This page has been archived and commenting is disabled.

Largest Bank In America Joins War On Cash

Tyler Durden's picture




 

The war on cash is escalating. Just a week ago, the infamous Willem Buiter, along with Ken Rogoff, voiced their support for a restriction (or ban altogether) on the use of cash (something that was already been implemented in Louisiana in 2011 for used goods). Today, as Mises' Jo Salerno reports, the war has acquired a powerful new ally in Chase, the largest bank in the U.S., which has enacted a policy restricting the use of cash in selected markets; bans cash payments for credit cards, mortgages, and auto loans; and disallows the storage of "any cash or coins" in safe deposit boxes.

 

Buiter defended his "controversial" call for a ban on cash, as Bloomberg reports:

“The world’s central banks have a problem. When economic conditions worsen, they react by reducing interest rates in order to stimulate the economy. But, as has happened across the world in recent years, there comes a point where those central banks run out of room to cut — they can bring interest rates to zero, but reducing them further below that is fraught with problems, the biggest of which is cash in the economy.

 

In a new piece, Citi’s Willem Buiter looks at this problem, which is known as the effective lower bound (ELB) on nominal interest rates. Fundamentally, the ELB problem comes down to cash. According to Buiter, the ELB only exists at all due to the existence of cash, which is a bearer instrument that pays zero nominal rates. Why have your money on deposit at a negative rate that reduces your wealth when you can have it in cash and suffer no reduction? Cash therefore gives people an easy and effective way of avoiding negative nominal rates. Buiter’s note suggests three ways to address this problem:

  1. Abolish currency.
  2. Tax currency.
  3. Remove the fixed exchange rate between currency and central bank reserves/deposits.

Yes, Buiter’s solution to cash’s ability to allow people to avoid negative deposit rates is to abolish cash altogether. (Note that he’s far from being the first to float this idea. Ken Rogoff has given his endorsement to the idea as well, as have others.)

 

Before looking at the practicalities of abolishing currency, we should first look at whether it could ever be necessary. Due to the costs of holding large amounts of cash, Buiter puts the actual nominal rate at which the move to cash makes sense as closer to -100bp. So, in order for a cash abolition to become necessary, central banks would need to be in a position where they wished to set nominal rates much lower than that.

 

Buiter does not have to go far to find an example of where a central bank may have wanted to set interest rates much lower to -100bp. He uses (a fairly aggressive) Taylor Rule to show that Federal Reserve rates should have been as low as -6 percent during the financial crisis.”

As mentioned above, no meddling by a central bank is ever too extreme or too crazy for Mr. Buiter.

But now the banks themselves are getting involved, (as Mises' Joseph Salerno notes),

The war against cash has, up to now, been waged almost exclusively by national governments and official international organizations, although there are exceptionsNow the war has acquired a powerful new ally in Chase, the largest bank in the U.S. and a subsidiary of JP Morgan Chase and Co., according to Forbes, the world's third largest public company.

 

Of course , it is hardly surprising that a crony capitalist fractional-reserve bank, which received $25 billion in bailout loans from the U.S. Treasury, should want to curry favor with its regulators and  political masters and, in the process, ensure its own stability by helping to stamp out the use of cash.  For the very existence of cash places the power over fractional-reserve banks squarely in the hands of their depositors who may withdraw their cash in any amount and at any time, bringing even the mightiest bank to its knees literally overnight (e.g., Washington Mutual).

 

What is a surprise is how little notice the rollout of Chase's new policy has received.

  • As of March, Chase began restricting the use of cash in selected markets, including  Greater Cleveland.
  • The new policy restricts borrowers from using cash to make payments on credit cards, mortgages, equity lines, and  auto loans.
  • Chase even goes as far as to prohibit the storage of cash in its safe deposit boxes .  In a letter to its customers dated April 1, 2015 pertaining to its "Updated Safe Deposit Box Lease Agreement,"  one of the highlighted items reads:  "You agree not to store any cash or coins other than those found to have a collectible value."  Whether or not this pertains to gold and silver coins with no numismatic value is not explained. 

As one observer commented:

 

This policy is unusual but, since Chase is the nation's largest bank, I wouldn't be surprised if we start seeing more of this in this era of sensitivity about funding terrorists and other illegal causes.

 

Bet on it.

As we previously concluded,

We keep being bombarded by moves to restrict the use of cash and demands to ban it altogether. These demands seem to mainly revolve around two arguments:

 

one is that “only criminals need cash”, which is on a par with the absurd assertion that we should all be fine with Stasi-like ubiquitous government surveillance “if we have nothing to hide”.

 

The other one is that a cash ban would make life easier for the central planners who are actively undermining the economy with their policy of debasement.

 

We would argue that central banking and fiat money have done more than enough harm already and that the eradication of financial privacy has gone way too far. Money and banking should be freed from the clutches of government-directed monopolization and cartelization and should be returned to the free market.

*  *  *

In short, things in the already insane monetary realm are about to get a whole lot insane-er. But don't worry, the central banks are in full control.

 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thu, 04/23/2015 - 19:31 | 6024192 Government need...
Government needs you to pay taxes's picture

Holding cash is hardly 'out of the system'.  And the Fedcoats already showed (back in the 1930s) they can and will take gold.  Bricks and bullets, that's the ticket.

Fri, 04/24/2015 - 02:14 | 6025116 Icelandicsaga.....
Icelandicsaga...............................................'s picture

In this day and age. .how many people would be stupid enough to turn in their gold or silver.. no one I know. .so Molan Labe. Coins .. my grandfather kept all of his .. still have some of them. IF things get bad .. really bad.. govt. will become something you ignore .. irrelevant.. the farther away from cities you get the more likely that is to happen.

Thu, 04/23/2015 - 19:16 | 6024151 petroglyph
petroglyph's picture

WTf happened to "all debts public and private"? Now I can't even use fiat bucks to pay back my fiat loan. Cool.

Thu, 04/23/2015 - 20:06 | 6024320 espirit
espirit's picture

Try Pandas.

