Bail INS vs Bail OUTs: Can the bank really steal your money?

The simple answer, YES banks absolutely CAN take your money. It's more or less legalised theft of your savings.

Since my first post about Lockdowns being about anything BUT the the virus, I have started a mission to try to shed some light on what is happening behind the scenes so that you can make the best decisions for you and your family.

There are certain illusions the media and government want you to believe about what is happening, and then there Is reality. I am merely trying to shine a light on the differences between the two.

Today I want to talk about bail ins.

This is one of the topics I find myself trying to explain over and over again in my chats with people about what to expect might happen in the upcoming global banking crisis. I also get asked the dreaded “pension"question all the time and find myself wanting to eat my own arm over trying to answer this horrifying truth.

But here it goes…

The truth of bail in’s are far worse than bail outs.

The term “BAIL IN” according to investopedia.com is a “the opposite of a bail out, which involved the rescue of a financial institutions by external parties, typically governments using tax payers money.” They work by allowing the bank to use the money of unsecured creditors” including depositors and bond holders, to restructure their capital so it can stay afloat. This also includes pension funds and bond holders.

The bail in, is a whole new level of corruption. The bank can legally take possession of your deposit and savings and turn it into worthless banking stock. The bank can now legally obtain a money judgment and have the funds in your bank account frozen, or seize them outright. People are oftentimes disillusioned to think that the bank has an obligation to you to give you your money; after all, you’re the one who deposited it— but actually, they have no such obligation. And yes, for those that doubt me, it is legal.

You are probably familiar with the term "bail out" from 2008, where the government used tax payer money to bail out the banks; it became one of the biggest scandals in modern history. (That is until the covid nonsense began, but I will save that argument for another day.)

With traditional bail outs, funded by your taxes, even if your taxes go up, you still have a fighting chance to pay your bills. If your bank account or pension gets wiped because of these bail ins, that’s it. No one is coming to rescue you.

Many people don’t want to hear it, merely because we are all conditioned to believe the banks are safe and they have our best interests in protecting our money. Many also don’t remember or weren’t directly effected by the crash in 2008 so therefore think “it could never happen to me.”

In the words of Lynette Zang, “They don't change the behaviour, they merely change the rules.”

When the banks change the leverage rules, and go through bank “stress tests” which is merely to generate confidence, not to really test whether or not a bank can weather a crisis- the end goal is all about "perception management.” So yes, the rules are changed so that you believe your money is safe— it does not mean that it actually is.

Everything happening in the bank right now, is about "risk transfer.”

You and I are not “too big to fail” but the banks? Thats a whole different ball game.

The notorious IMF, one of organisations I’ve written about before, known for their monetary policies to protect the few, not the many, endorsed the bail ins.

In April of 2012, the IMF produced a paper about bail ins entitled “From Bail out to Bail in: Mandatory Debt Restructuring of Systemic Financial Institutions.” I have put the link below for you to download the PDF if you are interested in it, but essentially the paper goes into detail about the bail ins congratulating the banks for their success. Yes the successful banking policies which allowed them to legally take money from the depositors and to credit the banks with your money. My favourite page is page 8 “Why do we need bail ins?” In the interest of this blog post, I won’t bore you with the hideous excuses as to why they are robbing you in plain site, you can indulge later, if so desired.

11 months after the paper was published, Cyprus had the first bail in- March 2013. The banks failed and 21,000 savers, with more than 100k euros in their bank account, lost their money.

Technically, the banks didn’t "steal" the money, they converted it into assets. But if the people didn’t agree to it, my point of this being nothing short of theft, stands.

The official terminology permitted , as in , what is printed around the case study is “ a financial reallocation of collateral to neutral assets.”

What they should have written in place of the word neutral was “unusable."

Yes, those people in Cypress were “rewarded" with a bunch of unusable assets.

In other words: purposeless, futile, crap.

The depositors of Cyprus saw roughly 50% of their savings disappear into an insolvent bank.

Who wants to own stock in that?

To give you some perspective, Cyprus has two major banks. Think of what this means for countries like the UK and the USA who have the biggest banks in the world.

When the people of Cyprus went to court over the injustice, the court decided to side with the banks.

Think about that for a minute. What would you do if and when this happens to your money?

So the most obvious of question then becomes, ‘how is any of this legal?'

When you and I deposit money into the bank, it's considered a deposit. Technically and legally the deposit becomes the ownership of the bank. They issue you a per-missionary note —

As far as the bank is concerned, you have made a loan to them, and then you get the “right" to earn interest— an unsecured loan.

They give you interest to make you feel special on your deposit— even if its 0.001%— its still an unsecured loan from you to the bank—and just like all unsecured loans, it’s at risk.

The IMF commended the Cypriot authorities for the Bail ins and continue to applaud them for "the amazing success.” After said "success" of the bail ins in 2013 in Cyprus — the rest of the world followed suit. Yes, central banks everywhere legalised this bootless scam.

