What the Bank Manager told me today

greenspun.com : LUSENET : TimeBomb 2000 (Y2000) : One Thread

I had a long talk with my bank manager today. He was very open and y2k aware. He told me that the Fed has selected a 'hub' bank to stash the cash in preparation for bank runs. The hub bank will distribute to banks as the need arises.

He also told me that banks will be open on New Years Day. I couldn't believe it since they are never open on New Year's day. I asked him why they are going to be open. He said to calm people's fears.

I told him if banks get to new year's day without bank runs, I doubted whether there would be one on new year's day. He nodded in agreement.

He admitted that less than 3% of depositors money is in the bank. He shudders when he hears the advice to take out a month of cash. He said there won't be enough. He looked at me and said, "Banking is all based on confidence you know." I said, yes, I know.

Nabi, any thoughts?

-- BB (peace2u@bellatlantic.net), September 17, 1999

Answers

My perception,

Greenscum, the spinmeisters, are doing a superb job. The herd are placated, reassured. 9.9.999 was a non-event, ergo y2k will be too. By hook or by crook Greenscum is under orders to preserve the house of cards up to rollover -

then, all bets are off.

-- Andy (2000EOD@prodigy.net), September 17, 1999.


I wonder if your banker realized that he admitted to you that banking is a "confidence game" ;)

-- helium (heliumavid@yahoo.com), September 17, 1999.

Andy.......what's your point here.

We're all aware that only a small percentage of cash on hand is available.....that's the system we have that has worked for decades.

Are you saying that you would LIKE the herds to panic and cause a run on the banks? Do you think that this would be a good thing? This new and completely different system of doing things that you seem to support.....what would it look like and how do we get there from here (realistically) without causing more problems than we solve?

-- Craig (craig@ccinet.ab.ca), September 17, 1999.


Consider that for a mere 1.5 to 2.25 % you are risking your money in having it in a bank, even in a CD, which is not insured at all. The Federal Government will not lend money at less than 5.5% at this time to the biggest and most worthy of banks. The % interest is in fact a risk premium. You are willing to risk your economic and financial activities based on a third or fourth tiered bank's ability to keep it all together. You might as well simply lend it to them for nothing at all.

After this (of there is anything left in the aftermath) I will never deal with a bank again except in the most minimal way. They don't deserve the trust and I don't wish to take the risk.

Its a sad world out there. Many people will be ruined. I am sorry for them, truly sorry. Possibly we will learn something from all of this.

-- ..- (dit@dot.dash), September 17, 1999.


I don't know 'bout Andy, but I would like to see bank runs. How else to perhaps wake up the sheeple about the fraudulent money/credit/banking system we are subject to under a privately owned central bank -- The U.S. "Federal" Reserve?

Conservative and libertarian preaching sure hasn't accomplished anything.

Cash -- withdraw early, withdraw often. Bag it and bury it.

-- A (A@AisA.com), September 17, 1999.



Also, Craig -- you don't see a problem, so you obfuscate by whining: "I (sob, sniff) can't see how we're gonna get from here to there, so let's just do nothing." If you don't know how to get from here to there, that is just a reflection of YOUR ignorance.

In case you haven't noticed, there IS a problem, and if you were not an ignoramus or a government lapdog, you'd know there are solutions. (Of course, what keeps the solutions from being adopted are the millions of cyphers, or apologists. Which are you?)

-- A (A@AisA.com), September 17, 1999.


A@a........you are just rude and obnoxious........

I DO SEE A PROBLEM......you're right in saying that I don't have a solution....that's why I asked you what your solution was you bonehead.

Tell us what your solution is smartass. It's very easy to whine about the problem.....now please Moses, lead us to greener pastures.....tell us how to do it.........

Your solution is to cause a panic resulting in bank runs.....and then what????? Please share what part II of your obviously superior and clever plan is to restore us to the perfect system we are currently lacking.

I don't like the flaws in our system ANY MORE than you do. But unless the cure is less destructive than the disease it is not much good.

One last time......please share your vision for the people.

-- Craig (craig@ccinet.ab.ca), September 17, 1999.


