Governments Continue To Steal From Citizens

big thieving governments

In the spring of 2013 you will remember that the Greek Cypriot government were pushed, by the IMF & ECB in to stealing money directly from clients bank accounts. The initial plan was to take 10% from all account holders. The Cypriot parliament rejected this. It was political suicide AND there was the slight matter that bank deposits in the EEC are supposed to be guaranteed up to $100k which would have resulted in a massive law suit that would have dragged on for years.

So the compromise was arrived at that account holders with more than $100k would have 40% of their money converted in to what could be worthless government bonds. Imagine what the impact would be on your life if 40% of your cash (that you have already paid tax on) was stolen from you. At the very least you would be extremely angry but worst case scenario it could completely destroy your standard of living. Many pensioners, for example, held their life savings in the bank and now are looking at a completely different future to the one they had planned.

This was quite simply ECB & IMF, state sponsored theft.

Now Cyrpus is a small island and far removed from where you may live BUT The scary thing is that a precedent has been set and President of the Eurogroup Jeroen Dijsselbloem confirmed that it is a blue print that could be copied across the globe!

In other words politicians have given themselves carte blanche to steal money from citizens bank accounts to pay for the current crisis.

It couldn’t happen where you live?

Jim Rogers, billionaire investor, said recently: “It’s pretty scary what’s going on in Europe when they start taking money out of people’s bank accounts. I for one am making sure I don’t have too much money in any single bank account anywhere in the world now because now there is a precedent. The IMF has said sure, loot the banks accounts. The EU has said loot the bank accounts. So you can be sure in other countries when the problems come are going to say, well, it’s condoned by the EU, it’s condoned by the IMF. let’s do it too.”

Rogers has spoken about making sure that he has no more than the “guaranteed” sum in any bank HOWEVER the UK and US have recently passed legislation that could be interpreted to mean that if a bank gets in to difficulty clients money may be used as a “bail in.” Places as far apart as New Zealand, Australia and Canada have also taken steps to do the same thing. For example in New Zealand they have the plans in place to implement a “hair cut” if the Government deems it necessary,

There is a further “catch” to the guarantee of XXX amount of funds. In Australia and the USA for example the guarantee is $250k BUT in the USA in 2012 the 7th circuit of appeals ruled that when a bank is insolvent, under duress or insolvent the cash in private checking accounts can be used to pay off debts or loans!

In Australia whose economy is currently in a far better state than the USA there is a little known fact that although $250k is guaranteed it only applies to the first $20 billion of claims, as the average bank has deposits of 10 times that amount the net result would be that 90% of people could lose everything!

The bottom line is that you would do well to limit the amount of cash you hold in a bank account. If that is a problem then consider multiple accounts and a further safeguard is to open a new account in a separate country and or jurisdiction.

A final option is to buy an asset with any excess cash. Gold and silver are currently being hammered as I write this article so you may not be ready for such a volatile ride but there are many things you can invest in from paintings to property, all of which make it more difficult for your government to steal your hard earned, tax paid cash. Do not just sit there and wait for this to happen the writing is already on the wall- You have been warned!

If you want to discover how to look after yourself financially, earn more money and invest it smarter than check out the main site, its now 100% FREE of charge to everyone: CLICK HERE


Author: Marc Walton

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