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Unsecured Depositors Of The World, Unite... And Get The Hell Out Of These Countries

Tyler Durden's picture


Based on the most recent data, JPMorgan notes that the share of large or uninsured deposits is likely to be close to half of total deposits in the European Union. With deposits already flowing out of some of the peripheral EU nations...

(as we warned here)


we thought it appropriate to point out just which nations have the largest share of uninsured deposits (and are not yet under the ECB's 'standard of living' capital controls). It seems - among many others - that despite France throwing in the towel on the 75% income tax, there is another good reason for the wealthy to leave...


The only reason why Europe has been slow to impair its loans (as shown by the artificial rise in Italian and Spanish bad debt) over the past 4 years, is that a full representation of reality on the asset side (such as that which finally caught up with Cyprus) would lead to a dramatic collapse in balance sheet assets, requiring a comparable crunch on the liability side, where unsecured liabilities such as deposits would certainly take a big hit as well (especially if an equity cram up such as that of Citi is required to preserve the equity tranche).



Which is why the only thing preventing a "Cyprus-type event" from spreading to other nations is the gradual, determined bad debt impairment.

Of course, should there be a risk flaring event and banks are forced to remark bad debt to reality, what just happened in Cyprus will be a gentle breeze compared to what would come.


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Sat, 03/23/2013 - 15:40 | 3366382 Mongo
Mongo's picture

Haircut bitchez!

Sat, 03/23/2013 - 15:44 | 3366391 macholatte
macholatte's picture
Unsecured Depositors Of The World


Wait a minute,  According to Cyprus, ALL deposits are unsecured.

Sat, 03/23/2013 - 15:56 | 3366408 DoChenRollingBearing
DoChenRollingBearing's picture

Ideally, each of us should get to the point where money in the bank IS diversification, he he...  After all, keeping ALL of your money and PMs at home might be a bit risky, why not leave a little (in the USA anyway) in the bank where a random burglary will not ruin your life?


And to be able to write checks, use credit cards, etc.  SMALL amounts in the bank: for diversification!  :)

Sat, 03/23/2013 - 16:06 | 3366430 knukles
knukles's picture

Disintermediation, Bitchez!

Bank runs, deposit outflows gotta be replaced by "sumptin' else Lichi"* like loans from the ECB, BoE, Fed, whateveritmayB...
Lending Grounds to a halt (as if there was any, anyhow)
Withdrawal caps
Cash only society
Fucking everything shuts down
Liquidiy Trap Deluxe
Credibility Tarp Deluxe

Panic in River City

Root for the bread lines!

All Hail The European Union!
And just think, all because of one stupid idea...
Buncha fucktards.


* courtesy Desi Arnez

Sat, 03/23/2013 - 16:07 | 3366455 ihedgemyhedges
ihedgemyhedges's picture


Sat, 03/23/2013 - 16:18 | 3366490 toys for tits
toys for tits's picture

There's a new organization called "Mothers Against Dyslexia", or DAM.



Like most things it's better orally.

Sat, 03/23/2013 - 16:31 | 3366515 Kitler
Kitler's picture

No need to worry people. You can be certain that by now the Bank Of G-d and the ECB have all of the bases covered.

Odds are that there is a warehouse somewhere with around $60T in globally denominated currencies just waiting to be FedExed to the angry queues that will soon be forming.

This is just the inflationary ticket we need to get our Western ponziconomies up and running again, provide relief from our debt burden, make us competitve with the East and keep our bankers happy.

Sat, 03/23/2013 - 16:33 | 3366538 HD
HD's picture

FedEx owns a fleet of wheelbarrows?

Sun, 03/24/2013 - 05:40 | 3367810 GetZeeGold
GetZeeGold's picture





Those bankers are forkin iceholes.....bunch of bastages!!!!

Sat, 03/23/2013 - 17:53 | 3366812 edb5s
edb5s's picture

Beats the hell out of a helicopter!

Sun, 03/24/2013 - 00:45 | 3367666 PiratePawpaw
PiratePawpaw's picture


Unsecured Depositors Of The World, Unite... And Get The Hell Out Of These Countries"


Or just realize that you were total fools for having any deposits anywhere.....

Sun, 03/24/2013 - 08:36 | 3367937 Mr. Lucky
Mr. Lucky's picture

You're going to need a bigger boat.

Sat, 03/23/2013 - 17:35 | 3366732 Awakened Sheeple
Awakened Sheeple's picture

I bought a $400 portable generator, filled up all my gas cans, batteries etc today. Spent about $700 bucks total. Krugman would be pleased.

Sun, 03/24/2013 - 07:53 | 3367812 GetZeeGold
GetZeeGold's picture



Next thing you need to do is breakout all the windows....and wait for the relief.

Sat, 03/23/2013 - 16:31 | 3366533 Jonas Parker
Jonas Parker's picture

And the dyslexic agnostic - wondered his whole life if there really was a Dog...

Sat, 03/23/2013 - 16:48 | 3366599 akak
akak's picture

And worrying whether his mother will be serving keys and parrots at dinner the next day.

Sat, 03/23/2013 - 17:24 | 3366699 Stuck on Zero
Stuck on Zero's picture

Fortunately the dyslexic's Mother's name is Ada and the Father's is Bob. 