Hi BB,

From what I've heard, every bank in the country is supposted to have one of the "hub" banks located within 50 miles of them. At last count, there were going to be about 112 of these banks designated by the Fed.

Some of the larger banks plan on being open on 1/1/00, but most of the smaller banks I've talked to aren't planning to open then. Seems to depend on the size of the community and what the local competition is doing.

We are being required to work the rollover weekend; our job will be to call banks in our area (on cell phones if the phone companies have problems:-) and make sure that they transitioned into 2000 OK.

Another PR stunt to show everyone that "we're doing all we possibly can!" Oh well, in our society perception has become reality, so maybe we're on the right track after all...

-- Nabi (nabi7@yahoo.com), September 17, 1999.


Hey, what's all the fuss!!

The banks are agreeing with you.......they recognize as well as you do that there is a flaw in the fractional reserve banking system.......and they are PRUDENTLY seeking to ensure that this flaw does not cause chaos.........should they be doing anything differently in your opinion?

Which leads us back to my outstanding question that I have asked over and over again........WHAT SYSTEM WILL WORK BETTER AND HOW DO WE GET THERE FROM HERE?????????/

-- Craig (craig@ccinet.ab.ca), September 17, 1999.


dit dot dash..re: your comment of "perhaps we will learn something from all this".

Yes, of course we will learn. The problem is in the REMEMBERING. You know as well as I do that lessons learned today will be forgotten by most people tomorrow.

Human nature? Perhaps we humans excrete a hormone to forget the bad stuff and the problems just like women secrete a hormone to forget labor pain.

-- OR (orwelliator@biosys.net), September 17, 1999.



Lemme see if i have this straight. The dollar was under an unholy assault by the Yen perpetuated by capital flight away from our bubble, the market dipped heavily yesterday before righting itself, today was triple witch, and all of a sudden Greenscum comes on TV and McDonough (remember Mr. "the Yen doesn't matter to the US economy"?) strikes a deal with Yamaguchi and the Japs to stave off a currency crisis. Meantime the Greenscum gets on TV and tells the world that the US corporate world is unbelievably well prepared for this problem.

Fleckenstein had a good article on this at his new site www.Siliconinvestor.com..... For educational and research purposes only:

The powers that be decided that last night would be a good time to intervene on behalf of the dollar vs. the yen. There was lots of talk about the meeting between the BOJ's Yamaguchi and the Fed's McDonough. So we had a big rally in the yen vs. the dollar overnight, and that helped the bonds.

Fed leak lifts markets... Then there was word from the Fed's favorite source of leaks, John Berry of the Washington Post. Berry wrote an article that said "with inflation at its lowest in 33 years and world financial markets uneasy about possible year-end computer glitches, Federal Reserve policy makers appear likely to leave interest rates unchanged when they meet early next month. Since last month's meeting, a number of Fed officials have indicated both publicly and privately that they are comfortable in such a neutral position."

So there you have it. The markets seized on the fact that we might not get another rate hike. I'm not going to even comment on the ridiculous nonsense of inflation being the lowest in 33 years, because that is pure, unadulterated crap.

-------------------------------------------------------------------

Although Fleck doesn't yet get it about Y2K, he does a good job of summarizing the games that are afoot here. This stuff is designed to do only one thing, keep the record playing until it's to late for J.Q.Public.com to get his money out of Bubble.com. Folks even if Y2K weren't a concern, we'd be teetering like the tower of Pizza at this point. With Y2K thrown in to the mix and all the lies and bullshit comming out of washington and the fed, you'd have to be blind not to see the crisis comming. Look out people, you're gonna get whipsawed by this market, and hard.

-- gordon (g_gecko_69@hotmail.com), September 17, 1999.


* * * 19990917 Friday

Attention All Bankster "Boneheads":

What the banksters don't want the sheople to know about their "confidence game" is that between 1832(!) and 1913(?) there WERE NO (Congressionally sanctioned) BANKS in these United States! Andrew Jackson VETOED re-chartering The Second Bank of The United States in 1832. (Part of the reason he came so close to impeachment!)

