I sent out an article yesterday and I left out what I consider to be a large piece of information. I failed to mention that the FDIC has assets of $125 Billion and is insuring around $9 TRILLION. How does that sound? It sounds to me like they are about 98% short of what would be needed in a real crisis. Many will say- yes but the Fed will just “print it up”. I believe that they likely would. Keeping that in mind I have said many times that Warren Buffett always says, “price is what you pay- value is what you get”. I have said that with each dollar, yen, Euro and all fiat currencies that are conjured up out of nowhere the VALUE of gold, silver and hard assets rise. If the Fed were to actually bail out the banks to the tune of many trillions all at once, what do you think that would do the the VALUE of the currency? It would likely collapse. What would it do to gold, silver and hard assets in that circumstance? It is most likely that those assets would skyrocket in dollar and most fiat currency terms.
This is no time for complacency. When this takes place being just a moment late could cost you dearly.
FDIC ASSETS $125,000,000,000.00 Insuring $9,000,000,000,000.00. Since you are considered an UNSECURED CREDITOR of the bank- look up who gets paid LAST in a bankruptcy. First loser is the common (stock) shareholders, next to lose are the preferred shareholders, then the unsecured creditors. The secured creditors (mostly other banks) would then get the assets left over with all of the debts wiped out. That is how most bankruptcies go. In this situation I would bet that the unsecured creditors (us) would get something so the pitchforks stay in the barn.
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