Sat, 03/23/2013 - 22:22 | 3367490 jeff montanye
jeff montanye's picture

and she's been deified while he still drives his race car.


Sun, 03/24/2013 - 03:46 | 3367758 A Nanny Moose
A Nanny Moose's picture

I though it was DAMM. Drunks against Mad Mothers.

Sat, 03/23/2013 - 16:40 | 3366559 NeoLuddite
NeoLuddite's picture

Dyslectic agnostic insomniac lays awake every night wondering if there really is a doG.

Sat, 03/23/2013 - 17:12 | 3366649 max2205
max2205's picture

Bad debt is like the in law that visits then never leaves

Sun, 03/24/2013 - 03:50 | 3367759 RafterManFMJ
RafterManFMJ's picture

I gave ya a thumbs up Neo, but careful; this place doesn't like smack talk about insomniacs.

Sat, 03/23/2013 - 17:00 | 3366624 New_Meat
New_Meat's picture

actually; lysdexicks, but well ... :-)

Sat, 03/23/2013 - 16:11 | 3366460 DoChenRollingBearing
DoChenRollingBearing's picture

That too, Bitchez!  Paper fiat$ > electrons in the bank.


Diversification, disintermediation, schmuckification.  <--- No difference!

Sat, 03/23/2013 - 16:19 | 3366494 Arrowflinger
Arrowflinger's picture

Zzzzzzttt.....and it's GONE!

Sat, 03/23/2013 - 16:30 | 3366529 Skateboarder
Skateboarder's picture

"How much money is there in the whole wide world, dad?"

"A jillion dollars"

"Isn't the next bailout a jillion dollars?"

"Yeah, but the TV says we'll be alright. Now shut up and eat your horsemeat."

Sat, 03/23/2013 - 16:07 | 3366457 JohnG
JohnG's picture



The FDIC has around $25 billions insuring well over $9 trillions in deposits.

The US should be on this list.

Sat, 03/23/2013 - 16:11 | 3366468 Mordenkainen
Mordenkainen's picture

Well, $25 billion plus Ben's helecopters (which is to say, plus infinity).

Sat, 03/23/2013 - 16:15 | 3366482 JohnG
JohnG's picture

Welcome to hell.

Sun, 03/24/2013 - 00:39 | 3367659 flacon
flacon's picture

What the fuck do you mean I can't take an electron out of the ATM machine! That-a-my-a-money! That-a-my-a-money! 

Sat, 03/23/2013 - 16:11 | 3366469 pods
pods's picture

I think I am going to watch Outbreak.  

Seems fitting.


Sat, 03/23/2013 - 16:13 | 3366476 JohnG
JohnG's picture

I watched 28 Days Later last night.  Seriously.

Sat, 03/23/2013 - 17:53 | 3366811 tsx500
tsx500's picture

V for Vendetta

Sat, 03/23/2013 - 18:07 | 3366858 francis_sawyer
francis_sawyer's picture

Logan's Run...

Sat, 03/23/2013 - 18:30 | 3366918 dark pools of soros
dark pools of soros's picture

more like Pretty Little Liars if it was recast with old bald jews

Sat, 03/23/2013 - 19:19 | 3367078 toys for tits
toys for tits's picture

The International shows what this corruption would look like if it was on a small scale.

Sat, 03/23/2013 - 22:03 | 3367455 Prometheus418
Prometheus418's picture

Justified for me, and that'll work in my neck of the world.

Sun, 03/24/2013 - 00:41 | 3367662 flacon
flacon's picture

I watched Hells Kitchen on my wife's laptop. IT'S FUCKING RAW! GET OUT! GET THE FUCK OUT OF MY BANK!

Sun, 03/24/2013 - 02:29 | 3367729 MisterMousePotato
MisterMousePotato's picture

The Road.

Much cheerier than your selections.

Sat, 03/23/2013 - 23:21 | 3367557 pods
pods's picture

People should not be afraid of their governments, governments should be afraid of their people.


Sat, 03/23/2013 - 20:41 | 3367280 fxrxexexdxoxmx
fxrxexexdxoxmx's picture

The Road

Sat, 03/23/2013 - 20:56 | 3367319 pods
pods's picture

That one was in my head, but I didn't want to go there, having kids and all.


Sun, 03/24/2013 - 02:30 | 3367730 MisterMousePotato
MisterMousePotato's picture

That's what I suggested above (hadn't gotten this far yet). Always cheers me right up.

Sat, 03/23/2013 - 22:19 | 3367484 What you talkin...
What you talkin about Willis's picture

El Topo

Sun, 03/24/2013 - 03:17 | 3367749 snakeboat
snakeboat's picture

Jericho's close to what may come...

Sat, 03/23/2013 - 16:42 | 3366571 fonzannoon
fonzannoon's picture

they need a new version of outbreak where they end up just firebombing the town.

Sat, 03/23/2013 - 16:48 | 3366594 JohnG
JohnG's picture



Nuke it from orbit.

"It's the only way to be sure." --Ripley

Sat, 03/23/2013 - 19:23 | 3367086 GeezerGeek
GeezerGeek's picture

I prefer Kelly's Heroes, because the good guys get the gold.

