. and Cayman dollars.
We learned after Hurricane Ivan (when the primary banking computers were down) that we were wise to keep a small amount of cash aside, but most of
all to prepare for those contingencies, to not be part of the feeding frenzy that rears its disorganized and fearful head in the aftermath of any
disruption of normalcy.
The country's economy is closely tied to the U.S. economy -- most of our goods come from there as well, along with our primary infusion of dollars
in the form of offshore banking and tourism. There are no taxes, but we do pay duties on imported goods, fuel, etc.
I'm of a mind that the simpler we live, the better, regardless of if TSHTF or not. I don't count on ours or your dollars being worth anything.
Our primary concern in the event of economic breakdown -- at least insofar as our own selfish needs are concerned -- is keeping cool and hydrated.
The hydration part I've solved via a well and two cisterns I built which catch rainwater (4000 gallon capacity). We have a manual pump as well as
DC/battery/solar charger arrays. The coolth? A 150 sq. ft. screen house, which I just finished and is going to be used for growing UV-delicate
plants. It would be much cooler than the house to sleep in, given a situation where there was no power.
We won't do a run on the bank nor credit union, because that would only escalate the demise of buying power.
I think that was your point of doing this thread, to demonstrate that point. I've come to really appreciate the subtle way you present information,
friend, and if that is the case, you've been very successful.
If we had money in U.S. banks, we wouldn't withdraw it either. That borrowing power and interest quotient is vital for the viability of banking
systems, and thus whole economic systems. If the economy is toast, the dollar is as well, so nothing REALLY gained by a knee-jerk reaction, as far
as I can see.
On the other hand, several pounds of dry goods, peanut butter, honey, hand tools, and...... toilet paper ..... seems a pretty smart bet.
Of course, as a public service, in the interest of science, I have perfected a system of rendering local fruits into a tasty wine. It requires no
added sugar and utilizes ambient yeasts. I would liken it to a moderate-quality chardonnay. My Bride says it tastes like socks. She is clearly
[edit on 28-9-2008 by argentus]