US banks shaken by biggest fund withdrawals since 9/11
Submitted by celeste on Sun, 01/27/2013 - 08:11US Federal Reserve is reporting a major deposit withdrawal from the nation’s bank accounts. The financial system has not seen such a massive fund outflow since 9/11 attacks.
The first week of January 2013 has seen $114 billion withdrawn from 25 of the US’ biggest banks, pushing deposits down to $5.37 trillion, according to the US Fed. Financial analysts suggest it could be down to the Transaction Account Guarantee insurance program coming to an end on December 31 last year and clients moving their money that is no longer insured by the government.
The program was introduced in the wake of the 2008 crisis in order to support the banking system. It provided insurance for around $1.5 trillion in non-interest-bearing accounts with a limit of $250,000. It was aimed at medium and small banks as the creators of the program believed bigger banks would cope with the crisis themselves.
So the current “fast pace” of withdrawal comes as a surprise to financial analysts because the deposits are slipping away from those banks which supposedly were safe. Experts expected savers in small and medium banks would turn to bigger players come December 31.
Continue: http://rt.com/business/news/us-major-deposit-withdrawal-740/
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Everybody ask for cash
at the same time, and watch them them panic. The mother of all ponzi schemes is coming to an end soon.
"$114 billion withdrawn "
I wonder how much paper money is in private banks if 5% reserve of $5.37 trillion is less than $300B real cash paper rather than electronic digits.
It would be funny if 6% of US depositors claim paper cash withdrawal. The gov printing press would run out of ink and paper. Then USA military would nationalize all banks and introduce electronic money only. Let's see.
if you look at what was done
it was an attempt to target the small banks so they lose their business and shut down so only the biggest banks would survive and have no competition left and it backfired on them
Thanks Celeste
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STAND WITH RAND 2016
.
It was all over CCTV (chinese american tv news station) that our fed has released QE4 last week. They had the best chinese economists be interviewed and they were saying what this would do and a few sounded like dr. paul.
but
Not a peep on american msm.
"OH NO! He has a SON?" Neoconservatives and Liberals EVERYWHERE!
Rand Paul 2016
Something funny going on with silver, too.
http://seekingalpha.com/article/1130521-is-silvercorp-in-the...
With the new fees on credit cards kicking in last weekend, I expect a flight to cash. You know how much cash there is? This could get ugly very quickly...
Ron Paul supports a new 9-11 investigation.
http://www.youtube.com/watch?v=fH9nOWnp5G0
Seriously
The planets are lining up for something big.
"Its easier to fool people than to convince them that they have been fooled."
Mark Twain