Is the World Starting to Move to a Cashless Society?


Editor's Note:

Many people are concerned about a cashless society.  Some feel it is an unreasonable intrusion on personal liberty.  Some think it will make government more engaged in tracking one's spending and funds.    And then there are Christians who are very concerned that a cashless society will be used to force individuals to take the "Mark of the Beast".

My take?

I believe that governments and too big to fail banks are pushing to go cashless to prevent bank raids should their be a major world economic collapse or crash.  In American history the banking industry during the Great Depression could not seem to get on their feet from all the bank raids by depositors and bank holidays.  Wall Street Banks, per Dodd Frank, will not be bailed out when the next crisis happens; instead, their depositors and their savings will bail them out.

As you see governments and banks move more towards a cashless society, this is a sign of lack of confidence in the financial system.  It is also a good time to assess where you put your monies and assets.  Could we one morning wake up to an announcement that bank funds were seized for government debts as did Cyprus citizens experience?

cashless-society

The Cashless Society Cometh: European Nations Such As Sweden And Denmark Are ‘Eradicating Cash’

By Michael Snyder, on December 27th, 2015

Did you know that 95 percent of all retail sales in Sweden are cashless? And did you know that the government of Denmark has a stated goal of “eradicating cash” by the year 2030? All over the world, we are seeing a relentless march toward a cashless society, and nowhere is this more true than in northern Europe. In Sweden, hundreds of bank branches no longer accept or dispense cash, and thousands of ATM machines have been permanently removed. At this point, bills and coins only account for just 2 percent of the Swedish economy, and many stores no longer take cash at all. The notion of a truly “cashless society” was once considered to be science fiction, but now we are being told that it is “inevitable”, and authorities insist that it will enable them to thwart criminals, terrorists, drug runners, money launderers and tax evaders. But what will we give up in the process?

In Sweden, the transition to a cashless society is being enthusiastically embraced. The following is an excerpt from a New York Times article that was published on Saturday…

Parishioners text tithes to their churches. Homeless street vendors carry mobile credit-card readers. Even the Abba Museum, despite being a shrine to the 1970s pop group that wrote “Money, Money, Money,” considers cash so last-century that it does not accept bills and coins.

Few places are tilting toward a cashless future as quickly as Sweden, which has become hooked on the convenience of paying by app and plastic.

To me, giving money in church electronically seems so bizarre. But it is starting to happen here in the United States, and in Sweden some churches collect most of their tithes and offerings this way

During a recent Sunday service, the church’s bank account number was projected onto a large screen. Worshipers pulled out cellphones and tithed through an app called Swish, a payment system set up by Sweden’s biggest banks that is fast becoming a rival to cards.

Other congregants lined up at a special “Kollektomat” card machine, where they could transfer funds to various church operations. Last year, out of 20 million kronor in tithes collected, more than 85 percent came in by card or digital payment.

And of course it isn’t just Sweden that is rapidly transitioning to a cashless society. Over in Denmark, government officials have a goal “to completely do away with paper money” by the year 2030

Sweden is not the only country interested in eradicating cash. Its neighbor, Denmark, is also making great strides to lessen the circulation of banknotes in the country.

Two decades ago, roughly 80 percent of Danish citizens relied on hard cash while shopping. Fast forward to today, that figure has dropped dramatically to 25 percent.

We’re interested in getting rid of cash,” said Matas IT Director Thomas Grane. “The handling, security and everything else is expensive; so, definitely we want to push digital payments, and that’s of course why we introduced mobile payments to help this process.”

Eventually, establishments may soon have the right to reject cash- a practice that is common in Sweden. Government officials have set a 2030 deadline to completely do away with paper money.

Could you imagine a world where you couldn’t use cash for anything?

This is the direction things are going – especially in Europe.

As I have written about previously, cash transactions of more than 2,500 euros have already been banned in Spain, and France and Italy have both banned all cash transactions of more than 1,000 euros.

Little by little, cash is being eradicated, and what we have seen so far is just the beginning. 417 billion cashless transactions were conducted in 2014, and the final number for 2015 is projected to be much higher.

Banks like this change, because it enables them to make more money due to the fees that they collect from credit cards and debit cards. And governments like this change because electronic payments enable them to watch, track and monitor what we are all doing much more easily.

