Storing cash

Discussion in 'Economics' started by Runningbear, Sep 26, 2011.

  1. I have this strong feeling that Greece will default, which will start a domino effect of other countries defaulting including Spain, Portugal Ireland and Italy. This will result in a large number of banks defaulting and I think that personal cash reserves may be at risk.

    If this thing starts to play our 1929 style, I intend to withdraw all my family's cash from banks. So the question is, where should I store it?

    I was thinking of some kind of non-bank related safety deposit box.

    Does anyone have any other ideas?

    Runningbear
     
  2. You break open a wall in your house, put in your cash, replast it, overpaint it and you are good. :D
     
  3. maybe buy bonds directly from reserve bank...

    non AUD... duno...

    nothing is really safe...
     
  4. benwm

    benwm

    I've got some room in my garage and my fees are very competitive...
    :)
     
  5. I have this strong feeling that Greece will default, which will start a domino effect of other countries defaulting including Spain, Portugal Ireland and Italy. This will result in a large number of banks defaulting and I think that personal cash reserves may be at risk.
    -----------------------------------------------------------------------

    If this happens, your "Cash" will be worthless as all of our Cash will be worthless. So, Why worry?

    Second, I doubt this will play out because China is about to bail out the IMF along with Russian. China is slowly taking over the world as they sit back and wait for countries to ask for cash. Russia is also getting into the game of "Lending" money.

    So, while I am bearish the US for the next decade and while I'm sure there will be more banks going under....et all. I doubt the domino effect will happen.

    I would keep some cash on hand, as everyone I know has cash for about 6 months of bills and food, et all...Fire proof safe stored in an unknown location. Nothing wrong with a small amount of cash hidden.
     
  6. But what if the house burns down??

    Vacuum seal the cash and bury it in the yard, or some other location, with locator marker balls so you can find it later.
     
  7. Runningbear, here in Canada depositors accounts are insured against the bank's
    failure up to C$100,000 via the Canada Deposit Insurance Corporation
    similarly in the US, it's the Federal Deposit Insurance Corporation that "provides
    deposit insurance, which guarantees the safety of deposits in member banks,
    currently up to $250,000 per depositor per bank."
    http://en.wikipedia.org/wiki/Federal_Deposit_Insurance_Corporation
    prior to the Credit Crisis the sum was $100,000
    during 2009 - 2010 297 banks failed and were seized by the FDIC, think it's about
    70 ?? so far this year. the failed banks are usually bought by other banks quite
    quickly and depositors haven't to the best of my knowledge lost any money, and
    this also applies to the bank problems that occurred in Europe
    list of deposit insurance amounts for a number of countries:
    http://en.wikipedia.org/wiki/Deposit_insurance
     
  8. I think it's smart to keep cash out of the banking system. Fiat paper and digital currency is a joke. Bury, sink, or build (around) it? T-bills are good, but the only way I know of to buy them is through a depository bank or brokerage.... Same problem...
     
  9. You don't like fiat cash... but you think T-Bills are good?

    Maybe you should figure out what a t-bill is before mouthing off with stupidity like "it's smart to keep cash out of the banking system"

     
  10. What about bearer bonds.
     
    #10     Sep 27, 2011