Thu, 04/23/2015 - 19:17 | 6024154 Atomizer
Atomizer's picture

Chase this twats

 

 


……..…../´¯/)……….. (\¯`\
…………/….//……….. …\\….\
………../….//………… ….\\….\
…../´¯/…./´¯\………../¯ `\….\¯`\
.././…/…./…./.|_……_| .\….\….\…\.\..
(.(….(….(…./.)..)..(..(. \….)….)….).)
.\…………….\/…/….\. ..\/……………./
..\…………….. /……..\……………..…/
….\…………..(………. ..)……………./
Thu, 04/23/2015 - 19:40 | 6024226 NYPoke
NYPoke's picture

Who run Bartertown?

Thu, 04/23/2015 - 20:15 | 6024349 drendebe10
drendebe10's picture

"Break a deal.  Face the wheel!"   Tina Turner

Thu, 04/23/2015 - 19:19 | 6024157 Jonesy
Jonesy's picture

Fuck Chase.  Fuck the Jewnited States entirely.

Thu, 04/23/2015 - 19:21 | 6024162 davidalan1
davidalan1's picture

They just feel guilty constantly seeing..."FEDERAL RESERVE NOTE" at the top...lol   based on good faith, backed by NOTHING..but MIC

Thu, 04/23/2015 - 19:22 | 6024164 Uber Vandal
Uber Vandal's picture

OT, but in line with this:

https://www.yahoo.com/autos/s/gm-ford-others-want-working-own-car-illega...

It’s called the Digital Millennium Copyright Act (DMCA). It’s been around since 2000 and started as anti-Internet piracy legislation. But automakers want to use it to try and make working on your own car illegal. Yes, illegal. The general premise is that unlike cars of the past, today’s vehicles are so advanced and use such a large amount of software and coding in their general makeup, altering said code could be dangerous and possibly even malicious.

 

 

 

 

Thu, 04/23/2015 - 19:56 | 6024277 Usura
Usura's picture

But they are right.  Altering said code is dangerous and possibly malicious.  Just ask Lady Diana.

 

Or check out "Boston Brakes"

Thu, 04/23/2015 - 19:25 | 6024178 phoolish
phoolish's picture

Doesn't it say "Legal Tender for ALL DEBTS PUBLIC and PRIVATE?"

 

Revoke their charter.

Thu, 04/23/2015 - 19:33 | 6024197 Joebloinvestor
Joebloinvestor's picture

Like Animal House, expect that to suddenly read,"For most debts public and private"

Then be very afraid.

Thu, 04/23/2015 - 21:15 | 6024553 bid the soldier...
bid the soldiers shoot's picture

I've been very afraid for 6 years.  What do I do now?

Thu, 04/23/2015 - 19:26 | 6024180 kowalli
kowalli's picture

take your money out of banks -simple at least now...

Thu, 04/23/2015 - 20:08 | 6024326 espirit
espirit's picture

Lost mine in a boating accident.

Thu, 04/23/2015 - 19:28 | 6024184 Sith1122
Sith1122's picture

The author forgot to mention the convenience fees the banks charge when you pay electronically or with a check. My mom discovered this when they increased the fees for payment and she decided to drive to the local branch cash in hand and was shocked they refused the payment

Thu, 04/23/2015 - 19:32 | 6024196 Cannon Fodder
Cannon Fodder's picture

I thought cash was "legal tender" (?) and HAD to be accepted for payment of services when offered?

If I were to walk in and offer cash for my mortgage and they did not accept it, does that mean they refused payment on a bill and thus I do not owe that months payment?

Seems like that will come back to haunt them some how. (well of course they do get to make the rules, so I guess not).

Fri, 04/24/2015 - 05:45 | 6025242 Urban Redneck
Urban Redneck's picture

Different Issues, and muddied waters.

Payment for goods and services and settlement of a debt are very different.

State law generally dictates constraints on transaction terms (exlcuding banking transactions)

But yes, you could (pay lots of fees in order to) go into a Court and present evidence to that Court that you are indebted to another Party, and then pay FRNs to the Court which would then pay to the other Party) and then the Court will issue a ruling that your debt to the other Party has been expunged (a debt whose existence probably wasn't even a matter of public record before you made a federal case out of it).  But that's splitting hairs and world away from a customer arguing with some "liberal"-arts-college-graduate-coffee-schlepper as to whether or not they must accept cash (over 99 times out of 100 - both will be wrong).

 

Thu, 04/23/2015 - 19:40 | 6024199 29.5 hours
29.5 hours's picture

 

 

So, they are getting bored with the game of coming up with ways to charge us for giving them money (savings) or for using it (withdrawals)? They figure on just making any action of ours that causes them inconvenience illegal? SD box police and all?

Depression style gold confiscation is so quaint compared to the plans of the New World Order. This will turn on them. By making the use of cash and coin more inconvenient and even illegal, the average citizen becomes some form of outlaw. Solidarity with other working people will become a natural survival instinct.

 

 

 

Thu, 04/23/2015 - 19:35 | 6024207 FreeBull
FreeBull's picture

One of the Best Ways to Cover Your Ass is to be your Own Bank and Hold Hard Assets,  http://goo.gl/2Vh7hy

Thu, 04/23/2015 - 19:35 | 6024209 Van Halen
Van Halen's picture

If Chase 'disallows any storage of cash or coins in safe deposit boxes', exactly how will they know there is any in there in the first place? Because the whole point of a safe deposit box is that no one other than you know what's in it.

Of course, we all know the terrifying answer to this question, once we think it over for a few moments.

Don't we?

Thu, 04/23/2015 - 20:13 | 6024340 Crawdaddy
Crawdaddy's picture

The three cameras and the bright lights watching you as you open your box provide the salient clue.

Thu, 04/23/2015 - 19:36 | 6024216 q99x2
q99x2's picture

How they post to launder drug money if they don't accept cash. Drug cartels all through the US ain't going to like Lloyd Blankfein and Jamie Dimon.

OMG we have to hope MS13 and Putin will save us from the NWO.

Thu, 04/23/2015 - 20:47 | 6024450 Meta_Consciousness
Meta_Consciousness's picture

If they legalized  cannabis, the profitability of narcotics will drop below the cost of production.