Sat, 03/23/2013 - 16:39 | 3366562 HD
HD's picture

"...where a random burglary will not ruin your life?"

I don't think most ZHers are worried about burglary - but God do we need some water safety courses - think of all the unfortunate boating accidents.

Sat, 03/23/2013 - 21:06 | 3367341 pods
pods's picture

Funny but the water closest to me has natural heavy metal (au) contamination.


Sat, 03/23/2013 - 17:08 | 3366643 Antifaschistische
Antifaschistische's picture

When does a haircut become scalping?

Sat, 03/23/2013 - 17:31 | 3366720 Urban Redneck
Urban Redneck's picture

Only if your field of vision is limited to the Teller's windows.  There are a whole bunch of members of the club who are getting the exact opposite message from the Troika, bank wherever you want, we'll fuck the peasants (and non-member oligarchs) day and night to keep your balance sheet and (most of) your bonus whole.

Sat, 03/23/2013 - 18:06 | 3366851 Banksters
Banksters's picture

Ukip urges Brits to withdraw their money from Spanish banks Nigel Farage has urged British expatriates in Spain to pull their money out of the country’s banks.


TALLY HO, Bitchezzz!

Sat, 03/23/2013 - 15:44 | 3366394 Future Tense
Future Tense's picture

Do not forget about Japan, which is once again being forgotten as a concern now that Europe is back in the spotlight. With most of their bond market held domestically and their years of high savings rates, there is an enormous pool of capital waiting for either capital controls or confiscation:

Sat, 03/23/2013 - 15:58 | 3366427 DoChenRollingBearing
DoChenRollingBearing's picture

If you have not read it yet, check out the new ZH article in Japan:

Sat, 03/23/2013 - 16:02 | 3366438 Cdad
Cdad's picture

Millions of Japanese folks holding the country's bonds don't need to be worried about confiscation.  They need to be worried about the biggest arbitrage/crash trade of all time.  Hedge funds have been lining up for decades to punish those folks, and said hedge funds are about to have their day in the sun.

Sat, 03/23/2013 - 15:56 | 3366423 ChrisFromMorningside
ChrisFromMorningside's picture

Europeans live off debt. If they actually had to live off of their productive labor, they wouldn't enjoy the quality of life they do. With the exception of the remaining big industrial exporters (Germany and the junior Germanies), the Eurozone economies produce very little but the people have grown accustomed to a certain qualify of life that they "deserve", and the politicos and banks will do everything possible to accomodate that ... up to and including insane debt levels and 50%+ unemployment. The whole thing is a farce.

The "developed" and "developing" economies are converging. That is very bad news for Spaniards who think they merit and will receive $40,000 a year salaries for the rest of time, along with generous leisure time and strict union protection. It will probably end up being great news for those people who actually produce the junk the world consumes, who actually grow the food the world eats, you know, those old fashioned people who still believe in productive labor and who mostly reside in the "developing world" and a few pockets of the First World. 

Free markets renumerate free productive labor. Government-controlled economies and financier monopolies reward entitled, privileged social groups while stealing from the productive.  

Sat, 03/23/2013 - 16:20 | 3366493 machineh
machineh's picture

Need some clarification on those charts above.

If deposits are not above $100K (black portion of bar), then why are they 'non eligible' (blue portion of bar)?

Might be important to the 'ineligibles,' whoever they are.

Sat, 03/23/2013 - 16:28 | 3366528 Mordenkainen
Mordenkainen's picture

I think that means, not eligible for the "levy".

Sat, 03/23/2013 - 17:02 | 3366606 Pseudo Anonym
Pseudo Anonym's picture

that chart is misleading in not just one aspect.  it is misleading because some of the countries noted, at least to my knowledge, have their own currencies, not euro; thus, it is not clear if the "ineligibles" are deposits in their own local currency or in euro.  if those are not euro deposits in non-euro countries then the point of this article was sorta miss

Sat, 03/23/2013 - 17:30 | 3366724 Day_Of_The_Tentacle
Day_Of_The_Tentacle's picture

Well - first - I know that at least one of the countries you are talking about, have politicians who are more European than their own nationality, and they have been so enamoured with the thing, that they have joined the fiscal compact or whatever it is called administratively without a vote even if the country is not a member of the Euro. This means that EU can empose penalties on said country, if its finances becomes more strained. And believe me it will, when the biggest banks start falling.

Second - a bankrun doesn't care which currency is in play, because the banks are so intertwined that, when the dominoes start falling, the currencies in play does not matter much.

What matters is the interlinkedness of the financial mushroom clouds and the news covering them.


Sat, 03/23/2013 - 18:22 | 3366897 machineh
machineh's picture

Here is a hint from the U.S. FDIC about those 'non-eligible deposits':

Financial firms such as insurance companies and mutual-fund companies are able to join the payments system in certain countries, which allows such companies to offer products with the characteristics of traditional deposits. 

Countries take different approaches toward the issue of membership for non-bank financial companies—finance companies, credit unions and cooperatives, for example—that offer deposits and deposit-like products and are subject to an appropriate level of prudential supervision.  

