This page has been archived and commenting is disabled.
Europe: Are your Savings REALLY Safe?
On February 22 2013, we released an article focusing on the little known fact that depositors’ savings were at risk in Europe. At that time we wrote:
It’s a little known fact about the Spanish crisis is that when the Spanish Government merges troubled banks, it typically swaps out depositors’ savings for shares in the new bank.
So… when the newly formed bank goes bust, “poof” your savings are GONE. Not gone as in some Spanish version of the FDIC will eventually get you your money, but gone as in gone forever.
Over the weekend, we received confirmation that Spain is not the only country pulling such schemes: Cyprus along with Germany and the IMF has confiscated savings accounts to help fund a bailout of the country.
Confiscated… as in stolen. To fund a bailout that Cyprus citizens have no interest in funding. In exchange, they, like the Spanish, will receive shares in the garbage banks that were bailed out.
Why does this matter? Cyprus is a tiny country of only 1.1 million people right?
This matters because it indicates what we’ve been saying since June 2012, the entire European “fix” was one enormous lie. NOTHING was fixed in Europe at all. ON top of this, your SAVINGS in Europe can be seized at any time if things get bad.
Reread that last sentence… people in Europe just woke up and found that the IMF without their consent, can SEIZE their savings during a bailout.
What do you think will be the end result of this?
BANKRUNS and systemic failure.
The deep dark secret of the entire European Mess is that the minute a real legitimate bank run begins, it’s game over. Spain got a taste of this last year when a bank-run brought the country to its knees in less than six months.
Now that Cyprus has revealed that deposits are not safe in Europe, you better buckle up because the bank-runs are coming. And when they do, the European Crisis will hit overdrive. Once deposits flee, banks have to sell assets to meet the capital flight. When banks have to sell assets to meet deposit flight, they need capital.
And European banks don’t have any extra capital. They’re leveraged at 26 to 1 and would need to raise over €1 trillion AT LEAST.
If you are not prepared for this… prepared for potential systemic collapse brought about by Europe…YOU NEED TO ACT NOW.
We have produced a FREE Special Report available to all investors titled What Europe’s Collapse Means For You and Your Savings.
This report features ten pages of material outlining our independent analysis real debt situation in Europe (numbers far worse than is publicly admitted), the true nature of the EU banking system, and the systemic risks Europe poses to investors around the world.
It also outlines a number of investments to profit from this; investments that anyone can use to take advantage of the European Debt Crisis.
Best of all, this report is 100% FREE. You can pick up a copy today at:
http://gainspainscapital.com/eu-report/
Best
Phoenix Capital Research
- advertisements -
hey , egt your own little mafia together @ the local level, Get your family together, loan to each other, deal warily with the outside.
People need to read the comments of Jim Sinclair on Cyprus here:
http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/3/19_Sinclair_-_Cyprus_Disaster_Is_Much_Bigger_Than_Being_Reported.html
nuthin from nuthin leaves nuthin!
Aaaaaannnd - it's gone!
Reinstate Glass-Stegall. Isn't that what helped send Keating to jail in the S&L crisis of 198x?
Glass-Stegal was done to protect the people from scurrilous bone-head bankers that only shoot for the moon with Other-Peoples-Money!
Oh yeah, the politicians that allowed these travesties are TBTF (Too Bought To Function), duhhhhhh.
Stop talking about new legislation and reactivate that which is proven to be effective!
Just trade in the FIAT for Gold and SIlver ...............
It’s a little known fact
Get off my lawn!
just booked a Carnival cruise
to Cyprus
cost plus 9.9 %
Here is my free weekly newsletter report.
-We have a new Pope doing Pope stuff.
-The Cyprus bank has run out of spiderman bath towels
-The middle east is screwed more ways than the Kama Sutra with an Allah franchise.
-Obama read something meaningless from his teleprompter.
-Sequester had less effect than a Barney Frank fart.
Hey, ZH'rs, lately I've been real pissed about your attitude. Remember, I called all of you chilitos... little dicks! Then, I told you, "Only babosos do the Mexican Hat Dance in front of recently whooped, and only retards warn they’re going to punch you in the mouth." Entonces... escucha...the IMF-EU-Western Luchador Combat Center just strapped on their giant burrito and are proclaiming ownership of the ring.
Now that I soiled my chonies, we got to talk. Uh... this whole thing about that Cyprus place, with all those mediterranean mexicans running round trying to pull their dinero out of los bancos. O.K., es muy importante! The KGBLuchadors put their prize winnings in esos bancos. This is not a mistake by the IMF-EU-Western Luchador Combat Center.
This is a call out! Ya know.. like, "Hey, pussy, your mask looks like your mamas face."
No mistake about it. There's gonna be some sangre spilled around the mat in the comin' rounds. I recommend not to sit too close to the ring if your wearing your whites.
Oh, and regarding the audiences dinero.. they get what they deserve. Huh? Not like bank deposits are su propiadad when ya loan them to a bank for interest.