Local banksters issued their own "script!" However, locals didn't TRUST this arrangement. Ergo, most everything available for "sale"-- goods and services--were bartered!

The banksters don't want the sheople to know that their "pitiful" lives and economic activities can and would transpire just fine if their thugs and snoops weren't around.

Think again! Q.: Why is the blight of societies and equitable economic systems, banksters, a necessity? A.: Because _THEY_ say so. That's why!

Anyone that can't "see" that, is in a state of denigrating, nihilistic denial! Well trained by the corporate-state propaganda machine. BOHICA!

Regards, Bob Mangus

* * *

-- Robert Mangus (rmangus1@yahoo.com), September 17, 1999.


"even in a CD, which is not insured at all"

What? Can someone else comment on this? They sure better be! Says right here, on the nice gold cover, "Member FDIC".

I heard the same rumor about "money market" accounts, and it is FALSE!

Some bank services, like mutual funds, are not insured. But A CD isn't one of them. Better not be!!!

Anyone else know anything about this? <:)=

-- Sysman (y2kboard@yahoo.com), September 17, 1999.


Define "insured" ? By 5.9 Trillion in debt?

-- Jim (waiting@aol.com), September 17, 1999.

Sysman: Your CDs are insured by the FDIC.

-- bardou (bardou@baloney.com), September 17, 1999.


Thanks bardou.

And thanks for the heart attack, -- ..- !!!

<:)=

-- Sysman (y2kboard@yahoo.com), September 17, 1999.


Craig,the banking system was setup to crash from the begining...its not about controlling your money,its about controlling you...well actually its about owning you.

-- Eric michael (bizarr2@hotmail.com), September 17, 1999.

Craig - I would hate to see people lose their money in banks that may go belly-up.

-- Andy (2000EOD@prodigy.net), September 17, 1999.

Craig

WHAT SYSTEM WILL WORK BETTER AND HOW DO WE GET THERE FROM HERE?????????/

you will have a smart card linked to your sosec and id no. and retina scan and dna profile and passport within two years...

if you do not submit to what is necessary you will have to operate outside of "the system"

you will probably have lost all your money in the meantime... in the gov.org orchestrated crash (hey, who do you think is responsible for the 5.9 trillion debt???)...

are you happy with what is planned for you???

wake up, asshole (and I mean that in a kind, loving way...)

-- Andy (2000EOD@prodigy.net), September 17, 1999.


Concerning whether or not your account "is" insured: It depends on what the definition of "is" is. Spin, perception, smoke, mirrors, lies and redefining the English language to keep the slaves in line is at work here.

Will we learn anything from all this? No. Will THEY? Yes!!! They will point out that: "See(!!!), you dumb unwashed masses can't be trusted with cash. Look what you do. YOU panicky sheople caused the banks to crash. THEREFORE, we are going to set up a cashless system and you won't be able to pull this crap anymore and then you'll be our slaves with even heavier chains."

sdb

-- S. David Bays (SDBAYS@prodigy.net), September 17, 1999.


The answer as to what system would work better is FULL RESERVE BANKING. While we are at it, eliminate the legality of any government units in the U.S. issuing bonds, and massively restrict the freedom of gov't units to assume liabilities. Above all, have currency either be coins of precious metal of intrinsic value approximating their face value, or at least have it be notes representing weights of .999 precious metals (gold/silver/platinum) at permanent 100% convertibility. Throwing in a constitutional amendment that forbids transfer of money to any individual or other gov't unit (includes foreign for both) excepting only in exchange at market value for rendered goods or services wouldn't hurt, either. Got it? www.y2ksafeminnesota.com

-- Minnesotasmith (y2ksafeminnesota@hotmail.com), September 17, 1999.

This is just my view, and I'm no expert in this area. I think that there is no way to protect economic assets from a complete crash of the economy, if you are still part of the community. And what good are economic assets if you're not part of the community? They're just there to help you obtain the benefits of others' labor and skills and to share your own, according to the value the community accords that labor and skills. Among other reasons, I think we are wealthy as a nation because we're all working together, and maybe also because we have a great exchange rate with some other countries, so that they work as our servants, in effect.

