Bitcoin Forum

+1. Do it.

Withdraw paid wages instantly, try to get cash wages if possible. If there is a specific reason to have money in an account, do like that old lady in Cyprus and withdraw your money before the weekend, especially before scheduled or one-off bank holidays.

+1 to Carlton (just because he's Carlton)

And what are the alternatives?  Mattress? Doomsday bunker?  It's not like the paper money will be worth anything if the whole banking system crashes down anyway.

food, water, ammunition, bitcoin, gold or silver.

if none of those than yes cash is a less bad option. imagine that you are right, imagine that the banking system crashes and cash and checkbook money both become worthless. it could be the case that checkbook money becomes worthless before cash, in which case you could potentially unload your cash before other people realize that it is worthless and leave someone else holding the bag.

This is complete mis-conception of money today. If electronic banking system crashes, liquidity freezes or capital controls (like it did in Cyprus) then paper money actually skyrockets in value on the street, since the total stock of paper money in circulation today is never more than ~10% of total money stock (and more like 5% usually).

Ask all those people in Cyprus who had cash under the bed how bad they felt about the ATM shutting down for months on end? While others had hundreds of thousands of fictional database money that was "inaccessible by decree" (read stolen).

Electronic money that someone else has control over is not really cash money at all, it is debt that's on you to make sure the bank makes good on it when you come to spend it somewhere that you choose ... paper money on the other hand is a bearer instrument, in most countries, so is a superior form of money. Of course, it can be printed to worthlessness but modern printing machinery doesn't exist any longer that could do that in a speedy manner since most money creation is done by simply creating bigger numbers in ponzi bank databases, and has been for over 3 decades.

Uh, actually paper money will have huge deflation and become ultra-valuable.

If you want to take as much risk as investing in the banking system but for much more potential return, invest in the stock market, or even my favorite, long the XIV (or short the UVXY if possible).

If you want to be safe, then just hold paper money.

Otherwise just do gold/Bitcoin. :)

http://4.bp.blogspot.com/-vgyiuTiQSJ4/Ul7kSj8iuYI/AAAAAAAANlA/NS4r10m--Ws/s1600/161013letter2.jpg

That's normal - savings accounts are not used as commercial accounts because they pay higher interest on the balance and have lower fees.  By moving the funds from the savings account to a commercial account, that limit is removed. 

No restriction on freedom - just a bank looking to increase its fee income.

I know its tiresome clicking on links and reading the actual source article but it would save you making such a silly thread.

Well, sort of. If the underlying basis for it's value has collapsed, the bank cannot make good on the promise to pay, even though we have been paying directly with promises of nothing for a long time now. Everyone is just used to it, Bitcoin people and gold-bugs are in a tiny minority who contemplate the basis for the value of money.

But the majority that still believe, it could take a while to break the spell. Because they never understood why it was valuable in the first place, they'll still ask for cash and expect it to be accepted. May as well keep some kicking around for those people, some will be very insistent that it's still the medium of exchange, to the extent that they will actually refuse genuinely valuable money.

+1

you should already have cash, it will be worth more than it's face value when nobody else can get theirs...

The paradox of that statement being true is massively comedic. Face value is literally the only value it has, and yet the wholesale panic causes the inked numbers on the notes to confer even more value. The executive board members at the central banks must fight back tears when laughing about some of this stuff. Still, it will happen. May as well stack that paper.

...for a week or two.

Some kind of change of consciousness might take place in short space of time, but some people really will hold on to the old system for a while, it's just too much of an imaginative leap that their magic paper isn't magic any more.

The time for doing so was a long time ago, before they started monitoring every time moving in and out. Now, even if you move your money out, you either pay taxes to pay interest on unpayable debt, or go to jail.