"The entire U.S. banking system is insolvent."
Posted July 23rd, 2008 by declarationofre...
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"What cannot be paid back will be defaulted on. If you did not know it before, you do now. The entire US banking system is insolvent."
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His remarks about WaMu are entirely correct. About 6 months
ago, WaMu (where I have one of my business accounts) started putting a hold on checks deposited against the account. They had never done that to me and the amounts were relatively small. I since pulled it out and have distributed the funds elsewhere. I also had a business account in Wachovia Bank. Both no longer exist. I've made other arrangements, but using any suspect bank has potential dangers. For that matter, fractional reserve banking, by its very definition, is suspect.
_________________________________________
"An economy built on fiat money is a society on its way to ashes."
Attn: Goldbugs
Aguilar discusses your position in his Devil's Dictionary of Economics. Visit www.axiomaticeconomics.co... and type "goldbugs" into the search engine.
It is not so much that you are wrong, but that you have your priorities backwards.
What's your beef
with goldbugs? Some of the nicest, most prudent people I know are goldbugs (and gun owners).
Let's show some patience.
But take precautions.
As of today, I can still conduct transactions at my bank and so can you.
Under no circumstances should you have holdings greater than $100,000 in any one institution.
And very slowly buy precious metals on their dips.
Time is still on our side. We still have time.
Take precautions, pray, and meditate.
WAHOR!!
I don't think we have much
I don't think we have much time Rhino... 4 to 6 months? when these cascading cross defaults start and there are signs that it has started, its game over!
as for me and my home, we shall worship the LORD
FDIC
It should also be pointed out that in the event of a bank collapse, the FDIC will quickly run out of funds. The IndyMac collapse reduced the available funds in the FDIC by 10%. Can you imagine what will happen if Wachovia, the third largest bank in the country, became in insolvent. The FDIC would instantly become defunct.
I keep a small balance in the bank to conduct day-to-day business, but I fully expect it all to disappear when the crash comes. Therefore, I have a decent reserve of hard fiat currency and a much larger stash of real money (gold and silver). Society today pretty much requires the presence of a bank account for most transactions, but I wouldn't look to the banks to hold your savings long term. While we shouldn't panic, we should also be making moves now to protect ourselves.
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