Saturday, November 15, 2014

An insight into G20 in Brisbane Australia.

Many Australians are asking if the cost in preparing this event, and the deployment of six thousand police and other security personal was worth the cost. Many of us mere mortals have wondered what this "talkfest” is all about, especially as there was another one only a few days ago in China. No doubt, politicians love to travel at great cost to their respective taxpayers.

Following is an interesting and elucidating article about this event. After you have read it, you may well consider keeping your money under your bed and avoid taking it to the bank. At the end is a link for you to read the whole article. - Werner
Bank Deposits Will Soon No Longer Be Considered Money But Paper Investments.
What does this mean?
Kenneth Schortgen Jr. explains:
This weekend the G20 nations will convene in Brisbane, Australia to conclude a week of Asian festivities that began in Beijing for the developed countries and major economies. And on Sunday, the biggest deal of the week will be made as the G20 will formally announce new banking rules that are expected to send shock waves to anyone holding a checking, savings, or money market account in a financial institution.

On Nov. 16, the G20 will implement a new policy that makes bank deposits on par with paper investments, subjecting account holders to declines that one might experience from holding a stock or other security when the next financial banking crisis occurs. Additionally, all member nations of the G20 will immediately submit and pass legislation that will fulfil this program, creating a new paradigm where banks no longer recognize your deposits as money, but as liabilities and securitized capital owned and controlled by the bank or institution.

In essence, the Cyprus template of 2011 will be fully implemented in every major economy, and place bank depositors as the primary instrument of the next bailouts when the next crisis occurs...

For most Americans with savings or checking accounts in federally insured banks, normal FDIC rules on deposit insurance are still in play, but anyone with over $250,000 in any one account, or held offshore, will have their money automatically subject to bankruptcy disbursements from the courts based on a much lower rank of priority, and a much lower percentage of return.

This also includes business accounts, money market accounts, and any depository investments such as a certificate of deposit (CD)...

 After Sunday at the G20 meeting, the risks of holding any cash in a bank or financial institution will have to be weighed as heavily and with as much determination of risk as if you were holding a stock or municipal bond, which could decline in an instant should the financial environment bring a crisis even remotely similar to that of 2008. To read all, click here.

My thought for today:
The problem is not that people are taxed too little; the problem is that government spends too much. - Ronald Reagan


Bruce. L said...

This is most interesting as well as frightening. I have also wondered what they actually do at G20. We knew that they are "talking" but now we know about what.

John and Jan said...

This is a very disturbing read indeed, Werner. We live in a terrible world, all the sign are that we are getting steered towards a “One World Government” - and then being governed from the UN in New York USA. Not a very pleasing prospect to look forward to. We are worried for our future generations and, we are starting to mistrust our own politicians of all political persuasions.

Marge and Bill said...

We might just as well keep our money under the bed. The banks use our money to make huge profits. The lousy interest that the banks give you is hardly worth a trip to the bank these days.

Pearl said...

Werner Scary stuff. I'm glad I'm not a youngin in this crazy world.