Cyprus, Germany and the uncertainty of the euro.
- Thread starter antonisk
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Pharaoh
Brigadier General
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We have rules against political opinions? 
I'm pretty sure all the "opinion" rules are just to keep the discussion mostly civilized.
Regarding Cyprus: This is big. This is ugly. This is getting scary. Then again, Greece is still in the Eurozone for some reason, so I don't think Cyprus will be forced out. On the other hand, if the other EU banks put too much pressure on Cyprus, things get dangerously unpredictable. One thing the markets hate is uncertainty.
What worries me in the long run is that the option of confiscating deposited funds from bank accounts even got put on the table. What terrifies me is that it's still on the table for accounts over 100,000 Euros. That's the sort of thing a 3rd world dictatorship does when the government get desperate for cash. That ANYONE involved with ANY European government or bank would seriously suggest this shows an amazing change in attitude regarding just who owns bank deposits.
Now that it's on the table for Cyprus, then it could easily be considered as a viable option for any country in the EuroZone any time there's an issue in the banking sector. If enough Europeans wake up to this horrifying possibility and all the governments in the EuroZone don't 100% repudiate the very concept of taking deposits to balance the books, we could be looking at massive bank runs.
Cyprus itself is having to impose all sorts of emergency measures to keep people from emptying their accounts.
Those with over 100,000 Euros on deposit are still looking a the possibility of having a "levy" imposed on their funds. Call it a levy. Call it a tax. It's really a government stepping in and unilaterally confiscating deposits that legally belong to individuals and companies. It's legalized bank robbery.
If I were in Europe, I'd leave no more cash in any bank other than enough to cover normal paying of my utility bills.
Mattress Bank - Protecting YOUR money since 1929. The only bank in the EuroZone that's 100% safe from government levies.
I'm pretty sure all the "opinion" rules are just to keep the discussion mostly civilized.
Regarding Cyprus: This is big. This is ugly. This is getting scary. Then again, Greece is still in the Eurozone for some reason, so I don't think Cyprus will be forced out. On the other hand, if the other EU banks put too much pressure on Cyprus, things get dangerously unpredictable. One thing the markets hate is uncertainty.
What worries me in the long run is that the option of confiscating deposited funds from bank accounts even got put on the table. What terrifies me is that it's still on the table for accounts over 100,000 Euros. That's the sort of thing a 3rd world dictatorship does when the government get desperate for cash. That ANYONE involved with ANY European government or bank would seriously suggest this shows an amazing change in attitude regarding just who owns bank deposits.
Now that it's on the table for Cyprus, then it could easily be considered as a viable option for any country in the EuroZone any time there's an issue in the banking sector. If enough Europeans wake up to this horrifying possibility and all the governments in the EuroZone don't 100% repudiate the very concept of taking deposits to balance the books, we could be looking at massive bank runs.
Cyprus itself is having to impose all sorts of emergency measures to keep people from emptying their accounts.
Those with over 100,000 Euros on deposit are still looking a the possibility of having a "levy" imposed on their funds. Call it a levy. Call it a tax. It's really a government stepping in and unilaterally confiscating deposits that legally belong to individuals and companies. It's legalized bank robbery.
If I were in Europe, I'd leave no more cash in any bank other than enough to cover normal paying of my utility bills.
Mattress Bank - Protecting YOUR money since 1929. The only bank in the EuroZone that's 100% safe from government levies.
antonisk
Private, 1st Class
- Messages
- 62
Emergency measures: You cannot withdraw more than 300 euros from your account? on a daily basis.
Referring to the Laiki bank all deposits under 100,000 are safe anything more that that you can forget about it. You can forget about all your Laiki shares plus your Bank of Cyprus shares. Talking about the Bank Of Cyprus you will have a 45% "hair cut" on deposits 100,000 and up but you will get shares that will worth almost nothing.
Most people will be depositing 300 euros a day to the Mattress Bank.
Referring to the Laiki bank all deposits under 100,000 are safe anything more that that you can forget about it. You can forget about all your Laiki shares plus your Bank of Cyprus shares. Talking about the Bank Of Cyprus you will have a 45% "hair cut" on deposits 100,000 and up but you will get shares that will worth almost nothing.
Most people will be depositing 300 euros a day to the Mattress Bank.
alanrox
Corporal
- Messages
- 177
We have rules against political opinions?
I'm pretty sure all the "opinion" rules are just to keep the discussion mostly civilized.
Regarding Cyprus: This is big. This is ugly. This is getting scary. Then again, Greece is still in the Eurozone for some reason, so I don't think Cyprus will be forced out. On the other hand, if the other EU banks put too much pressure on Cyprus, things get dangerously unpredictable. One thing the markets hate is uncertainty.
What worries me in the long run is that the option of confiscating deposited funds from bank accounts even got put on the table. What terrifies me is that it's still on the table for accounts over 100,000 Euros. That's the sort of thing a 3rd world dictatorship does when the government get desperate for cash. That ANYONE involved with ANY European government or bank would seriously suggest this shows an amazing change in attitude regarding just who owns bank deposits.
