What to do with my Savings.

reply to post by johnny2127

Thanks for that information. I had never heard of that and don't think that is what i would want to do at this time.
I thought that investing and things were not such a good idea at this time? But you think that would be wise?

go purchase a couple decent metal detectors

find silver and jewelry

make money and enjoy dirtfishin

reply to post by notsosweet


Bad idea to pay debt- Think about when SHTF what good is a paid up house going to do you , you cannot get money out of it because banks will not loan money in a time of crisis or change like that, You cannot sell the house because no one is buying. Same with a car and credit cards. They could Freeze them all if we have a major financial crash or re-shake.

6 months is no longer enough time for a savings plan. You’ll need a year to a year and a half. 6 months was fine before the bottom fell out late last year. Not anymore!

KEEP SOME CASH and move the rest into gold. Not cheap coins. But something with decent value. You’ll have to keep some cash on you no doubt about it.

Remember if things really get BAD. Millions more people will lose jobs and there will be 10’s of millions with bad credit, they may just wipe it all out or not hold it against you. So why pay off debt?

Calculate what you monthly needs will be. Keep that amount for one year in cash. The balance I’d get GOLD. (Not Gold shares) that’s just me I don’t trust the stock exchange.

Be smart.

Originally posted by notsosweet
I appreciate all the feedback. we've been looking into guns and of course more stuff for our BOB's.

Paying off the rest of the bills is a good idea.

Why Gold, if I may ask? Would that be like trading gold for goods and services when and if the dollar goes away? Forgive my questions, still learning all of this interesting stuff.

I am at a bit of a loss as to why paying off your debt to companies(financial institutions)that won't be able to collect is a good idea, for the most part the collapse of the dollar is the collapse of these companies including your mortgage company. Cash on hand is needed however Gold and silver are the only real value in a barter scenario. Gold and silver will always have value no matter the situation. CD's? I cannot believe someone said that in the current financial mess the US is in. Think of things that would be useful to you in a TSHTF scenario and buy more than your share for bartering later.

The total collapse of the economy and the dollar into some SciFi barter system is very unlikely. Actually I think it's a fantasy for some of you.
OP do what you want, but I think you are getting some very bad advice.After all it is your money, not some bad movie script. PAY OFF YOUR DEBT!
I've heard this kind of BS from the fringe for forty years, it isn't going to happen, it's just like all the other dramatic goofy predictions here. Fiction.

Let's put it this way, the dollar collapses and the Yuan become world currency. All that happens is that some enterprising Chinese purchases your debt. Money is money, it is what makes the world go round. So some SciFi scenario comes to pass, you have gold and some guns. what then? A can of beans cost a pound of gold? You shoot who for what purpose? What good does that do you?
A cautionary tale:
Years ago i worked with a woman who were "new age" minded. They attended a series of lectures by "Pleiadians" that had the secrets to "Tesla's lost inventions". All they needed was seed money, they would manufacture these inventions, the worlds problems would be solved, and everyone would be rich. Sure.
You guessed it, despite EVERYONES warning they gave the Pleiadians their entire life's savings who apparently used it to fly back home. They lost everything.
Lesson, a fool and his money ARE soon parted.

reply to post by OldDragger

thank you olddragger. I will consider each and every one's advice. There are so many things that are going on in the world right now that it is very hard to come to a correct decision.
So, you don't think that we will be in a depression soon? Im interested in hearing more of your thoughts.

wow, I really appreciate everybody's advice. I knew I could count on you all.
I love this site for this very reason, everybody has some kind of advice for all of these things that are going on.

I'm taking in all of this, I will probably have more questions, but keep the advice coming, as it is helping me figure it out.

I've heard of Gold, but what about silver?

non collectible/nonnumismatic silver DIMES....Exactly what are these?

No, I don't think we will be in a 30's style depression, even if we were, gold and guns don't help much. Things are royally f'ed, but it isn't the first time this has happened, and won't be the last. It is in NOBODIES interest to have the world economy collapse, NOBODY gains, and gain is what money is for. How old are you? I get the feeling you are still young, think long term, not faddish predictions on this silly site. Keep a job, pay off your debt, get a good credit rating in case you need it ( and being female establish credit ion your name)!
Long term, things WILL improve and grow, learn investments, move cautiously. Maybe try your own business someday! THIS ISN"T the end of the world! No need to panic or be overyly negative, there is still a great big wonderful world out there!
Life endures!

Originally posted by notsosweet
reply to post by johnny2127

 

Thanks for that information. I had never heard of that and don't think that is what i would want to do at this time.
I thought that investing and things were not such a good idea at this time? But you think that would be wise?

When I used the term 'investing' I meant it in the generic sense of 'putting your money to work for you somewhere'. That doesn't mean stocks, or bonds, or commodities or anything specific. Without knowing your situation and risk tolerance I can't give very specific advice.

Basically, whatever you put your money into has to fit you individually.

Originally posted by notsosweet
HI all.

I have a question, with all the talk about our dollar not being worth what we once knew, and new currency, etc., I need to know if any one has any idea what to do with the money we have in our savings account.?

I am not a money expert so that is why im asking you all. Do I finish paying off some of my bills, etc. or will it not matter in the long run?

Thanks in advance.

As the dollar amount of your current debts will remain the same,
I'd say get them to a minimum payment at this time, and take
as much money as you can and spread it three ways.

Look at what did well during the Great Depression, you can
even ask an investor that you know and trust.

The interest rates might shoot up, but so likely will the price of metals,
and at the high point you can sell and then pay off your debt.

If you debt is locked at a low rate, then you really should
not fret over it unless you think you will end being on the street
over it.