These days, very rarely does anyone object to what is happening. Instead, most of us just seem to accept that this change is “inevitable”, and we are being assured that it will be for the better. And no matter where in the world you go, the propaganda seems to be the same. For example, the following comes from an Australian news source

AND so we prepare to turn the page to fresh year — 2016, a watershed year in which Australia will accelerate towards becoming a genuine cashless society.

The cashless society will be a new world free of $1 and $2 coins, or $5 or $10 bank notes. A new world in which all commercial transactions, from buying an i-pad or a hamburger to playing the poker machines, purchasing a newspaper, paying household bills or picking up the dry-cleaning, will be paid for electronically.

And in that same article the readers are told that Australia will likely be “a fully cashless society” by 2022…

Research by Westpac Bank predicts Australia will be a fully cashless society by 2022 — just six years away. Already half of all commercial payments are now made electronically.

Even in some of the poorest areas on the entire globe we are seeing a move toward a cashless society. In 2015, banks in India made major progress on this front, and income tax rebates are being considered by the government as an incentive “to encourage people to move away from cash transactions“.

Would a truly cashless society reduce crime and make all of our lives much more efficient?

Maybe.

But what would we have to give up?

To me, America is supposed to be a place where we can go where we want and do what we want without the government constantly monitoring us. If people choose to use cashless forms of payment that is one thing, but if we are all required to go to such a system I fear that it could result in the loss of tremendous amounts of freedom and liberty.

And it is all too easy to imagine a world where a government-sponsored form of “identification” would be required to use any form of electronic payment. This would give the government complete control over who could use “the system” and who could not. The potential for various forms of coercion and tyranny in such a scenario is obvious.

What would you do if you could not buy, sell, get a job or open a bank account without proper “identification” someday? What you simply give in to whatever the government was demanding of you at the time even if it went against your fundamental beliefs?

That is certainly something to think about.

Many will cheer as the world makes a rapid transition to a cashless society, but I will not. I believe that a truly cashless system would open the door for great evil, and I don’t want any part of it.

What about you?

Would you welcome a cashless society?

Michael-Snyder-Bio-American-Dream

Switzerland China Currency Swap Through Their Central Banks

Editor's Note

The Chinese keep expanding the use of mutual currency swaps to do an end run around the U.S. Dollar.  Now Switzerland China currency swap is added to the growing list.

Here's the countries I have found, prior to the Swiss, that have entered into the currency swap arrangements with China since 2008:

  • ​Pakistan
  • Argentina
  • South Korea
  • Indonesia
  • New Zealand
  • Malaysia
  • Belarus
  • Hong Kong
  • Japan
  • Uzbekistan
  • Thailand
  • Turkey
  • Singapore
  • Kazathstan
  • Chile
  • India
  • Brazil
  • United Kingdom
  • France
  • South Africa
  • Germany
  • Nigeria
  • United Arab Emirates (UAE)
  • Australia
  • Iran
  • Russa
  • Switzerland
  • Mongolia
  • Iceland
  • Hungary

This list may not have all the countries agreeing to go outside the dollar and do currency swaps with China.  (I DID NOT DO A SEARCH ON EACH INDIVIDUAL COUNTRY AND THEIR CURRENCIES.)  But the currency swaps are expanding to the Central Banks to include the ECB (European Central Bank) to now the Swiss Central Bank.  The Swiss are a major player in world banking and finance.

And let's not forget, whether our national and international policies are right or wrong, this year we have alienated more countries, such as Russia and France (especially with the sanctions) ​to move away from the US Dollar.

Truthfully if this present trend continues and we have more international issues, without some real solutions to our monetary policy issues, you have to ask yourself:  Will the US Dollar still be the world's reserve currency by the end of 2015?​

Why does it matter whether the US Dollar is the world's reserve currency?  Can't we just use the US Dollar at home? 

Yes, you can use the US Dollar at home.  We spend trillions in international trade and are highly dependent on it.  In fact 20% of your food supply is IMPORTED.  We have been exporting our manufacturing base since George Bush Sr. 41 was president.  Since we have been exporting our manufacturing base we are dependent on IMPORTS for our economy and individual use

Can you now see that we will experience our modern Weimar Republic (Germany post WWi), an onslaught of meteoric rise of inflation in major economic sectors of our economy,  once other countries loose faith in the US Dollar as the trading instrument?