There are many cases where non-bank financial institutions are not eligible for membership.  The most common reason for excluding these institutions is that they are subject to less stringent supervisory standards.  For some countries, a different governmental authority licenses non-bank financial institutions.  In such cases, extending membership may lead to constitutional or political issues that are difficult to overcome.  Some countries have addressed this problem by establishing a separate insurance system or fund.

Link to Word document at FDIC:

So in other words, we're talking about the non-bank financial sector, and some of the Shadow Banking system as well. 

Evidently, in some countries like Italy, it's 'u-u-u-uge' (as the French like to say).

Sun, 03/24/2013 - 07:32 | 3367870 imapopulistnow
imapopulistnow's picture


A great post.  Wish more people shared your understanding.

Sat, 03/23/2013 - 17:19 | 3366688 Dugald
Dugald's picture



Sat, 03/23/2013 - 20:00 | 3367183 TWSceptic
TWSceptic's picture

"Europeans live off debt."

Who doesn't? The US is even worse.

Sun, 03/24/2013 - 05:04 | 3367793 bunnyswanson
bunnyswanson's picture

Outsourcing has taken place in other countries besides the US.  The impact has been profound on blue collar works as tech and factory work leave and the money just stops flowing.  There are firms specifically designed to take jobs to cheap labor.  Globalization is leaving the middle class high and dry.  

The way one is accustomed to living is one that is found in a 1st world nation in a job which pays a wage that provides a way of living...on the good side of town.  On a scale of wage earners in specific industries, So what?  Got a problem with that?  or do workers have no rights.  

  The jobs dried up just when the US credit extension of biblical proportions ended.  What do ya know...this is a banker's game, ruin the customer financially and laugh all of the way to the bank.  Then start all over again.

"Outsourcing incentives are huge - and can lead to falls in service costs of 50-60%. Up to half of the $19 trillion spent every year by European companies on sales and administration could be outsourced. Despite the publicity, outsourcing is most often to companies in the same nation - for example ISS employs over 500,000 local people in catering, buildings maintenance, facilities management, cleaning and security for hospitals, schools, government buildings, factories and offices."


Sat, 03/23/2013 - 16:04 | 3366443 Silver Bug
Silver Bug's picture

Keep only what you "need" in the banking system, get real assets like gold and silver. They are not to be trusted!!

Sat, 03/23/2013 - 16:25 | 3366517 Sudden Debt
Sudden Debt's picture

to the letter!

Sat, 03/23/2013 - 16:43 | 3366573 formadesika3
formadesika3's picture

Happy birthday!

You're no longer in your 'terrible-twos'.

(You can stop your flailing now.)

Sat, 03/23/2013 - 17:34 | 3366735 Kirk2NCC1701
Kirk2NCC1701's picture

Fine for 'home-bodies'. For those who travel abroad, having foreign cash, etc. needs to be added to this list. If you got bucks, you don't need to be told about corporations or trusts.

Sat, 03/23/2013 - 17:47 | 3366786 Scro
Scro's picture

Dust in the wind.

Sat, 03/23/2013 - 23:53 | 3367593 pods
pods's picture

How the fuck can someone ding that one?

Sorry Scro,  

Welcome and +1!


Sat, 03/23/2013 - 22:45 | 3367520 Buck Johnson
Buck Johnson's picture

They can't keep the game going anymore, time to kill this monster.

Sat, 03/23/2013 - 23:45 | 3367580 deKevelioc
deKevelioc's picture

Haircut, the latest euphemism for theft.  Who comes up with this crap?  I remember when Dukakis came up with "revenue enhancements" to replace the word, "taxes."  

I wonder if the Russians will enjoy their haircuts?  Let's see how many of these clowns are willing to face the KGB for this cabal of banker sociopaths.  You see, Mr. Putin is an honest man and always generously repays acts of kindness. 

Sat, 03/23/2013 - 15:42 | 3366385 maskone909
maskone909's picture

They took our jobs!

Sat, 03/23/2013 - 15:46 | 3366397 bagehot99
bagehot99's picture

What difference does it make if deposits are uninsured? It seems the distinction only matters if the guarantor is solvent, and nobody involved in this fucking fiasco is solvent. Including the United States. 

Sat, 03/23/2013 - 16:05 | 3366445 Grimbert
Grimbert's picture

No but the Fed or BoE can lend the money into existence, unlike the Cyprus central bank who get Nein from the ECB.

Theft by inflation instead.

Sat, 03/23/2013 - 16:21 | 3366503 Renewable Life
Renewable Life's picture

There is a limit, ask the people of Zimbabwe!!

Sat, 03/23/2013 - 19:20 | 3367080 yogibear
yogibear's picture

Bernanke and the Fed admire how quickly Zimbabwe's stock market shot up when their currency crashed.

The Fed also admire's Zimbabwe's hyperinflation, although the US government would hide it by cooking the numbers.

Sat, 03/23/2013 - 16:16 | 3366486 G_T_A_44
G_T_A_44's picture


Sat, 03/23/2013 - 15:51 | 3366411 Jason T
Jason T's picture

put my money in RMB bitchez.  That's the winning currency.  