When an economy crashes, it is like a heart fibrillating instead of a heart beating normally, with each cell working with the others in a synchronized fashion. How could someone hide from that? It has happened to others, and it could happen to us. I also think that economists understand the economy the way weathermen understand the weather. In other words, though they know what it means when the jetstream does a certain thing, they don't know why the jetstream does its thing, or how to predict it. And the economy is even more complex, because it is affected by choices made millions of people in an undetermined way (as opposed to air molecules bumping into each other).

"The coward dies a thousand deaths, the brave man dies but once," so I relegate a complete economic crash to the category with all of the other possibilities for disaster that are possible but not certain. I prepare for what can be prepared for, without being unable/unwilling to live with the consequences if nothing happens. And I have obligations that are important if nothing happens during Y2K or my lifetime.

As far as the bank problem: maybe this is naiive, but I think they should just tell depositors the truth about the product they're buying. Maybe they should try teaching about how our banking system works in highschool so its not such a shock, too. They shouldn't tell people something untrue, like "You can withdraw your money anytime you want," they should just tell them honestly "You can withdraw your money anytime you want, unless everyone else is doing the same thing, and then these are the rules that will apply..."

I think our banking system is very efficient, allows money to be used constantly, and it allows complex transactions that benefit many people and fosters trade/the division of labor. But I think they should tell the truth. If people don't want to buy their product, when they know what it is, then they shouldn't have to, and we should live with the results. I personally think that people would be fine with it, once they got used to the idea.

People don't want to be lied to, and it scares them when they suddenly discover or suspect they've been misled. They might even panic, and that's when really strange things happen!

-- S. Kohl (kohl@hcpd.com), September 17, 1999.


Craig,

"Are you saying that you would LIKE the herds to panic and cause a run on the banks? Do you think that this would be a good thing?"

Absolutely, I agree with Andy and A on this one. If you were perceptive enough to see the approach of the New World Order, you might agree. Their hands on your money = their hands on your life.

I shop at a grocery store where you are penalized (higher prices) if you do not use an electronic card with your name, address, and phone number on it. Of course I use a fake name, but many naive people play the game unaware of what is being done to them. Pretty soon they will require proof of identification to get these cards.

They are collecting data about how much you spend and on what items, and next thing you know they will be telling you: "Oh I see you forgot to get your usual prescription for Prozac this week Mr. Smith, can we get that for you?" Or they'll sell this data to health insurance companies who will say: "We're going to need to raise the cost of your coverage because you regularly consume alcohol".

The banks are playing the same game, though most people aren't aware of it. New legislation is allowing them to be ever more intrusive into what is happening with your bank account, and from this they will develop a pattern for your lifestyle, monitor your tax payments to make sure they match your income, etc. When they manage to eliminate hard currency and make everything completely electronic we're doomed, unless of course you can survive "outside the system" as Andy suggests, which will not be easy.

Crashing the banking system may be our last chance to stop the progression of the NWO. I think this NWO banking system is long overdue for a test of it's true strength. Hell, we get tested every day when we go to work. Wear your hair like this, this kind of shirt and tie, pass your random drug tests, etc. and if you don't you will be discarded like worthless trash. Well, I say it's time to test the integrity of this "fractional" banking system, because when people want their hard earned money they don't want a "fraction" of it, they want all of it.

What the hell do you need banks for anyway? They give you 2% interest on money that you could be earning 10% on (like they do) in other investments. It's not the end of the world, they are just using it as a way to control you. They tell you your money isn't safe unless it's in their greedy hands ...well that's what shotguns are for. It sure doesn't look like it is very safe with them right now, judging by what the FDIC thinks of using your deposits slips as a claim to your money.

-- @ (@@@.@), September 17, 1999.


S. Kohl,

good post, but...

I think our banking system is very efficient, allows money to be used constantly, and it allows complex transactions that benefit many people and fosters trade/the division of labor.

Yep, so efficient they have run up a 6 trillion dollar debt...