 

The addicts would still be addicted and fill prisons.

Thu, 04/23/2015 - 19:39 | 6024222 OldPhart
OldPhart's picture

Cash isn't a problem for me.  I'm paid bi-weekly, and each time I'm paid I send a mortgage payment to ShittyBank.  I have two years of payments left.  I'm shaving ten years of interest off my mortgage.

Thu, 04/23/2015 - 19:40 | 6024225 BoPeople
BoPeople's picture

And I quote: "This note is legal tender for all debts public and private"

It seems as if Chase has just done something ILLEGAL ... well would not be the first time, eh?

Thu, 04/23/2015 - 19:42 | 6024229 scrappy
scrappy's picture

History of Central Banks and why we must End the Federal Reserve

Part 1 (48 B.C. - 1791)

Part 2 (1791- 1865)

Part 3 (1865- 1913)

“The Federal Reserve is now a government within a government. It is totally out of control. Congress doesn't control it. It's funded by the banks and we either have constitutional government or we don't."

- Ralph Nader on CNN

"The Future Monetary System -- No More National Debt". According to Bill Still, the global monetary system has been revised every 30 - 40 years through history.
He predicts that our current monetary system will collapse within a few years.
Also included in Bill's lecture is a potential model for the monetary system of the future.
Bill Still at the Open Mind Conference 2012. Skanderborg, Denmark https://www.youtube.com/watch?v=BXEioXVdB24&feature=youtu.be
The Secret of Oz https://www.youtube.com/watch?v=jjUtBGqLAxY


The Money Masters
https://www.youtube.com/watch?v=iDtBSiI13fE
Fri, 04/24/2015 - 00:32 | 6024953 black calx
black calx's picture

The Money Masters blew my mind when I first saw it. I had to watch it multiple times and take notes to soak it all in. I bought a book by Bill Still and he autographed it! That was cool.

Thu, 04/23/2015 - 19:42 | 6024232 Vincent Vega
Vincent Vega's picture

Safety deposit box ban coming in 5...4...3...2...

Thu, 04/23/2015 - 19:46 | 6024247 Cannon Fodder
Cannon Fodder's picture

Only terrorist need safety deposit boxes..... /sarc

Thu, 04/23/2015 - 19:43 | 6024236 me or you
me or you's picture

As I don't have any money in banks I really don't give a fuck...as long as the organic market keep accepting cash I'm ok.

Thu, 04/23/2015 - 19:47 | 6024249 Cannon Fodder
Cannon Fodder's picture

Here's the bigger problem.... what about when banks stop accepting cash deposits from businesses?

Thu, 04/23/2015 - 19:51 | 6024259 me or you
me or you's picture

Then we the 99% will have to create our own banks or just move to credit unions. Time to put an end to 1% tiranny and start managing our own way of living.

Thu, 04/23/2015 - 22:38 | 6024745 snr-moment
snr-moment's picture

They don't serve organic in prison.

buh bye.

Thu, 04/23/2015 - 20:15 | 6024352 crisrose
crisrose's picture

They already charge businesses for cash deposits.  'Cash Deposit Fee' based on how much cash.

Thu, 04/23/2015 - 19:44 | 6024242 Babalooee
Babalooee's picture

The catch has been restricting cash for common folk while allowing those of greater means to continue with a method of unrecorded transactions. If not for that, it probably would have happened some time ago

Thu, 04/23/2015 - 20:09 | 6024328 cynicalskeptic
cynicalskeptic's picture

So I can pay for that new House in the Bahamas with a Renoir - and get back a few minor modernists in change?

Thu, 04/23/2015 - 20:54 | 6024473 Meta_Consciousness
Meta_Consciousness's picture

Secret rich people money?

 

Makes sense it already exists.

 

Oh wait gold coins for purchases and silver as tips for the help.

 

It already exists.

Thu, 04/23/2015 - 19:45 | 6024243 Atomizer
Atomizer's picture

I agree, pull Chase Banking charter. 

Thu, 04/23/2015 - 19:47 | 6024250 dondonsurvelo
dondonsurvelo's picture

Bank at your local community credit union.  Screw the big banks. 

Thu, 04/23/2015 - 19:55 | 6024268 Condition 1SQ
Condition 1SQ's picture

Let's face it though, it's only a matter of time before they must kiss the ring.  I'm sure the Feds have some way of pressuring a state to revoke banking charters.

Thu, 04/23/2015 - 19:50 | 6024254 buzzsaw99
buzzsaw99's picture

...bans cash payments for credit cards, mortgages, and auto loans; and disallows the storage of "any cash or coins" in safe deposit boxes.

this changes very little (except for the very unsophisticated "unwashed and unbanked") almost all banks discourage keeping cash in safe deposit boxes and nobody uses cash for cc, morts, or loan payments anyway. coin bans i haven't heard of before but most gold bugs don't trust a bank vault anyway and most other people don't keep very much coinage or bars at the bank.

Thu, 04/23/2015 - 19:51 | 6024260 prymythirdeye
prymythirdeye's picture

"This note is legal tender for all debts public and private"

Thu, 04/23/2015 - 21:12 | 6024543 Dickweed Wang
Dickweed Wang's picture

"This note is legal tender for all debts public and private"

Where did the note come from?  Read the top . . . .

Thu, 04/23/2015 - 19:52 | 6024261 TheFutureReset
TheFutureReset's picture

People won't turn to gold and silver coins because they are gard to spend online and break. They will turn to bitcoin, which can be sent around the world instantly and at only a cent or two. Try that with gold or silver. 

Thu, 04/23/2015 - 19:55 | 6024273 Condition 1SQ
Condition 1SQ's picture

You actually think they haven't already thought of that?

Thu, 04/23/2015 - 20:10 | 6024332 cynicalskeptic
cynicalskeptic's picture

Bitcoin has a nasty habit of disappearing from your account......

seems like somethign the deep state would set up to siphon off wealth form those who don't trust gov.

Thu, 04/23/2015 - 20:29 | 6024383 Pseudonymous
Pseudonymous's picture

That's not cynical, that's just disinformation.