I encourage everyone to keep following the currency swaps on their own.  The media seems to focus only on the BRICS countries, but they are just a fraction of what is going on. Follow the trend.​

Be on your toes so your dollars, income and savings can go farther!

Swiss, Chinese Central Banks Enter Currency Swap Agreement

By Dow Jones Business News, July 21, 2014, 04:12:00 AM EDT

By Neil MacLucas and Richard Silk

ZURICH--The Swiss National Bank and the People's Bank of China reached a currency swap agreement on Monday, allowing the two central banks to buy and sell their currencies up to a limit of 150 billion renminbi, or 21 billion Swiss francs ($23.4 billion).

The deal will also allow the Swiss central bank to invest some of its huge accumulation of foreign exchange reserves in the Chinese bond market, the SNB said in a statement Monday.

The Zurich-based SNB said the agreement will further strengthen collaboration between it and its Chinese counterpart and is a "key requisite for the development of a renminbi market in Switzerland." It could also facilitate trade and investment between the two countries, the PBOC said.

Switzerland is the latest of a series of countries to set up swap lines with China, which is keen to promote the international use of the yuan.

Last year China signed swap agreements with the European Central Bank and a clutch of others, including the U.K., Brazil and Indonesia.

The agreement between China and Switzerland has a term of three years and can be renewed thereafter, the PBOC said.

Write to Neil MacLucas at neil.maclucas@wsj.com and Richard Silk at richard.silk@dowjones.com


Read more: http://www.nasdaq.com/article/swiss-chinese-central-banks-enter-currency-swap-agreement-20140721-00068#ixzz38JjLmYOq

Our Deteriorating Economic Outlook: Serious Inflation On the Horizon

Editor's Note

​Have you noticed that prices seem to be rising faster than the official inflation numbers?

Independent of increasing prices, with food price increases are hidden two additional ways:  (1) reducing quantity or weight yet offering it with a similar price; and (2) reformulating the ingredients of a processed food with cheaper, and often unhealthier ingredients.

Please read and pay attention to this article by Dr Paul Craig Roberts, Guest Columnist, with Dave Kranzler and John Williams of www. shadowstats.com​.

The Deteriorating Economic Outlook

By Paul Craig Roberts, Guest Columnist (former Assistant Secretary of the U.S. Treasury), Dave Kranzler (www.investmentresearchdynamics.com) and John Williams (www.shadowstats.com)

July 8, 2014​

The third and final estimate (until the annual GDP revisions) of first quarter 2014 real GDP growth released June 25 by the US Bureau of Economic Analysis was a 2.9% contraction in GDP growth, a 5.5 percentage point difference from the January forecast of 2.6% growth. Apparently, the first quarter contraction was dismissed by those speculating in equities as weather related, as stock averages rose with the bad news.

Stock market participants might be in for a second quarter surprise. The result of many years of changes made to the official inflation measures is a substantially understated inflation rate. John Williams (www.shadowstats.com) provides inflation estimates based on previous official methodology when the Consumer Price Index still represented the cost of a constant standard of living. The 1.26% inflation measure used to deflate first quarter nominal GDP is unrealistic, as Americans who make purchases are aware.

A reasonable correction to the understated deflator gives a much higher first quarter contraction. The two main causes of inflation’s understatement are the substitution principle introduced during the Clinton regime and the hedonic adjustments ongoing since the 1980s that redefine price rises as quality improvements. Correcting for excessive hedonic adjustments gives a first quarter real GDP contraction of 5%. Correcting for hedonic and substitution adjustments gives a first quarter real GDP contraction of 8.5%.

Realistic economic analysis is a rarity. The financial press echoes Wall Street, and Wall Street economists are paid to help sell financial instruments. Gloomy analysis is frowned upon. Even negative quarters are given a positive spin.

Years of understatement of inflation has resulted in years of overstatement of GDP growth. Thinking about the many years of misstatement, we realized that the typical computation in nominal terms of the ratio of debt to GDP is seriously misleading.

Consider that debt is issued in nominal terms and repaid in nominal terms (except for a few Treasury bonds with inflation adjustments). However, nominal wealth or nominal GDP overstates real economic strength. The debt is growing, but both the nominal and real values of the output of goods and services are not keeping up with the rise in debt.

