Monday, July 14, 2008

Banking Bad - Cash Good

I stopped using the corporate banking system of this country about two years ago. I decided then that the banking industry was simply another method of control for the elite, slowing stripping money from my account and giving no benefits. My paychecks are cashed at a local check cashing company at a 1% charge, which is lower than my monthly fees were when I banked at Wells Fargo. The very few bills I have are paid with a reloadable debit card which holds just enough to pay the bills. Everything else is kept in cash, originally I had planned to convert most of the cash to precious metals but they are to high now so I just keep cash.

When the government decides to declare Marshal Law and shuts down the is coming soon...all they have to do is shut down the VISA network. If you do not have cash you are stranded and starving at the mercy of the government and relief agencies. At least for now people will always take cash especially if their money is held up in some bank.

I feel that we are moving quickly to massive closure of banks. Here are the two main reasons.

First, the FDIC has increased its staff greatly in the past several months. This includes bring in retired employees that have experience in bank closures.

Second, the governments talking heads have been endlessly promoting the stability of the U.S banking system today. Stressing that you should leave you money in FDIC insured accounts because they are safe. Remember Thursday and Friday of last week, the talking heads were stressing the stability of Fannie Mae and Freddie Mac...look where that went.

The Feds intervention in Fannie and Freddie has nothing to do with creating a sound financial environment in which commerce can thrive. Saudi Arabia and China hold over 50% of the stock in the two top tier financial institutions. My guess is that there were threats made to destroy the dollar. So, we the public are now stuck with the multi trillion dollar bailout of these corrupt financial institutions. We will be paying Saudi Arabia and China our tax dollars for the next 100 years.

How many American banks have foreign investors bought controlling interest in? What happens if they simply decide to close the bank and recoup their money? Yes, you are insured with the FDIC but that assumes the government will pay out. What if the Fed decides it is in the best interest of the country to pay the dept directly to the creditors and not the account holders. The Fed might put the money in an escrow account that collectors can directly withdraw from, having first bite at the apple, rather than giving the money to the account holder. Remember our government puts corporate interests first. It would only take a simple act of congress hidden covertly in a war funding bill to make this a law.



Survivalist News said...

Remember, the banks are there to make money...they exist for no other reason.

Michael Hawkins said...

I wouldn't pass up on buying precious metals just because they're high ...
They won't be coming down anytime soon, and the dollar won't be going up either.
I just wouldn't reccomend to keep your savings liquid in this day and age

Staying Alive said...

The bankers did it and we will pay for it. What's a few trillion dollars when the poor people will pick up the tab? That will leave all those wealthy stockholders nice and secure in their fortunes. Unless, of course, the whole system goes to hell! Then it will be very painful but it will leave us with a clean slate.


Rook said...

Bear- I know one thing that, when I go to a paper check and do away with the direct deposit, the bank will charge me $5.00 just to cash it. I will have to find a check place around me and make a safe in the house.

Working on the moat...


riverwalker said...

Cash is going to be very popular real soon.