Who's gonna pay? You and me of course...

Any idea how rich these banking families are??? Oh, probably 6 trillion dollars...

Get real Craig.

-- Andy (2000EOD@prodigy.net), September 17, 1999.


I hear that the actual debt is closer to 12-14 trillion. The 6 trillion is merely the on books debt. If you add in all the other off books goodies, it goes waaaaay up. More than can likely ever be paid back.

-- Bill (billclo@msgbox.com), September 18, 1999.

Bill,

isn't there a web site which shows the debt incraesing in realtime...

and you are right... it will never be paid back...

hence the default...

-- Andy (2000EOD@prodigy.net), September 18, 1999.


"...they have run up a 6 trillion dollar debt... Who's gonna pay? You and me of course... Any idea how rich these banking families are??? Oh, probably 6 trillion dollars..."

I have loaned the government some money, for a defined amount of interest. I believe that is part of the National Debt? Unless the US Republic falls, and we become the US Empire, I expect the government to do its best to pay me back, when the time comes. Its a good bet, I don't need it right now but will want it later, and if the Republic falls, long term plans for that money will be nixed anyway.

Also, I never said there wasn't corruption in the system (that would have been rather foolish). I don't know what else to call it, for example, when loans are deliberately made to high-risk parties by banks, for political reasons, and then taxpayers eat the defaulted debt.

Little people do it too (cheating and being corrupt). A friend of the family who did our taxes long ago (no more) wanted to put us in tax shelters for which he used a fake company front--a total lie, and he did it on purpose.

I believe that corruption was a big factor in Korea's economic problem, wasn't it? I wonder if there is a critical mass of corruption, by big and little people combined, after which the economy crashes with the slightest stimulus...

The rules are only fair if they are consistent, and I would think everyone should generally be subject to the same rules, unless there is a special and publicly known reason. Honesty is the best policy, long term. Not to mention, its right.

-- S. Kohl (kohl@hcpd.com), September 18, 1999.


Andy,

http://www.publicdebt.treas.gov/opd/opdpenny.htm

Bill C,

Try $29 Trillion and climbing.

S.O.B.

-- sweetolebob (buffgun@hotmail.com), September 18, 1999.


bag it and bury it eh? and if nothing happens, just what in the hell are you supposed to do ith all that money? take it down to the bank and say " I'd like to deposit this 30 grand , which I've been holding back just in case? it will still be called "structuring" wont it? damned if you do, and damned if you don't.

-- ed (edrider007@aol.com), September 18, 1999.

Hi, BB:

Your post has generated many interesting responses.

I'm amazed your banker is open and honest. Bet he'll lose his job soon when the economy tanks.

I have only one checking account, through which I pay rent, utilities, and preparations. This year alone I've been mailing orders all around America. Without access to the Internet, I would be mostly clueless regarding which products are the best and most durable. Locally there is a very limited selection or no selection at all.

One month of cash is a lot of cash. I don't think our local banks could meet that demand if every citizen made that specific withdrawal. Then I think of the wealthy people whose lifestyle depends upon servants, cleaning people, country club perks and other privileges. One month's worth of cash in their hands would be an awesome amount, the sum of many poor and middle class workers combined.

It has been argued that the collapse of the banks would possibly thwart the NWO's scheme of control. I think the opposite would happen. A complete crash wherein cash became of no value would cause a great fear to terrorize the masses. There would be great cries for help to sort out the entire economic mess.

The solution of a univeral marking system would solve the problem. When the old banking system dies, in its place a brilliant economic phoenix arises, which WILL work and restore a peaceful economic equilibrium to the world. Whoever institutes and controls this economic miracle will be... worshiped.

Any thoughts on this?

-- Randolph (dinosaur@williams-net.com), September 19, 1999.


Ed ----- I don't think it would be looked upon as structuring. Its your money and you can do what you want with it. I'm sure they would be dancing around giving "high fives" if you put $30,000 back in their bank

-- thinkIcan (thinkIcan@make.it), September 19, 1999.