To understand how risky the rise of debt is, nominal debt must be compared to real GDP. Spin masters might dismiss this computation as comparing apples to oranges, but such a charge constitutes denial that the ratio of nominal debt to nominal GDP understates the wealth dilution caused by the government’s ability to issue and repay debt in nominal dollars. We know that inflation favors debtors, because debts can be repaid in inflated dollars.

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Read More...Click Here


New Silver Price Electronic Exchange: What Does this Mean?

What Will the New Silver Price Electronic Exchange Mean to the Precious Metals Market?

Photo: dailywealth.com

For a long time organizations such as GATA.org, those involved in the precious metals industry as dealers and resellers have claimed that there is price fixing in the precious metals markets.  Some have claimed that the big banks and the Federal Reserve have done a tremendous amount of “naked shorting” to suppress their true worth.

As with any claim or concerns about price-fixing, lawsuits are occurring.  Apparently the current system has lost some credibility and has become a liability.

The London Metals Exchange now announces a new set-up, a silver price electronic exchange,  starting in August for the selling of silver.  Apparently it is trying to address these concerns. (see article below)

So the question becomes what will that do to the price of silver?  If there is a new market for trading will that cause silver prices to increase?  Will prices become more volatile or like a roller coaster ride?  What impact will this have on other precious metals?  These are just a few of the questions I have.

I do not have a degree in finance, business, or economics although I do teach business law to MBA students.  So I am a layman, just like you, who reads, observes and looks for patterns.

What I am trying to determine is when the price of precious metal rise, is there an inverse relationship to the health of the dollar?  If there is, then obviously when the price of precious metals elevate one should be concerned about the viability of the U.S. Dollar and other currencies.  Another question I am mulling is whether a rise in precious metals is more of an accurate indicator of the true rate of inflation instead of our government statistics?  Since the Clinton Administration changed the formula for inflation accounting many say that the real rate of inflation is underreported.  See John Williams’s website www.shadowstats.com for more information.

For those interested in this topic see the announcement below:

UPDATE 2-CME, Thomson Reuters win battle to replace century-old silver benchmark

Fri Jul 11, 2014 11:05am EDT

(Writes through with quotes, background)

* LBMA settles on silver fix replacement after 2-month hunt

* New mechanism heralds change in precious metals benchmarks

By Clara Denina and Jan Harvey

LONDON, July 11 (Reuters) – CME Group and Thomson Reuters will operate an electronic silver benchmark when the 117-year-old “fix” is disbanded in August, in a move widely seen preceding sweeping reforms of precious metals price-setting.

The London Bullion Market Association (LBMA) said in a statement on Friday that CME Group will provide a price platform and methodology for the daily process, while Thomson Reuters is responsible for administration and governance.

CME/Thomson Reuters will start testing the new process in early August after the closely contested competition to produce a solution.

The silver fix – used by producers, consumers and investors – is set every day at noon by three banks via a conference call, working out a price at which their customers are willing to buy and sell the metal.

But with increased attention from regulators in the wake of benchmark manipulation in other markets, the current operator – London Silver Market Fixing Ltd – said in May it would stop running the daily call.

The LBMA consulted market participants with the aim of producing a transparent electronic alternative that complies with toughened regulatory benchmarking standards.

Read More Here

Food Inflation, Now Wood Food Fillers

Food Inflation, Now Wood Food Fillers:  It’s not just Your Health.  When Does it Become Misrepresentation/Food Fraud?

As you know I get very “worked up” about knowing what is in my food:  Is it GMO? Does it contain MSG? Hidden Msg? Aspartame?  What is the food formula or food ingredients?  Is it what I call “Chemical Food”?

I wrote about Food Fraud last year that many seafood are not what they are represented to be.

But what if they reformulate, do not tell you, but have a small ingredients label on the product and don’t translate the “foodese” (or food chemical language, akin to my profession having legalese)?

Do you think that this is misrepresentation or just caveat emptor (“buyer beware”)? 

Is it ethical conduct by the food industry?  (Note:  Sometimes things can be “legal” but that does NOT mean that it is “ethical”.)

Isn’t it a sad state of affairs that when you go grocery store shopping, week after week, that the situation is getting so out of hand (increasing probably more than we realize) that you just can’t trust that the product is still the same but have to read each item and each label every visit? If you think grocery stores are the only ones that do this, think again.  Restaurant chains, including the fast food industry, has wood fillers in their products.

