About That Bank Account of Yours . . . .
Most TAH readers are fans of limited government. Most thus have pretty strong reservations concerning a central government with expansive authority and power.
But we have a few readers who seem to believe in and want a government with unlimited powers. Others may be willing to accept such on an “emergency basis” or for a “limited time”.
Well, here’s some food for thought. Take a look at what’s going on in Cyprus today.
If you’re still a fan of government with unlimited power after reading that – well, it’s still a free country. You’re entitled to whatever opinion you want, no matter how foolish.
However, Cyprus apparently isn’t so free. Be glad you live here and not there.
“Cypress” is the tree, “Cyprus” is the island.
Good catch, Poohbah. Fixed now.
The EU, no matter what they think, still not the US of A….
Certain people in our government have been talking about this since Bath House Barry came into office.
I have a bro-in-law who made an investment a few years ago. It was, in retrospect, very wise. He bought a safe, a big safe that is accessible only through a floor in his home. That’s his bank. Precious metal and cash.
The laws and structures are in place for the same thing to happen here. Don’t put anything in a bank you can’t afford to lose.
@3–then why are there liberal think tanks with connections inside the government who think it’d be just fucking dandy to either tax the living shit out of our 401(k)s or confiscate them outright?
http://news.investors.com/ibd-editorials/112812-634984-401k-on-the-table-for-fiscal-cliff.htm?p=full
And here I am complaining about $3.00 ATM charges
There is another article on retirement: http://www.thedailybeast.com/articles/2013/03/15/sorry-folks-one-way-or-the-other-you-ll-never-be-able-to-count-on-retirement.html
The world has seen retirement accounts stolen before – it makes no difference if it’s a government or a Madoff.
Is it unreasonable to restructure our military retirement system so that:
Social Security is the primary retirement fund? Unless a retiree/vet is 100% unemployable, the retiree can work until s/he’s physically incapable, and then go on SS.
Have a menu of retirement bonuses? Instead of whatever $$, the retiree gets to pick from options such as land free land and house and car, free tuition & room & board for children (college, or vo-tech), or taxes lowered to 10% for life. Offer to pay for Corpsmen/Medics to go to medical school to increase the number of MD, PA, and Nurses of all types.
One idea that is taking off is the concept of micro-villages: places that are modern versions of old city streets – stores, restaurants and services on the bottom floor, with apartments (built to handle all medical situations) above them. Churchs, synagogues, mosques and movie theaters a short stroll away. Close to VAMC (perhaps a clinic in the village). VFW/DAV/VVA/AmVets on the same street. Build and reserve these villages for military retirees and their surviving spouses.
These are material things, even for the Social Security. For folks who believe their bank accounts are safe – they are not, never have been regardless of the lawyer-speak, and leave you open to being preyed upon.
@7 Sparky- My 401(k) has evaporated a couple of times. While I ‘lost’ my money, some fund managers have become billionaires. So far the communists have bowed to Wall Street and the Federal Reserve.
And the European Union moves closer to collapse. Brits better hurry up and vote out of the EU while they still can.
Oy, the bank account thingy! Remember when the report was that Bo da prez wanted everyone using cards and an end to cash? I don’t trust that any more than I trust banks. I use my debit card to buy food and go to McD’s. NEVER use it for gas. You can’t track someone’s cash purchases, so far. And there’s no telling just how much cash people actually have stored away. I’m hanging onto one of the gold nuggets my grandfather gave my mother from his Klondike adventure. He pulled out enough to send himself through law school. My sister has another one, and my cousin has a third.
Barter was a big deal during the 1970s. It might become that again. I see traces of it springing up here and there. Self-sufficiency is what got people through the Depression, and it will be that way again, no matter what that bubble-brained bunch in WDC try to do.
And remember: if you grow your stuff in your garden, it is ALWAYS for your own personal use, not for sale at farmer’s markets. Right? 😉
The US government has been ‘borrowing’ from my TSP account for the past couple of years. IMO the US is only about two steps away from doing what Cyprus is doing for their bailout.
@12: The problem is that cities are now getting into the game of telling you where, if at all, you can have a garden on your property.
Hate to break it to you, but the FED has taken a lot more than 10% out of your bank account in the last few years. 10 years ago gold was around $350/oz and the Euro was worth $0.85. Now gold is $1600 +/- and Euro is $135 +/-. Ditto every other currency, oil, food, etc…
FED is much smoother than the EU.
@14 – Good reason to not live in cities any more. I have enough room to do more than just patio gardening, but I’d like to have a larger space.
@7 Because lazy pr1cks gotta steal apparently….and since they can’t stop slavishly spending what they don’t have they intend to take from those who do have…I guess I have another reason to keep sending money to the AARP to keep them fighting for the things we were supposed to have before we were robbed. By we, I mean all of us.
VOV–if you think the AARP gives a rat’s ass about you other than a sucker to whom they can sell insurance, I’ve got a pretty little bridge I’d like to sell you.
Concur, NHSparky. From what I’ve seen the only thing AARP really gives a damn about is the almighty dollar.
the Russians like to store money there. I think the timing of this is interesting: http://rt.com/news/fleet-mediterranean-russia-ships-390/
VOV #17,
AARP is on Obaomao’s big gubbment socialist team. AARP is FOR gun control and ObaomaoCare.
