Warning: Banks Are Seriously Discussing Negative Interest Rates For Normal People's Savings

A nice insidious way to justify doing away with cash. Long article, a few highlights below. But they are openly discussing it publicly, which means they already have a plan.

www.businessinsider.com...

The problem then becomes whether consumers would actually spend their withdrawn cash or hoard it physically. Hoarding would have several weird distorting effects on society, including a new incentive for burglars to loot houses looking for piles of money under mattresses. So further harsh policies that would restrict consumer access to cash might need to be imposed.

If central banks were faced by deposit withdrawals, a less radical alternative could be to impose controls on cash withdrawals. Given the potential social and political problems arising from such a policy, thresholds could be set sufficiently high to encompass only very high net worth individuals. Some European nations have already announced restrictions on large cash purchases and monitoring of cash withdrawals to combat illegal economic activity.

'Tax currency holding ... or abolish it altogether.'

That sounds extreme. But Haldane is not the only central banker wondering whether it might be the next step. In a speech in May, titled "How binding is the zero lower bound?," Benoît Cœuré of the ECB said banks may either have to tax physical cash or ban it:

... perhaps the most prominent proposal is to either to tax currency holding à la Gesell [an economist who invented the idea of negative interest] or abolish it altogether, and hence to remove the arbitrage between bonds and cash. One can indeed imagine several advantages associated with such a policy, on top of pushing the lower bound further into negative territory. For example, tax on cash can act like a tax on illegal activities and would foster greater transparency. In addition, we could economise on the costs of storage and use of currency, which are not insignificant.

I'm all for it. Long live the local credit unions.

a reply to: infolurker

Or we could eliminate the central banks and all the imaginary money they created along with the BS debt.

These people are criminally insane. Or insane criminals if you like.

Private Central Banks are the problem. Eliminating them is the solution.

a reply to: infolurker

Yeah, this has been a topic for awhile on conspiracy-economic sites and prepper sites.

Cash, PMs, Food, Bullets, Bandages, are all discussed routinely but also important are:

Home repairs - make sure your home is in good repair. Even if it's not in a location you prefer, and bug-in planners especially.
Body repairs - got an old crown? Funny mole? Been awhile since you had a teeth cleaning? Eyeglasses? Update yourself physically and mentally.

Inflation essentially does this to everyone anyways, may as well make it legit and just steal our money. This is so absurd Huxley and Orwell could not have even envisioned.

... perhaps the most prominent proposal is to either to tax currency holding à la Gesell [an economist who invented the idea of negative interest] or abolish it altogether, and hence to remove the arbitrage between bonds and cash. One can indeed imagine several advantages associated with such a policy, on top of pushing the lower bound further into negative territory. For example, tax on cash can act like a tax on illegal activities and would foster greater transparency. In addition, we could economise on the costs of storage and use of currency, which are not insignificant.

A tax on "illegal activities"???

Do these bone-heads even realize what their saying?

By taxing ANYONE with a cash, and penalizing them with this tax, it is supposed to STOP illegal activities HOW?

It's the most asinine thing I've heard yet.

Is like America taxing non-gun owners for mass shooters. "We're going to tax anyone who doesn't own a gun to prevent mass shooter situations".

a reply to: infolurker

Cashless society along with the micro chipped or barcoded human will be the installation of the Global totalitarian distopian nightmare that NWO conspiracy theorists have prophesied about for decades.

Not here in the land of Oz, the banks all just raised them a week ago without our Reserve Banks directions...supposedly.

a reply to: infolurker

I'm expecting the Stock Market to crash on Nov 19th (prophecy). If banks decided to unanimously crack down, that would be their opportune moment.

People still get interest?

Seems they're running out of ways to steal our money and have to go even more creative. I smell desperation. But they'll probably get away with this too.

Negative interest rates are a great way for governments and those with more debt than makes sense to climb their way out of these black holes and can kicking events. But as with all forces there is also their evil aspects, as for the current example where the blood sucking bank profits just get even more bloated.

Well, time to start firing up thebold Gold reserve.

If banks started taking peoples savings there would be a run on banks very quickly.

Turn your excess cash into goods, gold and silver. Incoming dystopian future in 3..2...1....

The great crashes from the early 1900's were caused by huge bank runs from the public. Every single time.

If they impose a negative interest rate, then they apparently want everyone to pull out all their cash reserves and cause a panic. That would lead to a huge market crash and the ability to implement more of their nefarious plans. So this may actually be a set up. The article is not very specific but did talk about EU banks and the future of what they decide needs to work. I really despise how we all accepted the nature of central banks as the norm. It is pathetically ignorant.

If this is true, then we all have no doubt about what is coming.

You folks better be ready.

a reply to: infolurker

I for one welcome anything that will hasten the demise of the banking system. The more that things occur in the public eye, the more upset the public will become.

Add in negative interest rates, and that would be the final nail in the coffin. People left and right would be emptying accounts that are worth thousands and then not spending it. Places would open up that would be specifically for storing large sums of money without being like the bank.

In short, it would be what we needed to point at and say "See? Its only a conspiracy theory until it's proven correct. Then it's a nightmare"

Already, a citizen can be charger, arrested, convicted and punished all without due process. How can they get away with that?
By branding that citizen an extremist or terrorist.
How would they do so?
Any way they so choose. They can pick things you said or did out of context a decade ago and use it as evidence. They can analyze and model predictions based off your spending habits, your browser history, and all sorts of myriad information that means nothing to the average citizen.
At this point, even criticizing the government in a public venue is enough to get you arrested. You won't be charged, but the message is clear.

"We are in charge here. And there is nothing you can do about it"

Wrong.
How can banks charge any interest if there's no money anywhere?
What if every single person who held cash in a bank suddenly withdrew it?

Their carefully crafted and sculpted plan would fall down around them. It would trigger the collapse and life would look like the Great Depression. Fancy electronic gadgets would become rare, Internet and other commodities would be so expensive as to be unobtainable, and money would be almost worthless.
That is the time for the revolution to happen. That is when it will happen.
Enough people will have realized they have nothing to lose by destroying everything.

Banks make money off of the money we give them to store, that is how a banking system works. It only makes sense that they pay an interest rate to the customer as a payment in return. Forcing negative interest rates is insanely unethical. So unethical, in fact, that people would simply take their money out of the bank - but the banks are going to deal with this, too by trying to get rid of cash. That would force people to spend the money with their debit cards, but they could still hoard physical objects like houses for example.

I double dog dare these fools to implement that. Watch how fast some states will retailate.

originally posted by: thisguy27
a reply to: infolurker

Places would open up that would be specifically for storing large sums of money without being like the bank.

So....places that charge a fee to hold money? Want to bet that the fee varies by amount held? You know, somewhat like a negative interest rate?

Nobody is going to provide a secure place to hold money for free.

What is it with people here imagining things like this? "The sky is falling the sky is falling, but if we just go a little bit over here it won't hit us...". I wish people would think through what they're saying...

Credit unions will get really popular.

a reply to: infolurker

So this is simply a blatant plan to steal from people? If you use a bank, they will steal from your account. If you don't use a bank and keep your cash at home, we'll be forced to make that illegal. Point being, hand it over. Theft. They're legalizing theft. People will figure this out quickly and react violently. One would hope anyway.