Why are we supporting this kind system with our dollars?

This is one of the reasons that I buy extremely little from the traditional grocery stores and use Thrive.  But if you don’t use Thrive, why don’t you find a food co-op or a local farmer and buy as much of your food from them?

The point is GET OUT OF THE FOOD PROCESSING DISTRIBUTION CHAIN!!!!  It’s become more of a big business food purchase and supply chain than it is a consumer market or service.

How much do they really care about you?  The Grocery Manufacturer’s Association fights tooth and nail to keep you from knowing what their members have put in your food.  If they had healthy products, they would not care if you knew.  In fact, they would spend money conducting public information campaigns to tell you what is in your food.

Instead, they press ahead using dirty tactics, i.e., Washington State and California food labeling referendum, trying to discourage you from knowing what is in your food.

It’s sick.  And we consumers must vote with our dollars and get out of this system ASAP!

 

How Fast Food Providers Beat Inflation – Add Wood Pulp To Burgers

By Tyler Durden of ZeroHedge.com

Who knew wood could taste this good. QZ.com/Photo Reuters/Molly Riley

On Monday, Quartz published an article by Devin Cohen titled, There is a Secret Ingredient in Your Burgers: Wood Pulp. Given the headline and people’s already present suspicion regarding all of the shady and potentially dangerous ingredients hidden in food items, the article gained a lot of traction. In subsequent days, most journalists and bloggers have focused on the dangers of this additive (unclear) and whether or not it is pervasive throughout the food chain as opposed to just fast food (it appears to be).

The one angle that has not been explored as much is the overall trend. Let’s go ahead and assume that wood pulp is a safe thing to consume, it certainly seems to have no nutritional value whatsoever. So why are companies inserting it into food items? To mask inflation and earn more profits most likely. This was a major theme I focused on last year in a series of pieces on stealth inflation and food fraud, a couple of which can be read below:

New Study Shows 59% of “Tuna” Sold in the U.S. Isn’t Tuna

New Study Shows: Food Fraud Soared 60% Last Year

The Quartz article notes that:

There may be more fiber in your food than you realized. Burger King, McDonald’s and other fast food companies list in the ingredients of several of their foods, microcrystalline cellulose (MCC) or “powdered cellulose” as components of their menu items. Or, in plain English, wood pulp.

The emulsion-stabilizing, cling-improving, anti-caking substance operates under multiple aliases, ranging from powdered cellulose to cellulose powder to methylcellulose to cellulose gum. The entrance of this non-absorbable fiber into fast food ingredients has been stealthy, yet widespread: The compound can now be found in buns, cheeses, sauces, cakes, shakes, rolls, fries, onion rings, smoothies, meats—basically everything.

The cost effectiveness of this filler has pushed many chains to use progressively less chicken in their “chicken” and cream in their “ice cream.”

This is the part that really interests me. When did these companies first introduce this substance into their products and what is the growth trend? My guess is that as food costs have risen, the proportion of non-nutritonal fillers has increased substantially. That said, I’d like to see some data and I haven’t yet.

My big takeaway here is the same as last year’s when I first started writing about the trend. As the cost of food continues to rise, the cost of not paying attention to what you are eating rises exponentially. Companies will continue to try to mask inflation by shrinking package sizes, and when that is no longer possible, increasingly inserting empty fillers (or worse) into their products.

Read More Here

Why is Head of the IMF Talking About Numerology and World Economy?

The IMF and Numerology:  What Gives Here?

Have you seen this you tube video regarding a speech Christine Legarde, head of the IMF,  did on the world economy earlier this year?  You can see the video by clicking this link.

Why would a leader of a major organization give such a bizarre speech?

She should be talking about balance sheets, economic growth, not engaging the audience in a lesson of numerology.

Here is an interview by Greg Hunter of WatchdogUSA.com with Steve Quayle discussing this interview.

I don’t think though that you need a lesson on numerology to know that the dollar is on life support awaiting for the plug to be pulled out of the wall.

Nor do we need numerology that the economy is shrinking, not growing.

Do your research.  Look at the numbers, the economic and political issues.  Can you really rely on the government to solve the problem?  Or do we have to start focusing on doing the best for our home, start rebuilding our neighborhoods and communities from the ground up?