It's one thing to be skeptical but it's an entirely different thing to spread worthless conjecture.

Thu, 04/23/2015 - 19:55 | 6024272 Thirtyseven
Thirtyseven's picture

A pertinent question becomes: Why is anyone (yes including you) still a customer of these monstrous institutions?

Thu, 04/23/2015 - 19:56 | 6024276 blindman
blindman's picture

"good for all debts public and private"
ahhh, where have i heard/herd that before?
we perceive the need for a worthless
note, a wolf ticket, a pass
between you and me, all that is left.
there was a song about that harbor, heard/herd
before, yes.
Graham Parker - "Between You And Me" 1976
https://www.youtube.com/watch?v=8OASHzUCWuI
.
anyway ..

Thu, 04/23/2015 - 21:10 | 6024536 Dickweed Wang
Dickweed Wang's picture

"good for all debts public and private"  ahhh, where have i heard/herd that before?

In short, don't piss on my back and tell me its raining . . . .

Thu, 04/23/2015 - 20:15 | 6024279 will ling
will ling's picture

baa, baa, baa, baa, baa, baa, baa, baa, baa, baa, baa .................

Thu, 04/23/2015 - 19:59 | 6024287 Macon Richardson
Macon Richardson's picture

And a simple majority vote in both houses of Congress changes the law. Easy peasey!

Thu, 04/23/2015 - 21:08 | 6024529 Dickweed Wang
Dickweed Wang's picture

And a simple majority vote in both houses of Congress changes the law. Easy peasey!

What planet are you from brother?  Also, you forgot "japaneasy".

Thu, 04/23/2015 - 19:59 | 6024288 Dr. Engali
Dr. Engali's picture

This note is legal tender for all debts public and private.

That is all.

Thu, 04/23/2015 - 20:05 | 6024317 Ban KKiller
Ban KKiller's picture

Was going to say that "they" could issue new "money" with those words deleted. Then I thought why don't they just quit printing paper altogether? 

Force everyone to carry a card...a bankster's wet dream. Folks with EBT Cards are just the beginning! 

Thu, 04/23/2015 - 21:06 | 6024519 Dickweed Wang
Dickweed Wang's picture

This note is legal tender for all debts public and private.

That is all.

One little problem with that . . . . read the top of the note and see where it came from.

Thu, 04/23/2015 - 21:36 | 6024291 me or you
me or you's picture

By keeping your money in banks you are helping the enemy aka the banksters.

Thu, 04/23/2015 - 20:01 | 6024297 Consuelo
Consuelo's picture

On top of it all, you still must file a tax return every year, and now you must show evidence of having health insurance, which is tied to the IRS, which is directly tied to any of your assets.   In the end, if one ~really~ values living on their feet as opposed to their knees, he will pay a price. For many if not most who really care to defend freedom, it will be the ultimate price.   Kinda sobering, but that is where this always leads.   You won't be able to hide.

Thu, 04/23/2015 - 20:06 | 6024318 prymythirdeye
prymythirdeye's picture

So whatcha gonna do brother?  Live on your knees or possibly die on your feet?

Thu, 04/23/2015 - 20:21 | 6024370 Crawdaddy
Crawdaddy's picture

Other options available. After all it is hard to bitch smack criminals upside the head if you are on your knees.

Thu, 04/23/2015 - 20:01 | 6024298 Yen Cross
Yen Cross's picture

 The CIAkadahh wouldn't be able to function without cash.

Thu, 04/23/2015 - 20:03 | 6024306 prymythirdeye
prymythirdeye's picture

Neither would the filthy, corrupt, drug-dealing UNITED STATES Corporation

Thu, 04/23/2015 - 20:04 | 6024307 optimator
optimator's picture

Chase, you forgot to say no more charging vendors for using credit card selling, right?

Thu, 04/23/2015 - 20:04 | 6024310 mijev
mijev's picture

Soon strippers are going to need an ATM card reader installed in their butt cracks.

Thu, 04/23/2015 - 21:32 | 6024585 TalkToLind
TalkToLind's picture

The rapper Nelly has a patent somewhere for the prototype butt card reader.

Thu, 04/23/2015 - 20:12 | 6024338 suteibu
suteibu's picture

So, once they ban cash, then whatever cash you have on hand would be considered collectable and, therefore, you could store it in your safety deposit box.  I would argue that I can see the cashless train a-coming and want to start my collection now.

Thu, 04/23/2015 - 20:13 | 6024342 franciscopendergrass
franciscopendergrass's picture

Fuck you savers

Thu, 04/23/2015 - 20:13 | 6024345 One Eyed Jack
One Eyed Jack's picture

I propose that the time has come to ban the banking industry and to start the hanging of bankers

Thu, 04/23/2015 - 21:04 | 6024510 Dickweed Wang
Dickweed Wang's picture

I propose that the time has come to ban the banking industry and to start the hanging of bankers

I currently am running a special on premium hemp rope . . . 10' for $10/hangman's noose is an extra $5

Thu, 04/23/2015 - 20:22 | 6024378 cherry picker
cherry picker's picture

Time to take your cash out of that bank and keep it in a cash friendly place

Thu, 04/23/2015 - 21:07 | 6024520 bid the soldier...
bid the soldiers shoot's picture

my matress is a very friendly place.  You get an IPA with every deposit.

Thu, 04/23/2015 - 21:11 | 6024537 Yes_Questions
Yes_Questions's picture

lay lady lay..

lay upon my big cash bed...

Thu, 04/23/2015 - 21:54 | 6024643 bid the soldier...
bid the soldiers shoot's picture

Thanks for reminding me.

 

My matress is a switch hitter for those with cash deposits.. 

And there's no sexual preference about instant withdrawals either.

Thu, 04/23/2015 - 20:27 | 6024392 pupdog1
pupdog1's picture

"This note is legal tender for all debts, public and private"

So, WTF ???

Thu, 04/23/2015 - 20:35 | 6024413 Dickweed Wang
Dickweed Wang's picture

"This note is legal tender for all debts, public and private"

So, WTF ???

