Oct 1st, or thereabouts is going to be an intertesting time.
We have to remember Gov’t is run by human beings. Not always good ones.
If that human being doesn’t think government can do any good, or they don’t care what government does.
This is what results when that happens and greedy people take advantage.
We can blame gov’t regulators, or regulations, but I’d rather point the finger at that particular person, AND who voted them in.
Which in our case, invovles every political party, and every person who has voted. (and conversely not voted)
Gov’t isn’t the problem. Gov’t run by stupid people, or greedy, is.
Great posts guys, I’ve been watching this stuff since 2003 or so when alot of the warning signs started going out. The thing I learned mostly new from this, was the corrollation between small-mid sized being in the CRE market. I wasn’t aware of that. Thus as everything is collapsing, that specifically will be the trigger to take them down. I’ve understood for at least a year about the coming CRE, but didn’t realize they are mostly held by the as of now, ‘safe banks’.
This really is going to hit the fan at all levels. I know that, most of you all know that, or suspect it or whatever, but to realize the linkage is pretty big.
I also wonder how many ‘self made’ millionaires that have become such over the past couple of decades have lost all but 250k fdic insurance limit.
But it is something to be cognizant of. Imagine if you had to wait a couple of months, or even 6 months or a year to get what you have in your bank account. How is that going to help you pay your mortgage? To buy food, clothing, gas, utilities? Credit card bills? If you’re a smoker, ciggarettes, if an alcoholic, alcohol? What about drug users?
I know the answer, we all do, it’s ‘you’re screwed’.
I can see that happening. If Oct 1st or thereabouts is d-day, economically, then the FDIC will be 1 of many issues that they’ll be facing, probably not the 1st either. At some point, the calls for austerity come. At some point we will be made to believe this is how it HAS to be. Which is bull, but will be what happens, and what we probably LET happen. I have hope that we won’t, but to think congress will vote for a bill authorizing a full 250k for all the banks that are about to fail, or subsequently fail after Oct 1st,
Again they said they are insuring 6 trillion or so in deposits. If even 11 percent of those have to be paid out, two things will occur.
1. You can bet 6 trillion (hell maybe 50 trillion) in deposits that WEREN’T insured will evaporate. Those people will survive, but will they be buying the same amount of ‘stuff’ as they were before? Hell no.
- What would be needed by the gov’t to backstop 11 percent of 6 trillion would exceed the ‘banking bailout’ (as has been reported).
Again to pull from another article, 2012 is wishful thinking. I’m thinking it is going to hit Oct 1st, 2009 (give or take 2 weeks), and if they can rig it now, this is the last year they can. Thus Oct 1st 2009 or Oct 1st 2010 seems like it’ll be the day. Of course, people can wisen up at any time. If they do, the collapse could be ‘any day until then’.