Economic Health: Gold is Probably Gone, Real Inflation Understated, Recession is Coming

Economic Health: Gold is Probably Gone, Real Inflation Understated, Recession is Coming

Is the death of the dollar a "when" instead of an "if"?I encourage you to listen to Dr. Roberts interview with King World News.  The economy is much worse shape than policy makers are indicating.  Many of the figures are overstated or understated our economic health, depending on the outcome desired.

If a private citizen or business did what the government is doing, would we be sued or at worse in jail?

Is your assets in paper only, whether certificates, stocks, money, etc.?  Do you have possession of those paper assets?  Or can you physically touch your assets?

In law we have a rule:  Possession is 9/10’s of ownership.  You can “own” something but if someone else has physical possession and a dispute erupts, then how are you going to get it?  This is what causes many lawsuits, trying to get possession of things that people claim they owed but are being denied ownership rights.  Many times while the litigation is ongoing the value of the property dissipates.

Listen to Dr. Roberts’s brief interview about the nation’s economic health by clicking 6-28-2014 Roberts interview.

BIG BANKS NOW IN THE PAYDAY LOAN BUSINESS–Look Out!

BIG BANKS NOW IN THE PAYDAY LOAN BUSINESS

This article by Michael Snyder is very disturbing.

Payday loans are not a good option on meeting your bills and debt obligations.  All you are just doing is increasing your debt load and exchanging one lender for another and at higher interest.

Ask yourself:  Is this being a wise steward of what blessings you have been given?  Would you be better off to contact the business or governmental entity and trying to work out a delayed payment plan?  Many entities will do this.  Why?  Because in a challenged economy they know two things:  (1) If they cut your services off, then it is unlikely you will pay restoration fees and remain their customer; and (2) If they send your debt to a credit reporting agency, they are unlikely to get payment.  I know if I have a disputed debt, someone turns me in to a credit reporting agency, then it will be a cold day in Hades before they get one cent.  If they want payment over a disputed issue, then they will negotiate with me.  I will not support credit reporting abuse.

Should you learn to be a cash paying person and avoid debt so your credit report is not used as a hammer on your head?  Going cash or using debit cards at first is hard but in the end it is very liberating.  I recall Dave Ramsey, who gives advice on personal finance and planning, saying that he has no credit cards, only will use debit cards, will not take out loans, etc.  He said that despite him having multi-million assets (meaning 8 figures) he has credit score of zero.

I know that many of you if you own a home need to have a mortgage.  But should you really have any credit beyond this?  (And in the interim, work on paying off that mortgage.)  If you don’t have the money for anything that you want to purchase, then is that a sign just to wait a few weeks until you get the funds to pay cash? 

I understand the concept of having credit cards and paying the bill off when it comes due.  But this is risky business because at times some “emergency” comes up that robs us from paying that credit card in full.

If you are going to pay the bill off anyway within 20 days, then why not just have that money in your checking account and using your debit card?  That way you eliminate the risk of the “emergency” robbing you of a paying the monthly bill off in full.

Another reason to eliminate the credit cards and use debit cards is that credit cards are another way of funding the “Too Big to Fail Banks”.  Do you want to fund their arguably socially irresponsible conduct with the derivatives, liar loans and credit default swaps transactions?

WHO ARE PAYDAY LOAN CUSTOMERS?

You’d be surprised to know who payday loan customers are:  your neighbors.  Yes, from what I’ve learned it is the middle class:  teachers, law-enforcement personnel, and even highly educated professionals, i.e., lawyers.

In the early 2000’s I crossed paths with an owner whose family owned 50+ payday loan stores.  I was surprised what he told me about who their customers were.  Many of the loans, became multiple loans and higher interest, before and if the loans got paid off.

I could not understand why individuals would allow this to happen to them.  He said their primary reason they do this is to save their credit score.  If it was me, and I was in a bad bind and could not work out extensions, then I would let that credit score decrease before I would waste monies when my budget is economically challenged.  If I am having that much difficulty then I do not need to be pouring gasoline on the fire.

NOW TOO BIG TO FAIL BANKS ARE GETTING IN THE ACT

As you can see I have ethical concerns about Payday loans.

It’s evident that the economy is getting more challenged when the “To Big To Fail” banks are getting in the Payday Loan business.  Do you think that with all they did to contribute to the 2008 housing crisis with their liar loans, necessitating the 2008 Wall Street Bailout,  that their venture into this area reflects their piranha, man eating mentality?  They can argue that it is legal, high profits.  But think about the morality and ethics of this.  Are they are a major contributor to our economic problems?  Should they get more profits for conduct in which they arguably have some social, economic, political and ethical responsibility?