At the top it also says "Federal Reserve Note" as opposed to the "United States Note" on the silver certificates issued during JFK's short time in office.  That should give a clue as to who actually is running the show (look what happened to JFK not more than a year after having the temerity to issue debt free currency).

Thu, 04/23/2015 - 20:57 | 6024490 Yes_Questions
Yes_Questions's picture

his name was John Fitzgerald Kennedy

his name was John Fitzgerald Kennedy

Thu, 04/23/2015 - 21:02 | 6024503 Dickweed Wang
Dickweed Wang's picture

his name was John Fitzgerald Kennedy

Thu, 04/23/2015 - 21:15 | 6024551 tarabel
tarabel's picture

 

 

Sorry, he did not issue silver certificates.

JFK issued "United States Notes" under a still-legal authorization to produce about 300 million of them, if memory serves. You can easily tell the difference between these and FRNs by the red seal on the US Notes.

Once he was out of the way, printing stopped and those in circulation were quietly withdrawn.

Thu, 04/23/2015 - 22:39 | 6024733 Dickweed Wang
Dickweed Wang's picture

I have one of the US notes with the red seal and it says right on it "Silver Certificate". You are correct though that the silver certifcates were not the ones issued by JFK's treasury.  Those also had a red seal and said "United States Note" at the top instead of "Silver Certificate".  My bad . . . . .

Thu, 04/23/2015 - 22:53 | 6024788 tarabel
tarabel's picture

 

 

Namaste.

The no-longer-being-honored warehouse receipts (silver and gold certifcates) show why the Founders insisted on gold and silver-- period.

A more perspicacious group of people has never lived and, unfortunately, probably never will again.

 

Thu, 04/23/2015 - 23:30 | 6024869 Real Estate Geek
Real Estate Geek's picture

+1 for the vocab lesson!

Thu, 04/23/2015 - 23:42 | 6024888 Dickweed Wang
Dickweed Wang's picture

She/he could have just said "shrewd" . . . . .

Thu, 04/23/2015 - 23:39 | 6024883 Meta_Consciousness
Meta_Consciousness's picture

Nail guns weren't invented back then.

 

The bathtubs would break under the force of a skull pounded on them ( wood barrels).

 

Gum disease killed more than bankster agents.

Thu, 04/23/2015 - 23:41 | 6024887 Dickweed Wang
Dickweed Wang's picture

"perspicacious" I have to be honest and had to look that one up - "Having or showing penetrating mental discernment; clear sighted" - touche!

Fri, 04/24/2015 - 00:37 | 6024974 IridiumRebel
IridiumRebel's picture

He/She looked it up too.

Thu, 04/23/2015 - 20:27 | 6024393 cherry picker
cherry picker's picture

Dang if it is legal not to accept cash for payment, then the allmighty green back is worthless isn't it?  I suppose those working for outfits are working for digits now.

Thu, 04/23/2015 - 20:28 | 6024397 _SILENCER
_SILENCER's picture

This is why we have safes at home.

Thu, 04/23/2015 - 20:42 | 6024433 El Hosel
El Hosel's picture

Your cash and nothing but trash.... https://www.youtube.com/watch?v=z1NZ23Lp6L4

 

Thu, 04/23/2015 - 20:30 | 6024401 One Eyed Jack
One Eyed Jack's picture

If you have any accounts with chase or citi close them that would be a start

Thu, 04/23/2015 - 20:32 | 6024406 suteibu
suteibu's picture

They don't need your money, they can make their own.

Thu, 04/23/2015 - 21:10 | 6024533 oddjob
oddjob's picture

...or just sell the same bond a few times over and gamble the proceeds.

Thu, 04/23/2015 - 20:30 | 6024402 Bunga Bunga
Bunga Bunga's picture

Can I store a flash drive in my safe deposit box?

Thu, 04/23/2015 - 21:10 | 6024534 tarabel
tarabel's picture

 

 

Only if you plan on eventually giving it to the bank.

Thu, 04/23/2015 - 20:31 | 6024405 Dickweed Wang
Dickweed Wang's picture

How much more of this shit are we going to take from these bastards?

Thu, 04/23/2015 - 20:35 | 6024411 HenryHall
HenryHall's picture

Well if we can't trade in cash then what we need is some enterprising organization to issue bearer notes in the same denominations as cash that the organization promises to exchange for cash one for one, without commission or fees. Then we can use those bearer notes instead of cash.

A bit like Scottish pound notes used to be (still are??).

Either that or just start using copper, silver and gold disks of standard weights.

Thu, 04/23/2015 - 20:38 | 6024421 Martian Moon
Martian Moon's picture

US cash stored under mattresses the world over used as wealth preserve would drop to nil value

Say bye bye to dollar reserve status

Say bye bye to the only thing giving America a semblance of wealth

 

Fri, 04/24/2015 - 01:54 | 6025088 scaleindependent
scaleindependent's picture

Excellent point, martian moon.

The only way a cashless society would work in the USA is for the world too also become a cashless society.

Hmmm 

Fri, 04/24/2015 - 08:13 | 6025422 Martian Moon
Martian Moon's picture

Bingo

I can only see TPTB move to cashless if they have given up on reserve status for the dollar (and /or want to make the trillions of paper dollars out in the world suddenly worthless?)

And it can only work if done in step with other states (otherwise people would save in some other new reserve currency - right now I'm not sure there is even a fiat replacement for the dollar)

Thu, 04/23/2015 - 20:39 | 6024422 rsnoble
rsnoble's picture

So in other words the dollar is eating itself alive and it can't do that in physical form, only digital.

Honestly folks..........i've really just about had it with this entire fucking planet.  If it gets much worse I might say fuck it and just check out.  I thought about taking some of my favorite assholes with me but then i'm like you know what?  You fucking clowns can just fucking have it all.  Here it is.  You want it........take it.  Have a nice fucking life.

Thu, 04/23/2015 - 20:53 | 6024467 Yes_Questions
Yes_Questions's picture

hang in there.

please.

have a drink, take a deep breath. the world is a much better place with you in it.