Randolph:

Sounds plausible as one possibility among other plausible scenarios, at least. Normally history is how we judge what the current chain-of-events could lead to (trying to find parallels), and in some ways, this high-tech, high-population situation is unprecedented, so history's help is more limited than usual. You're probably looking at some books of prophecy for parallels, right? If 1/4 of the population of the world dies, I'll start looking harder in that area than I am right now...

There seems to be a lot of social intertia when you're dealing with large groups when it comes to making drastic changes (I don't know what the deal is with "mass hysteria"). It usually is the "next generation" that makes changes, and only when they're just starting to run things--then what they did becomes the new status quo. Tremendous loss of life or livelihoods seems to sometimes cause that inertia to disappear, like heating syrup reduces its viscosity.

Sure is an exciting time to be alive, and see what changes happen during our lifetimes (look at the 20th century).

-- S. Kohl (kohl@hcpd.com), September 19, 1999.


Randolph,

I started a thread I have to stay in the shadows on. I look to Nabi and others to guide my thinking. Have you ever listened to bankers and investors on MSNBC? I listen and ask myself, What the heck are they saying? Money talk is a language all its own.

I don't have a clue how the Fed is going to handle a run to cash. I feel that (note: this is only a feeling :-) the banking system would actually like to see the market crash BEFORE a run to cash. A crash before cash (like that?) would mean bankruptcy, no liquidity, no money in the bank to get. If the markets crash, and the economy tanks, there goes people's jobs. How long do you think the money they have in the bank will last? Most Americans are in debt. What cash they have is in the market.

Believe this: the central bankers have their backup plans. They are ready for any contingency including global meltdown. Are we ready? Do we have a backup plan? Are we getting ready to live outside the system? That is the question. That is all I can control.

-- BB (peace2u@bellatlantic.net), September 19, 1999.


From this FAQ:
The US Federal Reserve Board measures the money supply using the following measures:

M1 = Money that can be spent immediately. Includes cash, checking accounts, and NOW accounts.

M2 = M1 + assets invested for the short term. These assets include money- market accounts and money-market mutual funds.

M3 = M2 + big deposits. Big deposits include institutional money- market funds and agreements among banks.

A more detailed breakdown of the three money-supply indices is given here. I quote one passage:
As of June 1999 the monetary base created by the Fed totaled $554 billion. Of that total, $484 billion consisted of Federal Reserve notes and coins held by the public. The Fed estimates that as much as two-thirds of that currency is overseas, mostly owned by foreigners.

At gold's current price, ~$256/oz., to back $554 billion fully requires ~135,253,900 lbs. or ~67,627 metric tons of gold. Be still, my heart. But this would seem difficult to achieve.

-- Tom Carey (
tomcarey@mindspring.com), September 19, 1999.


-- (I thought I checked that!)

-- Tom Carey (tomcarey@mindspring.com), September 19, 1999.

I think the Dollar will tank - Hyperinflation in 2000...

-- Andy (2000EOD@prodigy.net), September 20, 1999.

The problem with the banking system (like any of our other systems) is over-specialization and the glamourization of "experts." We have gotten used to letting professionals hold our money the same way we let professionals hold our guns, deliver our babies, educate our children and guarantee the safety of our water supply.

Apparently we (the general public) have better things to do than protecting our assets and raising our children. We have to do important things like make pizza and watch beer commercials.

If our population had any clue whatsoever what it takes to simply live off the land and the skill in one's hands then none of this crap would matter. As it is we are screwed because the bulk of the population works for minimum wage delivering luxury services to an elite few.

The vital systems (like food production) are too complex and the jobs are too specialized to be able to easily convert back to manual. There are simply too few people who produce anything of real value. There are too few who have ever seen a family farm at work - let alone would have a clue as to how to run one.

So yeah, the banking system sucks and yeah we are stuck with it right now. It will crumple under its own weight regardless. Because not only are the dollars digital but so are most of the assets used to produce them. It is all worthless. The cyber bucks, the service oriented economy, the inflated dow.

You want financial security in Y2k? Forget cash. Buy chickens.

-- R (riversoma@aol.com), September 20, 1999.


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