Now that it's on the table for Cyprus, then it could easily be considered as a viable option for any country in the EuroZone any time there's an issue in the banking sector. If enough Europeans wake up to this horrifying possibility and all the governments in the EuroZone don't 100% repudiate the very concept of taking deposits to balance the books, we could be looking at massive bank runs.
Cyprus itself is having to impose all sorts of emergency measures to keep people from emptying their accounts.
Those with over 100,000 Euros on deposit are still looking a the possibility of having a "levy" imposed on their funds. Call it a levy. Call it a tax. It's really a government stepping in and unilaterally confiscating deposits that legally belong to individuals and companies. It's legalized bank robbery.
If I were in Europe, I'd leave no more cash in any bank other than enough to cover normal paying of my utility bills.
Mattress Bank - Protecting YOUR money since 1929. The only bank in the EuroZone that's 100% safe from government levies.
Very informative post Pharaoh
Pharaoh
Brigadier General
- Messages
- 20,316
One note to everyone. A lot of what I write, like references to Mattress Bank, is a bit humorous. I want to make it very plain in this case. The issue is SERIOUS. Money that was "safe in the bank" is no longer safe.
Currently, they aren't touching anything under 100,000 Euros. Earlier proposals were to grab some of the money under 100,000 Euros. This means that in any fiscal emergency, the concept of grabbing a percent of any deposit, no matter how large or how small, is already an option that can be considered.
Correct me if I'm wrong, but I don't seem to recall hearing about any government in Europe deciding to just walk in and do across the board confiscation of bank deposits during World War I or World War II. If the UK didn't grab depositor money while the nation stood on the brink of being conquered, why should a mere economic crisis be an excuse for some other government to steal money from depositors?
Now it's spreading. The new Canadian budget plan has some text that appears to allow for confiscations.
Canada?s 2013 Budget Promises To Confiscate Part Of Customer Bank Accounts Of Any Major Troubled Canadian Bank | CoinWeek
And it seems that the US and UK now have a plan were money can be grabbed too. In this case, your cash isn't totally confiscated. You instead will suddenly have less money and will get some stock shares instead. Of course, a bank desperate enough to get government approval to force you to buy there stock at a price they set probably doesn't have the best prospects for growth in the value of those shares.
The Confiscation Scheme Planned for US and UK Depositors » Counterpunch: Tells the Facts, Names the Names
The more I read, the worse this gets. Confiscation, with or without shares as compensation, is legalized bank robbery. Normally, if a bank gets robbed, private and government insurance protects depositors. Not anymore. Now it's the banks and governments that can rob the depositors.
Want to protect your wealth? Read these articles now:
https://www.forexpeacearmy.com/forex-forum/forex-basics-boot-camp/3033-wealth-protection.html
https://www.forexpeacearmy.com/forex-forum/forex-basics-boot-camp/17128-wealth-protection-ii.html
I wrote the articles awhile back, but the advice designed to protect your money in a crisis. This confiscation situation is a potential crisis of epic proportions.
Mattress Bank - Protecting your money since 1929. The only bank on Earth that's 100% safe from government levies.
Currently, they aren't touching anything under 100,000 Euros. Earlier proposals were to grab some of the money under 100,000 Euros. This means that in any fiscal emergency, the concept of grabbing a percent of any deposit, no matter how large or how small, is already an option that can be considered.
Correct me if I'm wrong, but I don't seem to recall hearing about any government in Europe deciding to just walk in and do across the board confiscation of bank deposits during World War I or World War II. If the UK didn't grab depositor money while the nation stood on the brink of being conquered, why should a mere economic crisis be an excuse for some other government to steal money from depositors?
Now it's spreading. The new Canadian budget plan has some text that appears to allow for confiscations.
Canada?s 2013 Budget Promises To Confiscate Part Of Customer Bank Accounts Of Any Major Troubled Canadian Bank | CoinWeek
And it seems that the US and UK now have a plan were money can be grabbed too. In this case, your cash isn't totally confiscated. You instead will suddenly have less money and will get some stock shares instead. Of course, a bank desperate enough to get government approval to force you to buy there stock at a price they set probably doesn't have the best prospects for growth in the value of those shares.
The Confiscation Scheme Planned for US and UK Depositors » Counterpunch: Tells the Facts, Names the Names
The more I read, the worse this gets. Confiscation, with or without shares as compensation, is legalized bank robbery. Normally, if a bank gets robbed, private and government insurance protects depositors. Not anymore. Now it's the banks and governments that can rob the depositors.
Want to protect your wealth? Read these articles now:
https://www.forexpeacearmy.com/forex-forum/forex-basics-boot-camp/3033-wealth-protection.html
https://www.forexpeacearmy.com/forex-forum/forex-basics-boot-camp/17128-wealth-protection-ii.html
I wrote the articles awhile back, but the advice designed to protect your money in a crisis. This confiscation situation is a potential crisis of epic proportions.
Mattress Bank - Protecting your money since 1929. The only bank on Earth that's 100% safe from government levies.
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