;

Thu, 04/23/2015 - 21:03 | 6024506 dexter_morgan
dexter_morgan's picture

Stay positive. Always darkest before the dawn. Sheeple are showing signs of life. You want to be around when it happens.

Fri, 04/24/2015 - 02:33 | 6025145 turnoffthewater
turnoffthewater's picture

Don't off yourself but if you do take a few with you, start at the top of the org chart of one of the 5 big banks. Don't take the little guys they are just following orders

Thu, 04/23/2015 - 20:40 | 6024427 Bernanke'sDaddy
Bernanke'sDaddy's picture

WHAT????

 

HOW THE FUCK IS THE CIA SUPPOSED TO RUN DRUGS WITHOUT USING CASH??

 

THIS LAW IS GOING NOWHERE!!!11

Thu, 04/23/2015 - 21:13 | 6024545 El Hosel
El Hosel's picture

Suprise!....... the Bankers want to make it easier for bankers to take control of ALL the money.  All your money are going to be the Bankers, isn't that nice.

Nobody could have seen this coming.

Thu, 04/23/2015 - 20:47 | 6024447 FidTheRED
FidTheRED's picture

Well that's retarded, not only is there state and federal taxes in place but basically soon in the future Chase will be able to set ANY amount of transaction fees they want since all transactions of Chase will be essentially a monopoly, and people will be forced to pay "bank" tax.

Are we the people really just gonna lay there and get fucked like that?

What about those hard working mom and pops that are getting fucked over for having those card-reader machines? THAT'S WHY I PAY CASH as much as I can when I go to locally owned restaurants or stores so they will get fucked less by the banks, not because they could tax-evade.

You pretty much have to DEPEND on cash transactions if you are SME.

Fuck the banks, FUCK CHASE. Never had an account there and never will.

Kiss farmers market good-bye. Hey maybe wal-fucking-mart will make a comeback

Thu, 04/23/2015 - 22:45 | 6024762 rejected
rejected's picture

"Are we the people really just gonna lay there and get fucked like that?"

 

Been doing it for the last 150 years,,, why stop now?

Thu, 04/23/2015 - 20:48 | 6024454 Yes_Questions
Yes_Questions's picture

betcha Chase'll gladly accept cash as a deposit into one of it's unsecured loan facility/blood funnels (ehem. personal checking/savings accounts)..

wonder if they'll summarily revise all Death Bonds they hold to no longer be payable in US Dollars with academic folly like this.

I wonder how long before some folks stop toiling away all of their everything for nothin'

can't service debt in cash payments?

fucking academics need a wedgie sometimes

Thu, 04/23/2015 - 21:08 | 6024528 tarabel
tarabel's picture

 

 

You would lose that bet.

If you want to put cash into a Chase account, no matter how small the amount, you have to show ID.

Not applicable to checks, just cash.

I hate Chase but stick with them simply due to the fact that you need to have your money in one of two banks during a crisis-- the one that will fail first or the one that will fail last. Chase will fail last, but if they get my couple hundred bucks then so be it.

Thu, 04/23/2015 - 22:22 | 6024705 Help Is Not Coming
Help Is Not Coming's picture

If you HAVE to deposit your couple of hundred buck with Chase then do yourself a favor and on the back of the check or deposit slip where you sign it put the restricted endorsement of "Redeemed for lawful money pursuant to 12 USC 411" and then sign it.

Even if you're depositing it into the bank they have to treat it like real lawful money and legally can't fractional reserve lend against anything you deposit this way.

So sure, if you're going to force me not to have cash then I'd like to exercise my legal right to redeem my FRNs for lawful money.

Thu, 04/23/2015 - 20:49 | 6024458 The Duke Of Fro...
The Duke Of Frontenac's picture

When cash is outlawed only outlaws will have cash.

The Duke

Thu, 04/23/2015 - 20:54 | 6024477 Peak Finance
Peak Finance's picture

Ok, serious question, 

I think I am starting to like these things here:

http://www.apmex.com/product/75737/100x-1-gram-silver-bar-valcambi-silve...

Grams of silver for small transactions, grams of gold for larger transactions?

Does anyone think these PM Sheets might catch on? I am buying a bunch next week. 

I think if I am ever involved in retail or a storefront again, I would take this as payment and promote their use in my store, and give prices in USD and Grams of Silver. 

 

Thu, 04/23/2015 - 21:05 | 6024514 tarabel
tarabel's picture

 

 

The problem with these is that many dealers will try to shaft you when the time comes to cash them in by claiming that they don't recognize the issuing mint and thus need to assay your bars (for a price)-- or else they will take the risk without an assay but at a lower price per oz.

Stick with silver coins due to the universal recognition factor.

Thu, 04/23/2015 - 21:23 | 6024561 TalkToLind
TalkToLind's picture

If you're in business, I'd imagine you'd be much happier if your customers were paying with these or better yet these.  Silver would really have to take off Weimar style (not impossible but unlikely as long as we have a FED suppressing it) in order for a gram wafer of silver to be worth the trouble. Now a gram wafer of gold...that would be worth something.

Thu, 04/23/2015 - 21:41 | 6024606 The Duke Of Fro...
The Duke Of Frontenac's picture

trade .22 for small transactions, .223 for medium, 5.56 for medium + and so on... but only if you're a righteous dude...

Thu, 04/23/2015 - 23:05 | 6024813 samsara
samsara's picture

Not known on the street.  

Flying Eagles and Maple Leafs (Ag/Au)  on the other hand are recognizable.

Fri, 04/24/2015 - 02:39 | 6025150 Icelandicsaga.....
Icelandicsaga...............................................'s picture

Have bought some .. also bought silver rounds.. with quarter oz. Walking Liberty and St. Gaudens.. they have coin rounds like Mercury heads to 10th of an oz. like to give a bunch for gifts.. people who are just starting to collect PM love them. The tiny gold sheets are a good way for a person on a budget to buy gold .. I do not care if it catches on .. talk to someone who lived through the war .. WWII or after the war .. gold and silver .. fed and housed a lot of people .. in Athens .. they would only accept gold if you wanted to rent a house or buy a house. Fliers kept gold sovereigns in their kit or on their person when they went on a mission . so gold sheets . someone will want them .. though getting a gallon of gas would better use an identifiable junk coin . pre 64 . you can still find bags of those on sale. Great idea about promoting use of gold or silver in your store..ingenuity at its best.