You don’t have to be a Christian to appreciate the wisdom and saying of King Solomon (in history he was the richest man to have lived on earth) contained in the Book of Proverbs (Chapter 22, Verse 7):

The Rich rules over the poor,

And the Borrower becomes the lender’s slave.

Think about it!–No name attorney

Shut Them Down! – Payday Loan Companies Are Making Billions Preying On The Misery Of The Poor

By Michael, on May 12th, 2013

Payday Loan Companies Are Making Billions Preying On The Misery Of The Poor - Photo by Vinceesq

Would you take out a loan that has an annual percentage rate of 391 percent?  Yes, I know that sounds absolutely crazy, but millions of Americans do it every single year.  The typical payday loan requires borrowers to pay about 15 dollars for every $100 that they borrow for two weeks.  That comes out to a yearly rate of about 391 percent.  And the payday loan companies know exactly who to target.  They have set up thousands of shops in the poorest communities all over the nation over the last several decades.  Each year, approximately 12 million Americans take out payday loans and they pay approximately 7.4 billion dollars in interest and fees on those loans.  Sadly, once you get hooked on payday loans they are very hard to stop.  In fact, one study found that only 13 percent of payday borrowers get two loans or less per year.  All other borrowers take out more loans than that.  In fact, more than a third of all payday borrowers take out between 11 and 19 loans during the course of a single year.  And as was mentioned earlier, the interest rates on these loans are beyond exorbitant.  Payday loans are estimated to be about  20 times more expensive than bank loans, with annual interest rates that are sometimes as high as 500 percent.  The payday loan companies circle the poor like vultures, because they know that the poor are the only ones desperate enough to agree to such terms.  This is why we need to shut them down.  The payday loan companies are making billions preying on the misery of the poor and it needs to be stopped.

And it just isn’t small, disreputable banks that are involved in these practices.  The truth is that some of the largest banks in America are now making payday loans…

Some, including U.S. Bank, Fifth Third Bank and Wells Fargo, offer payday loans under names such as Ready Advance, Fast Loan and Early Access, according to the Center for Responsible Lending (CRL). They can carry interest rates averaging between 225 and 300 percent, CRL said.

Others major banks not making such loans directly, but instead they are investing millions of dollars in the companies that do make the loans.  Bank of New York Mellon Corp., JPMorgan Chase and Bank of America are just some of the major banks that have invested large amounts of money in the payday loan industry.

Read More…

 

 

 

 

 

Is An Economic Crash Greater than the Great Depression Near?

Is An Economic Crash Greater than the Great Depression Near?

As many of you know I am engaged in the food and health war.  But if we have an economic crash, where there is greater job loss than 2008 and thereafter, then if we have less funds will our food quality and health suffer?

For many of us who have food allergies and sensitivities or want to buy higher quality foods, the traditional grocery store just is not a friendly place.  We will not fare well if we lose our income sources and have to go on food stamps.

So what suggestions do you have that everyone should consider to offset and prepare for a potential financial hurricane?   Think about it!  –No Name Attorney 

The Crisis Is Imminent: “When The Real Crash Comes It Will Be Worse Than the Great Depression”

by Mac Slavo

 

“The United States is like the Titanic, and I’m here with the lifeboat trying to get people to leave the ship… I see a real financial crisis coming for the United States.”
Peter Schiff August 2006

In 2006, when he faced off with many well known Titans of investing and warned of an impending financial disaster and economic collapse, Peter Schiff was laughed at by his colleagues. He urged Americans to exit financial markets and take steps to protect themselves before the wealth held in their savings accounts, retirement investments and real estate was wiped out.

Few listened.

We know what happened next.

Now, those same financial experts who publicly vilified Schiff for his predictions six years ago are at it again. Many, including our politicians, central bankers and leading economists, have unequivocally stated that the worst is behind us, and that a global recovery is on the horizon.

Once again, Peter Schiff disagrees:

“I think we are heading for a worse economic crisis than we had in 2007,” Schiff said.  “You’re going to have a collapse in the dollar…a huge spike in interest rates… and our whole economy, which is built on the foundation of cheap money, is going to topple when you pull the rug out from under it.”