On the weekend of November 16th 2014, the G20 leaders met up in Brisbane, with all the photo ops and fanciful language reported to show off how they all chose to agree to a new set of rules for bail ins. I’ve read online this new set of regulation was “the day money officially died.” I have to say, I agree.

The EU allowed it in 2014, and again calls it a "bail in mechanism”—"that aims to ensure banks shareholders and uninsured depositors pay their share of costs.”

Why on earth would a depositor have to take a share of the cost?

The blame is the bank— not the people?

In theory when you have depositors who are absorbing losses— the people should come first. But in practice, it couldn’t be further from the truth.

The UK’s FSB, Federation of Small Businesses, also legalised the bail in; they were institutionalised in 2014. The FSB allowed the priority of payment to bank derivatives first, above all other creditors.

Remember what happened in 2008 with the derivative market? Do you remember any changes taken place? I don't. The regulation changed, but the behaviour didn’t. And the regulation merely put a band aid on the derivative market, hardly fixed a thing.

I will have to do a separate post about the derivative tsunami later— but until I do, don’t forget about the hundreds of trillions of dollars that exist in this market. The FSB allowing this to continue means that when the derivatives market does finally pop, (because it absolutely will) the banks and financial institutions get paid FIRST, and then the people.

We can all thank our politicians for this.

I personally have 10 bank accounts in the UK— across five different banks and a few more in the USA. People have laughed at me for this over the years, asking. “Why do you need so many bank accounts?” I don't want to hold any money in ONE bank, let alone one account.

I don't trust the banks.

What about the FSCS , FCA, or the FDIC—- surely they will protect the people?

Do you know how much money is these accounts? It's roughly 0.25% funded— a fraction of what would be needed. With only .25% of your deposits in the bank, not to mention the hundreds of trillions of derivatives, there’s no chance you will see that money.

If the banking sector collapsed, there is no way you will EVER get all your money out of the bank.

Again, to look back to the historical reference from 2008, over 1200 banks went to the FDIC for money— they didn't have the money and the FDIC had to go to the treasury. And where does the treasury get its money?

Banks are high risk.

Think about it: does your bank make Business loans? Whats happening to businesses globally? Unless you’re Walmart of Amazon, are they not collapsing left and right these days?

And then look at the housing markets… Does your bank do Mortgages?

Mortgages are probably the only thing holding it up at the moment —- because the property prices are exploding. They are exploding because of all the new liquidity being pumped into the market from the federal reserve.

But what happens when interest rates start to rise, as they inevitably cant keep them down forever?

What happens when the housing market turns negative and all of this turns around?

I encourage you to look at what happened during the Great Depression—or before the crash in 2008. We are seeing some of the same patterns. Anyone noticed that the banks are cutting credit limits or cutting out credit cards in general? Anyone pick up on Wells Fargo convenient cut to the credit lines as well? Didn’t they do this just before the crash in 2008?

Have you been to an ATM recently and there is no cash?

What about the banks only being open for a few hours a day?

Do you really believe it's because of “covid?” Come on…. How is it that big stores can be open all day every day, except the banks are more prone to the virus? Let's not be stupid.

What happens when you go to your bank today and remove all your cash? What are the restrictions ? Do they make you wait a week? Some people have told me they have to undergo questions as if they are in an interrogation to get their money. That is, if they can get it at all.

To wrap this up, the banking sector will not be bailed out with tax payer money next time— it will be bailed IN with those who hold their money in the bank.

So what next?

Diversify you cash.

Get it out of the bank immediately.

Or, if you can’t, move into smaller banks or credit unions.

If you are saving in the bank right now, you are losing purchasing power daily. This is because as more currency is printed into supply, it weakens the value of currency in existence. This is inflation in plain sight.

As much as I would love to tell everyone what to do— Everyone has different standards for which they feel safe. And even though I have been ranting on twitter for the last few months about the incoming crash, it's impossible to know how to advise you all individually.

I’ve spoke to everyone I can about this and come to the conclusion that some people love gold and silver, others love crypto. Some refuse to give up their mining stocks and Nasdaq portfolio—I have friends who love to invest in equities, commodities and hard assets. Thats their choice based on the information they have researched. I can’t be the one to tell you what to do. I don't personally believe any institutional money is safe, hence why I am an adamant believer in precious metals and crypto. These are my hedge against inflation and personal autonomy through the financial reset. I hold a few stocks in certain select few fin tech companies that I believe will be game changing after the financial reset, but thats only because I believe these companies will be instrumental in the upcoming collapse. I don't look at the old giants, I am focused on the new ones.

If you have further questions or want to talk through some of this with a group of like minded red pilled, individuals, join my telegram group. We are all doing what we can to prepare for the financial collapse. We are extremely friendly and proactive- we focus on security for the future— from investments, to growing food, to hedging against inflation etc.

Resources:

IMF PDF download: https://www.imf.org/en/Publications/Staff-Discussion-Notes/Issues/2016/12/31/From-Bail-out-to-Bail-in-Mandatory-Debt-Restructuring-of-Systemic-Financial-Institutions-25858