Te sabes... in the end, it's all an illusion. But in the meantime... the game is so fun. Fiat money being stolen... Fiat cars stolen and being brought down to the chop shop in TJ. Aye aye aye...and the audience doesn't even know the entire show is a scam to keep you from seeing your fiat soul.
Viva El Luchador!
http://www.askchumba.com
ZIRP is already theft of savings, which we've been experiencing for years. The only difference between this and Cyprus is the time period involved.
Please - QE infinity will solve this problem. Savings accounts in a bank? What are those? The only real savings accounts are ones with gold/silver and bullets in them. They start stealing that (like FDR did) then you can start touting off on the world ending - until then the central planners will do what they always do - create money out of thin air. Not that I don't want to see this whole scheme come to a crashing disaster - I do, but fool me once, shame on...well you know the saying.
Like there was a before and after Greece 2012, there will be a before an after Cyprus 2013...Buy Gold,Platinum and Silver (physical bars)...
Graham, the odds of something happening due to this are remote... but in the event that you are right... or when the black swan event begins (and it will)... you are SPOT ON.
I enjoy your writings...
Whilst there are some interesting facts which turn up in Mr Summer's pieces, the constant marketing at the end does put me off some what- just put a link to the relevant part of your website at the bottom of the page.
Unlike the Europeans, the US and UK governments are constitutionally forbidden from taking their citizens savings in this way- not that i suspect it would stop them.
The Constitution won't stop them. Only divided government is. If madame Pelosi retakes the House in the 2014 midterm, there is nothing the USG won't tax, er. confiscate. Savings accounts, IRAs, whatever. They will take anything Obama wants taken so he can increase the bennies to his party's "base".
It won't, though I suspect they'll go for the IRA's and 401k's first.
"... to help fund a bailout of the country..."
wrong mr summers, it is a bailout of the banksters and tribute money to the rockefeller nazi axis of evil...the country can eat shit if there is still any left....
"....Confiscated… as in stolen. To fund a bailout that Cyprus citizens have no interest in funding."
So don't fund it. The banks will fold. The bond and stock holders will be wiped out. And the depositors may or may not get their money depending on whether the the Cypriot government feels like taxing their citizens to guarantee deposits whose value are many times larger than their GDP.
Damn those Germans and their scratching on our blank checks!
But the EuroZone must be preserved at all costs.
but the eurozone must be preserved at all costs should read "but the eurozone must be preserved at all costs." as in...does it? i say Cyprus et al better leave before Germany does. "first one out wins" in my view. you have to understand the problem of a common currency...worse than a debt monetization scheme actually since "everyone perceives a benefit" when in fact the whole thing is scam.
I'm prepared to act...and act now...if only I could access my bank account in order to quickly subscribe to your forcast newsletter....then I would then be able to learn how this all ends.....
But seriously, with the failure of the EUSheeple to react, er, riot accordingly, the stage is set. TPTB wont have to print because they would have looted the previosuly printed fiat.
With less money in their pockets (and wool on their metaphorical backs) they'll spend less and deflation WILL be the initial wave.
Cash may be trash but I'll sure take it over digital entries on a TBTF bank ledger. The ATM is your friend until they pull the plug on it. In the meantime I will skim nickels and pre'82 pennies from my change, keep ample cash on hand, purchase Franklin halves and mercury dimes when I can, and never let Chase, Citi or BOA see one dollar of my money ever again.
...didn't mention Goldman Sachs above because I can't elect to keep my money from them...the squid will wring it out of my hands one way or another...insidiously or in my face...I'm sure.
Ah, crap, I forgot to check if it was just Graham Summers winding everybody up. Ignore me.
Are your savings REALLY safe?
FUCK NO!
Savings are safe nowhere. Not in Europe, not in Japan and not in the US either.
Bankrupt states, bankrupt banks all around the world. There is just too much debt and the time is close to pay back.
Depends where you keep your savings and in what form.
Fiat currency (under the mattress), precious metals (hush, hush - buried in the back yard), real estate, mineral interests, etc.
We're all needing secret black offshore bank accounts now
Americans need them because of MF Global, Peregrine and Sentinel bank thefts, and the crooked American courts and lawyers
And now we Europeans need secret black accounts because Barroso and the European Commission are stealing our 'insured' bank deposits like in Cyprus
Are Graham Summers and Phoenix Capital going to help us set up the secret black accounts ?
Or is that the role of globetrotter Simon Black, the Sovereign Man ? !
Fuck the offshore accounts, when fraud is the status quo, possession is the the law. Get you tribes in order people as all eCONomies are really local and will become more local when all this central planning begins to unwind.
oh man ... that was ... profound ... brilliant original thoughts and research.
If you don`t buy my free weekly report on the end of the world THIS WEEK ....
Graham makes some good points some times but these posts are boring, and just repeating shit over and over again.
Come one, Graham, give us something original.
I was waiting for the resident lightweight to weigh in with something profound.
Good lord, the entire blogosphere is screaming about Cyprus and Graham comes out a day later with a pitch for his ridiculous newsletter.