Thu, 04/23/2015 - 21:08 | 6024484 TalkToLind
TalkToLind's picture

 

 

Guld tæver
Chiennes d'or
Chrysó skýles
Gold Hündinnen
Arany szukák
Gull tíkur
femmine Oro
Goldeu amkae
Gull tisper
Cadelas ouro
Zolotyye suki
Oro cabronas
Zoloti suky
chó cái vàng 
 
In case there is anyone else left on Earth who still doesn't understand, let me put it this way:

Gold Bitchez!

Thu, 04/23/2015 - 20:59 | 6024492 R_Dannesjold
R_Dannesjold's picture

It's getting so insane now. Can they fool Americans to anything? Is there a points when the guy on the street is just going to say "this stops now"?

Thu, 04/23/2015 - 21:10 | 6024535 falconflight
falconflight's picture

Not without a movement with a leader.

Thu, 04/23/2015 - 21:16 | 6024555 phoenixdark
phoenixdark's picture

there is no movement there is no leader. when you join the team everything is AWESOME

Thu, 04/23/2015 - 21:20 | 6024565 falconflight
falconflight's picture

No, we're at the point that everyone is their own potential movement and leader.  Plan accordingly.  Just kidding you fucking NSA Stasi bastards.

Thu, 04/23/2015 - 21:23 | 6024552 Comte d'herblay
Comte d'herblay's picture

WADR, the problem is U.  It's one thing to vent on these blogs, but time and again, a poster will display his own role in what is happening.

Those of us who want someone else to begin the necessary, vital, and FATAL (to the front) actions that the 20% have to run  from or perish are not serious about revolution and would be lousy recruits.

Billionaires have built or bought entire floating self-sustaining cities that can be towed any where on earth, on the open seas. They are already way ahead of the human beans, and thoroughly prepared in surviving techniques. 

The solution begins when all of us are willing to lose our lives or worse, to make the personal sacrifice that every revolutionary leader ever did, to destroy them.  Good luck any of us with that.

Until then, when a future generation------perhaps your great great great great grandchildren -----has no other choice but to live under the government which will become the dream come true of every One Worlder, or overturn it.

But the government by then will more than ever resemble one echoing Hitler or Mussolini on the balconies.

 

Thu, 04/23/2015 - 21:58 | 6024658 p00k1e
p00k1e's picture
Elysium (I) (2013) Plot Summary

 

In the year 2154, two classes of people exist: the very wealthy, who live on a pristine man-made space station called Elysium, and the rest, who live on an overpopulated, ruined Earth....

Thu, 04/23/2015 - 21:01 | 6024499 unirealist
unirealist's picture

Back in 2006 I tried to pay off my mortgage with cash. The property management people were horrified. I had to go to the bank for cashier's check. And that was only $6000.

Thu, 04/23/2015 - 21:21 | 6024569 falconflight
falconflight's picture

You didn't get a visit from our Gov't?

Thu, 04/23/2015 - 21:09 | 6024531 Catullus
Catullus's picture

If I can't pay in cash, what am I supposed to pay with? Checking accounts are not cash. They're bank liabilities. I can only pay my debt with someone else's debt?

Thu, 04/23/2015 - 21:20 | 6024566 Dre4dwolf
Dre4dwolf's picture

What do you think an FRN is anyway?  cash is a debt instrument. . .  a promise that "someone else will pay what you owe"

Thu, 04/23/2015 - 22:28 | 6024720 Help Is Not Coming
Help Is Not Coming's picture

"I can only pay my debt with someone else's debt?"

No, you can't pay your debt with someone else's debt. You discharge your debt by paying with someone else's debt. That's why if you pull out your mortgage or any other contract that involves you giving them money they all make reference to "discharging your debt" and not paying.

Only people who have money can "pay". Legally, when you go to the store and "buy" milk you aren't paying. You are giving the merchant a "no interest promissory note" and in exchange the merchant is voluntarily alienating himself from his goods.

Nobody in this country "pays" for anything because money, other than coinage, hasn't been available in this country for years.

Fri, 04/24/2015 - 07:33 | 6025320 Catullus
Catullus's picture

I think a FRN is script money between banks. But it is money and the folding bills are cash.

Thu, 04/23/2015 - 21:14 | 6024547 phoenixdark
phoenixdark's picture

credits are better than cash. Come on embrace whats gonna come anyway.

Thu, 04/23/2015 - 22:30 | 6024724 Help Is Not Coming
Help Is Not Coming's picture

And if you're getting raped you should just lay back and enjoy it? Is that what you're saying?

Thu, 04/23/2015 - 21:17 | 6024559 falconflight
falconflight's picture

Go back to writing checks for recurring bills, and use more cash for weekly purchases such as gas, groceries, and restaurants.  Only slightly less convenient, and the jackboots do count on convenience being more important than principle.  

Thu, 04/23/2015 - 21:19 | 6024562 Livermore Legend
Livermore Legend's picture

From a Legal Perspective:

Ultra Vires, Declaratory Judgment and Mandamus come to Mind.

Ultra Vires means that Parties cannot even by a VALID WRITTEN AGREEMENT undertake that which the Law Prohibits.

For example, if the Usury Statutes have a Limit of 20 % Interest, even if Parties sign a Contract to 25 %, the Contract is Ultra Vires.

Mandamus Lies to Compel ANY Party, Private or Governmental to Perform a Duty or Act.

For example, any Mortgage Holder could Petition for a Writ of Mandate to Compel the Bank to Accept its Cash, in accordance with the Legal Tender Statutes, State and Federal.

Alternatively, a Petition for a Writ of Mandate could be filed to Compel a State Agency to Perform Enforcement of State Statutes as to Legal Tender, or likewise as to a Federal Agency, including, but not limited to, the US Justice Department.

The Federal Reserve is, as any Party Public or Private, subject to a Writ of Mandate.