Sat, 03/23/2013 - 16:24 | 3366512 Sudden Debt
Sudden Debt's picture

I surely hope you're joking. otherwise, get out of that position asap.
You'll lose 20% this year alone.

Sat, 03/23/2013 - 15:51 | 3366412 WTFRLY
WTFRLY's picture

Either way, the dominoes have started to fall again and Troika is burning up what political will is left to deal with the situation. The next event will be the one that makes the Euro breakup inevitability apparent to the ones who don't see it.

Sat, 03/23/2013 - 15:53 | 3366417 fonzannoon
fonzannoon's picture

when is the ecb going to go full blown QE so I can get back to watching the tournament?

Sat, 03/23/2013 - 16:02 | 3366429 Monedas
Monedas's picture

Fiat in a bank = nakedness !  Fiat in mattress = figleaf ! Gold in a hole = fully clothed !

Sun, 03/24/2013 - 01:12 | 3367685 Seize Mars
Seize Mars's picture

Skimming your post I stopped and read it because I thought it said "glory hole," but realized it didn't say that, so I just moved on.

Sat, 03/23/2013 - 16:01 | 3366432 bonzo112358
bonzo112358's picture

Worlds biggest bank run is about to begin (if it hasn't already).  If these leaders think that people in other countries (including ours) will not pull out money they are seriously mistaken.  Congrats to Iceland for not going down this road.  I'm sure they are laughing at the bailout after bailout that doesn't work.  Maybe time to convert to some dollars to Krona?

Sat, 03/23/2013 - 16:16 | 3366484 Crash Overide
Crash Overide's picture

Does their greed blind them to the fact that if they keep talking about capital controls and haircuts within two weeks bank runs around the world will expose the mass insolvency they are trying to hide? It's like they are trying to bring it down, order out of chaos here or just dumb shits at work here?    *scratching head*

Sat, 03/23/2013 - 16:02 | 3366437 Grimbert
Grimbert's picture

What I find remarkable on graph 2 is the total amount of deposits in LU, MT, IT and UK that are not insured at all. Like over 80%. What does the graph include? It can't just be bank/building society/credit union money.


Sat, 03/23/2013 - 16:09 | 3366442 TomGa
TomGa's picture

"If this is successful [Cypriot deposit levy] then it will be used in the future," said the dejected official, predicting Spanish and Italian banks could face similar levies. "If this is not successful then who cares about Cyprus.""

Sat, 03/23/2013 - 16:11 | 3366470 knukles
knukles's picture

Right attitude by the Minister of Feeling Good About Society And Ourselves....

"... who cares about Cyprus"

Jesus H Fucking Christ!



This is the Real Lunatics Taking Over The Asylum!

Sat, 03/23/2013 - 17:14 | 3366666 max2205
max2205's picture

M&T bank. Crapitol one. Ect.  lol

Sat, 03/23/2013 - 16:04 | 3366444 Totentänzerlied
Totentänzerlied's picture

Unsecured depositors of the world unite, you have nothing to lose but your bank liabilities ... and privileged debt-and-oil-enabled existence!

Sat, 03/23/2013 - 16:08 | 3366456 worbsid
worbsid's picture

Wasn't it about a year or so ago that Bank of America transfered all their derivative exposure to the depositors of the regular bank from their investment bank?  I believe, should the investment bank be called on derivatives, the money deposited in the regular BOA bank will be taken to pay the derivative exposure kinda like MF Global. So we took our money out of BOA. It wasn't making any interest anyway.

Sat, 03/23/2013 - 16:18 | 3366489 knukles
knukles's picture

When ML was crammed down on BoA, there was a deal written into Fed regulations that very few remember.
That is, that the parent company (in this case BoA) can "downstream" any borrowings from the Fed to any affiliate (in this case ML) for any reason.

So regardless, the deposit base is at risk for any amounts over an insurance cap.  Assuming the cap is honored.  Which is likely as it's Full Faith and Credit and in past cases, never really needed.. as there have not usually been US wholesale runs on the failed banks. 
Yeah, IndyMac photos, etc.  Somebody always panics... but there have never been stupid shit like the EU proposed about levies.. and thus, no runs.
Now that's just recent history
Who knows what dumb ideas lurk in the hearts of people.

And talk about ignoring the canary ion the coal mine....

Nobody's been talking about US money market fund exposure to European Banks.


Sat, 03/23/2013 - 16:41 | 3366569 fonzannoon
fonzannoon's picture

Shit knuckles I was reading they were going to crack those money markets open just for fun, see if they could shove that money into the market. Now they will just crack open the hard way and send everyone running the wrong way. I am amazed at the stupidity of this whole thing/.


Sat, 03/23/2013 - 17:04 | 3366633 W74
W74's picture

Removed mine in April 2012.  Been almost a year and I don't miss those bastards one bitcoin.

Sat, 03/23/2013 - 16:09 | 3366465 Seasmoke
Seasmoke's picture

I wonder if Bernanke is enjoying his weekend

Sat, 03/23/2013 - 16:10 | 3366467 Atomizer
Atomizer's picture


It is easier to remove the cancer first. If you believe the cancer resides within the isolated banking sector, go to plan A. If you cannot save the bank, go to plan B. Plan B will point you to central planners policies and the insolvent Central Banking expansion. I’ll let you discover the truth.  