Schiff says that, despite “phony” signs of an economic recovery, the cancer destroying America stems from a lethal concoction of our $16 trillion federal debt and the Fed’s never ending money printing.

According to Schiff, these numbers are unsustainable. And the Fed has no credible “exit strategy.”

Eventually interest rates will rise… and when they do, Schiff says, stocks will tank and bonds dip to nothing. Massive new tax hikes will be imposed and programs and entitlements will be cut to the bone.

“The crisis is imminent,” Schiff said.  ”I don’t think Obama is going to finish his second term without the bottom dropping out. And stock market investors are oblivious to the problems.”

“We’re broke, Schiff added.  ”We owe trillions. Look at our budget deficit; look at the debt to GDP ratio, the unfunded liabilities. If we were in the Eurozone, they would kick us out.”

“The Fed knows that the U.S. economy is not recovering,” he noted. “It simply is being kept from collapse by artificially low interest rates and quantitative easing. As that support goes, the economy will implode.”

A noted economist, Schiff has been a fierce critic of the Fed and its policies for years. And his warnings have proven to be prophetic.

His recent warnings, however, have been even more alarming.  Will they also prove to be true?

In his most recent book, “The Real Crash” How to Save Yourself and Your Country“, Schiff writes that when the “real crash” comes,” it will be worse than the Great Depression.

Unemployment will skyrocket, credit will dry up, and worse, the dollar will collapse completely, “wiping out all savings and sending consumer prices into the stratosphere.”

“All we can do now is prepare for the crash,” Schiff said. “If we brace ourselves properly and control the impact, we will survive it.”

Indeed.

We must understand that none of the fundamental problems leading up to the 2007/2008 financial crisis have been resolved.

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Banks Engaged in Money Laundering–Fund Drug Cartels

Banks Engaged in  Money Laundering– Fund Drug Cartels

I suggest you read this entire article by Anthony Gucciardi.  Do you seeing any upper executives or board of directors of these mega banks going to jail for money laundering?  No.  At best they get a tiny fine which they pass on to their deposit holders and customers in higher fees and costs for their services.  By not sending them to jail and allowing them to treat getting caught as the cost of doing business governments are rubber stamping this conduct.

As Gucciardi queries:

So what is to be done to these banks at the end of the day? Are executives being  jailed, companies being dissolved, and funds being withdrawn from Mexican drug  cartels and terror groups? Well, no. Instead, taxpayers are helping to  fund the megabanks with $83 billion per year – far more than any minor  settlements paid out by the banks.

So if government won’t do anything about it, does it mean that you should be ratifying objectionable conduct in which you get the penalties (when they’re caught) in higher fees but you don’t share in the illegal gains?

Ask yourself from a moral aspect or social responsibility should you be trusting them to protect and hold your hard earned money?  Think about it!–No Name Attorney

NBC Report Confirms Bankers Really Do Fund Drug Cartels, Terror Groups

by Anthony Gucciardi

Still think it’s a ‘conspiracy theory’ that the largest mega  banks are profiting off of the drug trade, or even the activity of terror  groups? A little-known NBC report from 2012 actually confirms  it. In fact, one 2012 NBC report details how HSBC bank helped to  finance everything from Mexican drug cartels to Syrian terror cells.  Thanks to a United States Senate report, which centers around the role of Mexican drug  cartel funds travelling through HSBC, NBC and a few other outlets actually  covered the breaking news — albeit to a small degree.

banks drug cartels
Photo Credit: StoryLeak.com

And  it’s this report that reveals how the United States branch of HSBC  directly aided backers of Al-Qaeda and Mexican drug cartels through  both finances and overall banking services. From terror-linked groups out of  Saudi Arabia and Bangladesh, HSBC was tied up with numerous terror groups  and financially empowering them for quite some time. For around a decade or more, in fact. Yet HSBC has managed to get away without much of a hitch. Even the 2012  Senate Report we’re discussing was simply a ‘probe’ that documents the events  themselves. Even the major United States bank regulatory group the Office  of the Comptroller of the Currency was deemed to have improperly looked into the  situation — instead turning a blind eye to the entire operation. The  investigative group at the Senate even reports on how the very culture of HSBC  has been ‘polluted’ during the lengthy time period of terror and drug  funding.

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