Mandamus Lies to Compel Peformance of Regulatory Duties as well, Public or Private.

Any Many States and certain Federal Statutes either Allow or REQUIRE Attorneys Fees to Be Awarded to the Prevailing Party.

Thus the Bank itself could easily ending Paying for the very Litigtion Compelling it to Adhere to Legal Tender Statutes.

Mandamus is one of the Great Jewels in American Jurisprudence.

It is Quick and Highly Effective, though denied Most of the Time.  You have to be Dead Right in Mandamus, and you still might lose.

Nonetheless, it is a Powerful Tool to Compel Action, and it frequently works without an actual Writ of Mandate being issued; meaning that the Respondent Complies Voluntarily.

Mandamus Lies when there is a Clear and Present Duty/Obligation on the part of the Respondent, a Beneficial Right of the Petitioner to the Performance of that Duty/Obligation, and a Refusal or Failure to Perform that Duty.

Parenthetically, I have used Mandamus myself to Compel the Government to do things which it refused to do - and they were Made to do it by Writ of Mandate

Something impossible I hasten to add, in Russia or China, for those who Fail to Appreciate.

I Consider it One of the Most Valuable Areas of Knowledge that I Have.

Likewise, Prohibition Lies to Prohibit or Stop Action, by the Government or Private Parties.

Declaratory Judgment could also be used.  This is where the Court Declares the Rights and Responsibilities of Parties under the Law or other Instrument, by  Declaratory Judgment.

From a Political Perspective:

Remove Cash, and Order Order will Break Down almost immediately.

Remove Cash and the Government Revenue will NOT Rise, but rather Fall Precipitously.

Cash Operates as a Lubricant for the Real Driver of Economics, Human Nature.

That Lubrication, Cash, in point of fact, only represents a Small Fraction of the ACTUAL VALUES.

The Velocity it Generates however, is far more than that the ACTUAL VALUES themselves can generate, as has been PROVEN in Debt to $GDP in recent years.

For those paying attention, I refer you to what the Chair of the Federal Reserve said Correctly and Dispositively regarding "Negative Rates" in the United States. 

For those who want that Articulated in Detail and/or Lead in Position in the US Bond Market, Ante up the Capital

It all comes down to Zugzwang; I Do Agree Fully on the Prin ciple, Not the Predicates, embraced by Von Mises:

By Choice or Consequence.

Machinations are Merely part of the Road to Either.

 

 

 

 

 

 

Thu, 04/23/2015 - 21:28 | 6024576 Boubou
Boubou's picture

My only regret is that I have but one vote to give.

Thu, 04/23/2015 - 22:02 | 6024663 Everyone is lying
Everyone is lying's picture

This is 2015, voting is a meaningless joke. The real question is how many bullets do you have to give?

Thu, 04/23/2015 - 22:41 | 6024750 Jackagain
Jackagain's picture

If voting mattered they wouldn't let you do it.

Thu, 04/23/2015 - 22:45 | 6024760 chubakka
chubakka's picture

and like mine it counts for nothing.  

Thu, 04/23/2015 - 22:18 | 6024699 MEAN BUSINESS
MEAN BUSINESS's picture

Being ordered to pay costs is what stops most people dead in their tracks, especially when the the other side has 1) the 'skill' to drown the weaker hand in paper and 2) some pocket change to pay the costs should they be ordered to do so. It's extremely intimidating. 

regardless, excellent comment. Thank you.

Thu, 04/23/2015 - 21:24 | 6024572 falconflight
falconflight's picture

Something that the average joe could do to resist and that would be to indeed close out your acct with any of the largest banks.  There are plenty of regional and local banks.  Ah, but that requires the barest of effort, and we know Amerikans eschew effort.

Thu, 04/23/2015 - 21:28 | 6024577 kchrisc
kchrisc's picture

Damn I hate the Zionist banksters.

Liberty is a demand. Tyranny is submission.

 

My guillotine loves them.

Thu, 04/23/2015 - 21:37 | 6024599 Atomizer
Atomizer's picture

They're pushing for NFC. Not sure how other phones work. Can only explain the BlackBerry. 

Swipe down, click settings. Click networks and connections. Make sure NFC is always off when not using. Otherwise, your a walking broadcasting signal waiting to get ass raped. In my younger years, we would hack into bluetooth signal and fuck with people.

Ie. Text them, how does your steak taste? Do you need another martini? Nothing more enjoyable than watching paranoia set in. Those were my devilish past years long gone. 

I don't use this feature, never will. FYI. 

Thu, 04/23/2015 - 21:46 | 6024621 homiegot
homiegot's picture

The pincers are tightening.

Thu, 04/23/2015 - 21:53 | 6024636 chubakka
chubakka's picture

keep an eye on the evolution of bitcoin and where it will be incorporated in all this.  bitcoin is a potential trap in my opinion which will be controlled by the banks eventually when they find a way to make it less risky to the average person.  i could be totally aff base here but it should be interesting to see what happens and how it evolves.   

Thu, 04/23/2015 - 22:58 | 6024800 samsara
samsara's picture

It's electronic... 

Thu, 04/23/2015 - 21:54 | 6024645 Everyone is lying
Everyone is lying's picture

Instead of making cash illegal, make the banksters illegal.

Shoot them.  Any corporate officer or board of directors member is a criminal.  They deny the US Constitution, they deny their only valid legal protection.  Shoot them.  And shoot anyone who stands by them.  They are criminals.

 

 

 

Thu, 04/23/2015 - 21:56 | 6024648 p00k1e
p00k1e's picture

Team Bush ‘lost’ pallets of cash in Iraq.

I don’t think ‘cash’ is going anywhere. 

Thu, 04/23/2015 - 22:57 | 6024797 samsara
samsara's picture

Those bills are "Over There"  not in ATMs here.

THOSE bills will be worthless when the time comes.

Fri, 04/24/2015 - 03:27 | 6025182 HowdyDoody
HowdyDoody's picture

Sure the CIA will still need cash. After all, as the proposers of the law clearly state, only criminals use cash.

 

Do NOT follow this link or you will be banned from the site!