Try AMAC (Assn of Mature American Citizens) instead.
forgot the /sarc button…sorry to be out of focus today…aarp can suck it.
@21 thanks did not know about AMAC…I am not much of a joiner, but the NRA gets money from me (thought it prudent to help fund somebody doing something useful), as does US Soccer (membership required for assignment as referees), now perhaps AMAC will as well….
Money. Smarter than the average gubmint workah. Yep. Those of you who are left-minded, beware! What goes on over there isn’t far from here…evah.
Nothing like purposely starting a run on banks, eh? What idiots. It’s especially smarmy to have the banks block off the money before going public.
We’re not in a financial position to stash away cash and gold, unfortunately. Any extra money right now is going to beefing up our firearm supply before all the CO gun control laws go into affect on July 1st. I have no hope that Hickenlooper will veto them.
In an emergency, I could yank out my crowns and melt them down.
@25 “It’s especially smarmy to have the banks block off the money before going public.”
It’s not about playing nice or fair, it’s about securing the money so the government can use it. When was the last time a burglar dropped a note to a homeowner that he was going to break in? Same difference.
This just appeared on my front page: Cyprus banks have closed after a run on ATMs that emptied them of money over the EU plan to seize ten percent of the money in deposit accounts.
http://worldnews.nbcnews.com/_news/2013/03/18/17355675-cyprus-banks-ordered-closed-to-halt-panic-withdrawals?lite
The first article (posted at top of page) was that it was a tax. This indicates that it is just plain old theft.
You are all short sighted…the Government isn’t doing this the Banks are. The Government of Cypress and all the banks are bankrupt because they invested in mortgage backed equities. Backed by US mortgages that all went up in smoke. All that money disappeared. So to get a loan to keep the banks and government going since unemployment is 25 – 35% they are taking loans from the EU Central Bank. The conditions (there are always conditions) is that they have to implement more austerity and raise taxes to balance the budget and pay back the loans. They are desperate and they are taking the loans!!! They are choosing to do this..banks and all! The major problem is that its a death spiral. Since they are locked into the Euro and at the mercy of the EU central bank they are forced into more austerity that creates more unemployment that lowers tax revenues that creates more austerity since the last round only increased the debt to GDP. It is a death spiral that has been written about for 80 years and is totally avoidable just like here in the states. Spend in the recession and save during the boom!!!
They just need to leave the Euro and have their own money that they can peg to a lower monetary value that will devalue their labor costs and increase tourism and business opportunities. If they can get enough money to last until next week. The only reason Greece or Cyprus hasn’t done it is due to pride!!! The EU does’t want them to because of pride!!! The EU was warned back in the 90’s that this could happen and they should have policies in place but they ignored it. This is why Great Britain has kept their own currency…to have control over it.
@28: Cypress – tree (its wood makes GREAT boats)
Cyprus – Island (Already stated in Comment #1 by Lord Poobah)
*DUUUUUHHHHHH!!!!
@28: and overspending by the Cypriot government – AKA living beyond their means – had nothing to do with it.
Gee, thanks for clearing that up for us. How could we have missed all of that? I’m glad you’ve opened our eyes to the truth here. We were so wrong.
In case you’re as foolish as your rambling screed above leads me to belive: yes, I’m being facetious. The plain fact is that the Cypriot government, like most other governments in the EU, has been living well beyond their means for decades. They’re now broke, and the bill is coming due.
We may well see something similar here if we don’t get our act together. But here, blatant confiscation such as this can’t be imposed by edict and would require a law authorizing it. At least in theory, anyway.
#28 OotDL
Not short-sighted. Students of history. Governments permitting banks to rob their customers, or robbing the banks themselves is a very old game. This game is usually played by governments that have the power of unaccountability. Like our own government.
@29 Call it whatever, blame it on whoever. The END RESULT is that the people with money in accounts in those banks woke up to find 10% of their money GONE. They are also being prevented from taking out the rest of their money.
Short-sighted? Seriously? You’re the one who’s short-sighted, if you can’t see the parallels between the economic trouble Cyprus is suffering from and what is happening here.
This was just a matter of time. And it will happen in the other broken contries too, if this gets put through, there is a strong mentality at home that wealthy(now middle class)support the bottom class. Just think about how many people aren’t working in these countries, incl. Denmark, but still get a fat check every month, and choose not to work, really hope the US is not going that way, but it very well might.
Here’s how the Russians (Putin) feel), from the Wall Street Journal:
http://online.wsj.com/article/SB10001424127887324323904578368062550601302.html?mod=WSJ_hpp_LEFTTopStories
Here’s another angle for the USA in regard to unemployment here:
http://blogs.wsj.com/economics/2013/03/18/jobless-rates-worst-on-the-coasts/
Here’s and update on Cyprus’s debate on the bank deposit tax: http://www.reuters.com/article/2013/03/18/eurozone-cyprus-idUSL6N0CA7HS20130318
There’s plenty more. If this is tried here, it’s entirely possible a LOT of people, especially those who are the least able to afford this tax/seizure/theft/whatever, will do a whole lot more than just try to withdraw their money from their accounts.
@35 Concerning your link to the Russian response, we have a saying here.
DON’T POKE THE BEAR!
@36 – Da! Putin still has his teeth, and they are long.
Eurocrats are idiots. The Russians will get there money back one way or another or Europe will freeze to death next winter.