Just a bit of advice to salivate over.. 


Sat, 03/23/2013 - 16:12 | 3366474 dojufitz
dojufitz's picture

If there are massive bank runs....will interest rates go up?

Sat, 03/23/2013 - 16:20 | 3366502 Atomizer
Atomizer's picture

Uncle Ben has no QE exit strategy. Bank runs will be his new blame game to overt deflationary measures by jacking up interest rates.

Sat, 03/23/2013 - 16:21 | 3366506 Sudden Debt
Sudden Debt's picture

not if the banks only give 100 euro's a day max. than rates may even go down if capital controls are tight.

Sat, 03/23/2013 - 16:21 | 3366507 knukles
knukles's picture

On what?
treasuries... nope, gonna fall
low grade stuff... rise

It all depends

The Central Banks of the World will Flood New Money on an Infinite Basis.
What else is new?

Sat, 03/23/2013 - 16:58 | 3366618 formadesika3
formadesika3's picture

Somebody junked you. Prolly on your treasuries remark. It was too logical.

Sun, 03/24/2013 - 11:12 | 3368384 hooligan2009
hooligan2009's picture

if there are massive bank runs, it won't matter what interest rates won't have any money to earn any interest...

Sat, 03/23/2013 - 16:19 | 3366492 razorthin
razorthin's picture

I don't feel secure about any deposits.

Sat, 03/23/2013 - 17:16 | 3366675 Atomizer
Atomizer's picture

I don't feel secure about any deposits.

That’s what all women say when you promise to pull out.

Sat, 03/23/2013 - 20:41 | 3367279 Terminus C
Terminus C's picture

ur doin it wrong...

"That's what she said"


Sun, 03/24/2013 - 11:11 | 3368378 hooligan2009
hooligan2009's picture

"checks in the mail" and "i won't come in your mouth"

Sat, 03/23/2013 - 16:19 | 3366495 lolmao500
lolmao500's picture

So...  the bigger the socialist paradise, the less insured? What a surprise!

Sat, 03/23/2013 - 16:24 | 3366511 knukles
knukles's picture

In socialist worker paradise nobody need you guarantee.
Big brother take care of you good from cradle to grave
Everything free

Listen... this is the dream of socialism
Everybody shares in the country's riches, nobody need more than the other guy, everybody is equal...

Sat, 03/23/2013 - 16:28 | 3366519 lolmao500
lolmao500's picture

I wonder what the rate of uninsured in Canada is... after all, it's quite a big socialist paradise. Two of my friends work in the banking system across Canada in two different provinces and banks... and guess what, people are not withdrawing their money... in fact, they are even putting more in...

Canadians are as clueless as Cypriots were 2 weeks ago.

Sat, 03/23/2013 - 17:02 | 3366630 W74
W74's picture

Whatever happened to the Canadian housing bubble I keep hearing about.  Soft landing or are they just letting the bubble fly in the wind after blowing it up?  ...Pop.

Sat, 03/23/2013 - 17:24 | 3366702 Diogenes
Diogenes's picture

As a Canadian real estate investor I have been waiting for the bubble to pop since 2007. Still waiting.

Sat, 03/23/2013 - 17:52 | 3366803 Kirk2NCC1701
Kirk2NCC1701's picture

Strongly suggest ppl do their home and see which countries did NOT buy up oodles of toxic US assets. Then you'd see that it includes Canada, India, Germany...

Whatever 'debt' they have is mostly internal -- toward each other. Hence, no external triggers as a forced move. In Canada, the 6 largest banks fail only if the entire country collapses. Asteroid, anyone?

But I AM curious on the stats of the Big 6 (RBC, TD, CIBC, BMO, SCOTIA). I see that HSBC is already on the list, but might be legally firewalled from the rest.

Sat, 03/23/2013 - 18:32 | 3366928 lolmao500
lolmao500's picture

Get real, the Canadian housing market will collapse as soon as the reality hits the US... then it'll only get worse from there as a lot of mortgages are insured with the government... the government will basically bail out the banks...

Sat, 03/23/2013 - 20:48 | 3367298 Terminus C
Terminus C's picture

Pulled a bunch out today.  The people I know think "all is well".  I try to get them to look at the data but they tend to believe the meme.  Had a conversation with a co-worker on Thursday and his response to the Cyprus events was that they deserved to be robbed because, "if you live beyond your means for too long you have to pay sometime".  He did not understand that the people were not the ones who lived beyond their means, but rather the banks.

People I know, for the most part, don't see "it" coming.  I leave them to their beliefs and do what I can to protect myself.


P.S. most Canadians don't believe we are in a housing (and credit) bubble.  They tell me that real estate is a good investment because look at how much it has gone up from twenty years ago...  They don't understand that this is a representation of inflation rather than an increase of value.

Sun, 03/24/2013 - 08:30 | 3367929 BurningFuld
BurningFuld's picture

I moved a bunch of Money from BMO to our local Credit Union. BMO made a giant stink about much so I'm getting everything out of there. They rank at the bottom of the big six and have a ton of US exposure with their Harris Bank in the US. TD is another one to be very careful of...very big US exposure. Our local Credit Union simply does not lend outside our area. And despite the entire world collapsing our area has yet to see a whiff of it.

