Think the Major Banks are not worried in North America regarding Cyprus? Read and judge for yourself

Originally posted by BlueAjah
reply to post by Wifibrains

 

This is very true, and has probably always been that way.
That is how banks work.

I remember years ago, before direct deposit was the norm, and people actually took their checks to the bank to cash...
Our company had to always call the local bank to warn them a few days in advance if our company was doing a second payroll for the week, which we did twice a year before a vacation "shutdown", when we paid employees in advance. If we did not warn the bank, they would not have enough cash on hand to cash the paychecks when employees brought them in.

Now with direct deposit, we never even see our cash. It is kind of an illusion that the "money" even exists, if you think about it. It goes directly into the bank, and from there directly to our debtors. And maybe we get a little cash allowance out of it from an ATM machine once in a while.

The "cash" does not really exist.

Ahhh but the "cash does exist" at least in our safe here at home.:-)
Regards, Iwinder

reply to post by proximo

The other reason they are told to do this, is they really do want to eliminate cash, the banks would love everything to be electronic, their ability to commit fraud, take fees, and cut costs improve if it goes away.

Very straight forward and easy to follow post.

Many thanks for your wisdom
Regards, Iwinder

reply to post by Iwinder


Every few months I walk into my local Wells Fargo and take out $5000 in order to go and buy silver... they act like I ask for $10 Billion and it takes a good 30 minutes to get my money.

reply to post by Iwinder

-They then went to great lengths to assure her our money was both insured and safe in their bank.

that was a false statement by the bank... in fact the FDIC deposit insurance fund has only about $25 billion in reserves to cover claims that can be greater than $5 Trillion if many of the top 40 banks had a severe crisis tomorrow




i cannot retreive the link at the moment but i did read the $25Bn figure of funds available for insured account holders... the FDIC will need money-from-air if there were a money run on the USA banks from anticipating a +10% "Cyprus-like" Tax on depositers conducted here in the USA


the system could collapse or trigger hyper inflation at the least

Originally posted by OptimusSubprime
reply to post by Iwinder

 

Every few months I walk into my local Wells Fargo and take out $5000 in order to go and buy silver... they act like I ask for $10 Billion and it takes a good 30 minutes to get my money.

I hear ya and that is why this thread is here now.

This is new to us here, 5k no problem with an appointment, 10k no problem with an appointment but there was a problem and that was they did not want us taking out that money this morning.

Dollars to Doughnuts we bet a phone call Monday morning asking why we are taking money out of a Zero interest account and not letting them gamble it all away.

Regards, Iwinder

Originally posted by St Udio
reply to post by Iwinder

 

-They then went to great lengths to assure her our money was both insured and safe in their bank.

that was a false statement by the bank... in fact the FDIC deposit insurance fund has only about $25 billion in reserves to cover claims that can be greater than $5 Trillion if many of the top 40 banks had a severe crisis tomorrow




i cannot retreive the link at the moment but i did read the $25Bn figure of funds available for insured account holders... the FDIC will need money-from-air if there were a money run on the USA banks from anticipating a +10% "Cyprus-like" Tax on depositers conducted here in the USA


the system could collapse or trigger hyper inflation at the least

I could not agree more with your above post.

Regards, Iwinder

Banks in the US are much the same and will try anything to dodge giving you $2+ thousand in cash. They will hound the meek into accepting a cashiers check and will claim "they don't have" $6k or $8k!

If anything remotely resembling a bank run got going here, you can bet some "emergency measure" would be immediately imposed preventing cash withdrawals.

Getting cash out and stashing it is all well and good for the short term. If the S ever hit the fan with a run on banks, they would crush the dollar and cash would be worthless and goes for most other currencies as well.

I recently took on a tenant with a check cashing business. They are paying more than I was asking because they didn't want to lose the spot. I had some reservations about the business profile and the type of clientele it would bring to the shopping center. They tell me they have doctors and other professionals cashing checks at their locations who are willing to pay the fee and not put it in a bank. I suspect they have other reasons for this too, but I was still surprised.

I also have a gold buying operation in that strip center. That place is packed most days. I sometimes think the people selling their gold jewelry are better off holding on to it and let the bill collectors take due process. By that time the economy will probably have tanked and the collection agencies along with it. Heck I would just rather spend my cash now on what ever than have it disappear overnight. At least I'll have the use of what ever I bought, even for a little while.

If anything remotely resembling a bank run got going here, you can bet some "emergency measure" would be immediately imposed preventing cash withdrawals.

reply to post by sprtpilot

I do believe that is what happened to the wife this morning.

Perhaps not an out right ban but certainly some walls were in place.

Regards,Iwinder

reply to post by Bilk22

Great Post and I thank you for your wisdom and personal experiences you shared here.

Getting cash out and stashing it is all well and good for the short term. If the S ever hit the fan with a run on banks, they would crush the dollar and cash would be worthless and goes for most other currencies as well.

Now what I am seeing is a depression event where they lock up the banks and during the last great depression they did not......I repeat did not re-issue the currency.
So people then that had access to money did very well indeed.
I just read an article on CNN two days ago and I hate CNN but it was about a mother in Cyprus that had 1000 Euros in the bank and only 5 in her purse.

Her main claim to fame in my book was this statement....."Never again will I have any money in the bank"

If you can't pay your taxes they take your home for a debt less than 5k but if you have cash you can avoid this totally wrong situation.

If things don't go downhill from here we can always put our money back into the bank but let me ask you why should we?

Regards, Iwinder

I've gotten 10K in cash out, and it's like pulling teeth.

Worse, the cops can intercept you outside the bank and steal your money. Then you have to put up thousands in bond and hire a lawyer to get it back, if you can.

If I was packing serious cash around, I'd be way more afraid of cops than a thief, I can legally shoot a thief taking my cash, but if a cop snags it, it's just gone.

I should mention that myself and the wife of are the age that we were lectured heavily by our parents that lived through the "Great Depression" and we both paid attention and we both adhere to the rules of what was stressed to us.

We only buy what we really need and we save money like there is no tomorrow.

Seems to have worked for us so far but time will tell.
Proud owners of my deceased mothers Sony tv and watching it via free on an aerial with a rotor.
We have not paid a cent for watching it for the past 20 years.

Yet we still live a good life as in we don't need anything we cannot afford.
Check out my sig at the bottom.

Regards, Iwinder

Originally posted by Bedlam
I've gotten 10K in cash out, and it's like pulling teeth.

Worse, the cops can intercept you outside the bank and steal your money. Then you have to put up thousands in bond and hire a lawyer to get it back, if you can.

If I was packing serious cash around, I'd be way more afraid of cops than a thief, I can legally shoot a thief taking my cash, but if a cop snags it, it's just gone.

Thanks for stating what many here are thinking.
Why is cash a crime now?

Star for you
Regards, Iwinder

I believe that banks should be held to the same standards as casinos are. They must hold as much cash on hand as they have in deposits (or bets as casinos go). This would stop A LOT of the illegal banking that happens.

reply to post by Iwinder


Thank the war on drugs. It spawned asset forfeiture, which seems unconstitutional on the face of it, but which the government LOVES as a source of income.

Of course, if you didn't incentivize cops by giving them part of it, they'd be less likely to act like highwaymen. Human nature being what it is, that's just asking for trouble.

Thank the war on drugs.

That's a meme, but the motive for such control over cash, is taxes.