Look at past collapses and what happened and use them as a guide.

1) Some physical silver, as it stands to do the best of the metals
per the video "hyperinflation nation" on youtube.
Junk silver coins are a good thing to consider as they are well known,
and could be used much like they were in the 25+ countries
that saw hyperinflation by design.

Watch "confessions of an economic hitman" on youtube.

2) Buy some long term food, and anything you might want if
there was a major long term disruption to the banks and
other financial institutions. Think Grid down, riots in major cities.

Cover the core 5: Water, Food, Shelter, Self Defense, Knowledge.

3) Buy a foreign currency that is likely to weather the storm,
I'd talk to a knowledgeable investor that you know. Store this
money outside the US in a bank with a very good history,
but not a US one, or a British one.

Plan 3 routes to bug out either to a rural setting, or out of the country
altogether til things sort themselves out.

Below is why I made these choices.

=====================================

Financial Collapse Summary:


We saw a failure of the 5 year bond sale of T-bills.

market-ticker.denninger.net...

Then the failure of the 7 year bond sale of T-bills.

market-ticker.denninger.net...

Below says US foreign Embassys are being told to horde
1 years worth of non-US currency due to a possible
lengthy banking shutdown.

www.marketwatch.com...

Speaking of shutdown, 7 banks in one day went poof...

www.fdic.gov...

Close to 600 Bank of America locations to be closed.

news.yahoo.com...

FDIC top level official says bank closures to increase 10 fold.

moneynews.newsmax.com...

By just their public financials they are forced to disclose
348 banks are either technically already failed, or 1% away
from it indicated in the orange on this spreadsheet.

bankimplode.com...

They recently called back formerly retired FDIC workers,
and hired 600 more to get ready for it all.

www.npr.org...

I can see why she would say that with near 2,700 banks being
rated D+ or lower.

www.moneyandmarkets.com...

Over 1,000 Trillion in derivatives are set to implode.

theinternationalforecaster.com...

Once they monetize the debt and start printing money like mad
to buy our own debt up, they will devalue the currency and
turn the US into a modern day Zimbabwe.

They outline how this is likely to happen in these three videos.

www.youtube.com...

www.youtube.com...

www.youtube.com...

The tax revenues have dropped more than anytime since the Great Depression.

www.huffingtonpost.com...

The real U6 unemployment rate is closer to 21%.

blogs.moneycentral.msn.com...

34 million ppl on food stamps, more than ever before.

www.forbes.com...

The World bank says we are entering a Deflationary Spiral.

www.telegraph.co.uk...

While some of the above may be hard to believe, this is
not the first time that things that were hard to believe
ended up being true.

conspiraciesthatweretrue.blogspot.com...

Good Luck to you all !


[edit on 26-8-2009 by Ex_MislTech]

This is really an impossible question to answer.

We don't know anything about you or your situation.

I would say learn to make more money. Anything that you fear, or any bad thing that you think will happen in the future, is beyond any control really. Just learn to be all you can be. Learn to make more money and enjoy life.

In the best case scenario I would say the financial advisors are more right than wrong however they are assuming the US can drag itself out of this mess unscathed and everything is status quo .
Let's say you hold 100,000 in US cash in savings. As each day passes the average value of that 100,000 is going down. At some point it may become worthless so does it make sense to keep it there or buy gold and silver(physical not futures) and hold it until either everything goes back to normal and you can sell it even if you don't make a profit it is not likely you would lose any money or TSHTF and the value of the gold and silver goes through the roof.

reply to post by notsosweet


Pay off your debts. Gold is not "liquid" or easily trade-able.. and low grade CD's and other securities like Money Markets don't even keep up with inflation. Your best bet, and fiscally you will be in much, much better shape is pay down as much debt as you possibly can. If you cannot pay off your mortgage or cars, start with your smallest credit cards and eliminate them and as much of your bigger ones. Destroy them, keeping one big one for emergencies.

You could also ask a financial adviser about different investment option in securities like Mutual Funds but I would honestly hold off until next Spring to do any major market investing (that you won't have day to day control over) as we are due for another correction.

America has gone through many currencies, and after a switch debts are always still there, and there is rarely chaos when a currency switch happen.. if it's a complete economic/political collapse... debts will still get called in, no escaping it sadly

reply to post by THX-1138

We don't know anything about you or your situation.

That's why I never understand why people ask for financial help over the internet.

reply to post by johnny2127


The Repatriation Tax is for Corporations, not Individuals, and it's tax rate is 5.25% at the moment. It's nothing more than a way to convince Corporations to send foreign earnings back home (where our Corporate tax rate is 35% I believe)

If you have money in a foreign account there are special papers to fill out when you file taxes at the end of the year, I believe the total amount in foreign bank accounts must be 10,000 or greater. (since you're getting taxed on interest)

reply to post by Ex_MislTech


Wow MislTech! I wish I could star you a few more times. People like you make this place great! What an awesome, well-cited response.

Hey NotSoSweet, I have a suggestion.

Just wire your money to me and I will, um...'invest' it for you, yeah, that. You can trust me. (wink)

reply to post by KSPigpen


Thanks pigpen...

I will wire the money right away.....

I didn't want to get a real specific advice for just my situation when I started this thread. I wanted to know what ideas the ATSers would offer to not only me but to others that might have been wondering the same thing.

It really helps to get more than one idea as to what one could do, so that we can investigate further into our own situation and do what we feel might fit us as individuals.

Thank you very much as I appreciate everyone's suggestions.

Originally posted by johnny2127
Look, here's what you have to remember, even if there is a collapse as many think will happen, it will not result in us living in a 'Mad Max' like world.

Um, "nucular" war?