Sat, 03/23/2013 - 16:19 | 3366496 nicoacademia
nicoacademia's picture

money under your bed is the safest.


interest rate? who's going to pay you and with what?

Sat, 03/23/2013 - 17:57 | 3366828 Kirk2NCC1701
Kirk2NCC1701's picture

Again, depends. On how much you got and how mobile you like or need to be. Plan accordingly.

Sat, 03/23/2013 - 16:20 | 3366498 monopoly
monopoly's picture

And no one else seems to care. I can hardly find any reports on this in the MSM. Why am I NOT surprised.

Sat, 03/23/2013 - 16:35 | 3366545 sunny
sunny's picture

I agree completely.  I see MSM doing the happy dance.  We have a soaring US market.  A quick check of Europe and most of them are doing well, too.  I have no idea what is going on.  People tell me that the markets cannot be manipulated forever, yet I see that printing gets close enough to "forever" that it doesn't really matter.  I for one am getting pretty sick of hearing various bearish gurus telling me "this will not end well".  So what will happen first, the mythical bond vigilantes will attack, the central banks will admit the error of their ways or the sun will go dark?


Sat, 03/23/2013 - 16:20 | 3366500 Sudden Debt
Sudden Debt's picture

Get the hell out of Belgium to. The new crisis taxes will soon be implemented and the government has also decided to make a inventory of all private accounts. And as it's also been mentioned for a entire year now: all that money in ordinairy savings accounts should be put to better use as they only collect 1% interest per year and a lot of those savings accounts lay dormant.

dormant.... yeah... if you're saving money the government will take care of you so you'll get bigger interest returns if they buy state bonds with them so you'll get about 3%... and for the full amount? they'll surely repay it when needed... unless you die, than your kids get half of the money... 45% to be exact....

Sat, 03/23/2013 - 17:06 | 3366641 formadesika3
formadesika3's picture

Gerard Depardieu got the memo early. Learned he wasn't Belgian after all. He discovered he had a Russian grandmother.

Sat, 03/23/2013 - 17:42 | 3366765 are we there yet
are we there yet's picture

Is a Kenyan puppet a Kuppet?

Sat, 03/23/2013 - 18:12 | 3366870 formadesika3
formadesika3's picture

Could be could be. But I heard the babushka's name is Putain.

Sat, 03/23/2013 - 16:21 | 3366504 nicoacademia
nicoacademia's picture

pro-socialists must be enjoying the levy.

Sat, 03/23/2013 - 16:41 | 3366567 booboo
booboo's picture

Yep, it's all fun and games until a socialist loses an eye. Of course the same reality will gob smack the button pushers when some 12 dollar an hour kid slaps the horse on the ass that he is sitting on with a rope around his neck while "Everybody Wants to Rule the World" plays in the background.

Sun, 03/24/2013 - 07:56 | 3367893 spankfish
spankfish's picture

+1 for using "gob smack".

Sat, 03/23/2013 - 16:32 | 3366540 ziggy59
ziggy59's picture

The fact that LCS dont have Cyprus like lines, or longer, like its Black Friday Night Eve, you know the save 5 bux on some electronic gizz(or is it jizz?) 2 a.m., means the sheeple couldnt care less and are stupified into being slaughtered when the shitsorm arrives here.

Sat, 03/23/2013 - 16:35 | 3366547 q99x2
q99x2's picture

But its backed by the Government.


The Government is there to kill you. Fool.

Sat, 03/23/2013 - 16:36 | 3366554 JR
JR's picture

‘Euro is a house of cards waiting to topple’- Nigel Farage | RT (Russia Today) | March 22, 2013

According to Nigel Farage, leader of the UK Independence Party, northern EU leaders realize they risk vast losses if they allow Cyprus, Greece or any other southern member to fail. To prevent this, they have resorted to extreme measures - even theft.

RT: Every bailout comes with strings attached. But can Cyprus afford the price the EU has set?

Nigel Farage: What is really happening here is we are having a reconcilable split between the North and the South of Europe. In the North of Europe – Germany, the Netherlands, and Finland – there are very strong political voices saying “We do not want to go on bailing out southern European countries.” And bear in mind that Cyprus is now the fifth country out of 17 that has needed to be bailed out. And that is why the Germans extracted the terms that they did. But I must say that even in my direst predictions in this parliament over the years about the way the EU bosses were behaving, never did I think that they would in a completely unprecedented manner resort to stealing money from people’s bank accounts.

RT: But is that because Europe can’t afford Cyprus to fail?

NF: Well, It can’t afford Cyprus to fail, it can’t afford Greece, Portugal, Spain or Ireland to fail. They know that once one country goes the whole deck of cards will come tumbling down. And countries like Germany will realize absolutely vast losses – possibly as much as one trillion euros

So, they are prepared now to do literally anything to try to keep the Euro afloat. And that is why they have now resorted to what can only be described as theft.

Now they’ve done it in one country, they are quite capable of doing it in Italy, Spain, Portugal, or anywhere else.

And the message that sends to people who have got savings in banks in those countries – certainly if I was them is “get your money out while you can.”  

RT: In 2010, almost twice as much British money went to Cyprus as transfers from Russia - according to the country's official website. Haven't you got a responsibility to safeguard your constituents’ interests there?

NF: The government has had nothing to say on that subject whatsoever. And what the government ought to do is to help the British people living down there – mostly pensioners.

But what the British government needs to do is to say to the hundreds of thousands Brits that are living Southern Spain, that “For goodness sake, get your money out of that country and have a monthly transfer to pay your bills. And that is what I’d like to see [Britain's Chancellor of the Exchequer] George Osborne do in budget statement in the House of Commons tomorrow.

RT: And what sort of message is this sending to foreign investors? Essentially, are not they being taxed to cure a crisis they had no part in causing?

NF: Don’t invest in the Eurozone! Do not invest anywhere in Eurozone. You’ve got to be mad to do so, because it’s now run by people who don’t respect democracy, who don’t respect the rule of law, who don’t respect the basic principles upon which western civilization is supposed to be based...

Sat, 03/23/2013 - 17:19 | 3366687 ThirdWorldDude
ThirdWorldDude's picture

"NF: Don’t invest in the Eurozone! Do not invest anywhere in Eurozone."


I.e. Come to Daddy, invest in The City (at your own peril). 

Sat, 03/23/2013 - 17:34 | 3366731 css1971
css1971's picture

Farage was a City trader (commodities) in a previous life. His view of the City may be slightly more rose tinted than those on the outside.

Sun, 03/24/2013 - 02:47 | 3367736 Non Passaran
Non Passaran's picture

Did he actually say that or you're making shit up?

And besides, even if he did, so what? His constituents wouldn't mind. More money, more jobs for them. 

Sat, 03/23/2013 - 18:09 | 3366862 Kirk2NCC1701
Kirk2NCC1701's picture

NF isn't saying anything that he could not have learned on this site. E.g., I stated weeks ago, that there is or should be a Northern and Southern Euro.
I believe I was also the first suggest that the Russians/Gazprom get together with the Cypriots on a Natgas plus Naval base deal.

Nazdrovje, RT.

Sat, 03/23/2013 - 19:41 | 3367135 disabledvet
disabledvet's picture

"It was Spain's idea." I blame exceedingly complex dance routines myself.

Sat, 03/23/2013 - 16:46 | 3366590 americanspirit
americanspirit's picture

By definition - if your assets are in a bank, they are not secure. Does anyone in the US think the FDIC could withstand a major bank crash? And of course we already know that safe deposit boxes are not safe. Sure if you have assets at home properly hidden they aren't totally safe either, but at least you get to put a 12 ga. smack into the face of the guy who's coming to rob you of your assets. With bankers, your money's gone and so are they.

Sat, 03/23/2013 - 18:33 | 3366936 Kirk2NCC1701
Kirk2NCC1701's picture

It's also relative. As long as you choose to or have to keep a bank account, I'd bank with the one most likely to be the Last Man Standing.

Squeal, hitch, moan or whine all you want, all I want, fact is... As long as there is a Fed, there will be JPM. Adapt accordingly.

Sat, 03/23/2013 - 16:47 | 3366592 Jorgen
Jorgen's picture

I don't see Poland on the first graph. Anything special with that country?

Sat, 03/23/2013 - 16:51 | 3366611 Grimbert
Grimbert's picture

They use the zloty. 

Sat, 03/23/2013 - 16:58 | 3366619 Pseudo Anonym
Pseudo Anonym's picture

the czechs (cz) use koruna, what's so special about them?

Sat, 03/23/2013 - 17:05 | 3366635 Grimbert
Grimbert's picture

CZ isn't on the first graph.

Sat, 03/23/2013 - 19:13 | 3366652 Jorgen
Jorgen's picture

By first graph I meant Figure 1. CZ(ech Republic) is there but not Poland (or Lithuania for this matter). Poland and Lithuania are the only E.U. countries left out on this graph (Fig. 1). Is there a reason for this?

Sat, 03/23/2013 - 19:31 | 3367107 akak
akak's picture

Why do English speakers (and many others besides) refuse to use the proper name of the country?

It is properly "Czechia", NOT "The Czech Republic".

Nobody talks about "The Italian Republic" or "The Hungarian Republic" or "The Swiss Republic", so why do so many append the word "Republic" to the name of this nation in this one particular case?

Sat, 03/23/2013 - 20:57 | 3367315 Pseudo Anonym
Pseudo Anonym's picture

i think you're right.  i heard germans and the dutch calling that country czechia, tschechia, or something like that

Sun, 03/24/2013 - 02:44 | 3367735 Non Passaran
Non Passaran's picture

Sorry, but that didn't take off.

In 1993, the Czech Ministry of Foreign Affairs suggested the name Czechia ... however, this has not become widespread in English.

Why didn't they suggest Bohemia? Instead they come up with these weird names. Like Myanmar. Who the fuck can remember that? 

Sat, 03/23/2013 - 17:06 | 3366638 Jorgen
Jorgen's picture

I know but the graph is not just for Eurozone. It has Bulgaria (BG), Hungary (HU) and Romania (RO) for example, countries that do not use euro for their national currency.

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