Important Discovery on Bank ATM crashes

[ich1baNMember]

Hi Everyone,

So the Doc has been updating us on the ATM crashes from RBS, UBS, and the German bank (Deutsche w/e) and I just wanted to give you guys a critical parallel to the sub-prime mortgage crash that is shockingly similar to what is going on now. 

First, I know there was that IT guy (I forget his name) that posted about how this is all normal and what not and that it is likely a systems update but I am reading “The Big Short” by Michael Lewis and I am at the part where Mike Burry is explaining when SHTF in June 2007 in the Sub-Prime world that the big banks where he placed his CDS wagers with (Goldman and Morgan Stanley) all of a sudden would have systems crashes and made up excuses anytime he tried to contact them to ask about how his portfolio of CDS’s were doing and if they were increasing in value when the bonds they were tracking were blowing up. 

It is eerily similar to what is going on today with the banks in europe and how they are claiming systems updates or or ‘systems problems’. I just wanted to note that to you guys, that if this is a similar situation then all of Europe is about to blow up in the next 2 months. That is all.

Signing off,

ich1baN

[jj83Member]

oh yea, thanks for reminder of the guy.  Haven’t read Big Short yet.

Recall ZeroHedge posted up a speech he gave at an UnderGrad Economics commencement speech.

Also found this archived ZH post from July 20, 2011: http://www.zerohedge.com/article/profiling-big-shorts-michael-burry

[AGXIIKMember]

When Wachovia was failing and being closed down there was a run on the bank before it was fully taken over.  There were doubts about the purchase/takeover between Wells and Citibank but the silent bank runs that took place over a period of a weekend in Sept 2008 deplete the bank to insolvency in  a blink of the eye.

  Over that weekend the FDIC stepped in to backstop the bank but the large depositors and account holders had already done the damage and stripped the bank of billions in 48 hours. This bank and WAMU were gutted in a period of a couple of days as the large account holders took their account balances down to the FDIC protection of $100,000.  The individual account holders heard about this and the problems with keeping the bank open and began the jogging bank run. There was a brief time period when the MSM showed people lined up outside the bank to get their money. Just like 1930. 

In Europe the banks are being decimated by the large account holders shifting their funds to other banks and other countries with a mouse click, creating this silent bank run.  If I was to predict anything about this, if bank runs begin in earnest, the smaller account holders will be the last in line. The real bank run will take place over night; over a weekend, as they remove hundreds of billions of dollars from JPM, B of A, WFB, US Bank, GS and others.  It will create such a systemic failure that a bank holiday will take place on a Monday morning when people wake up to the realization that their bank is now insolvent and their funds are inaccessible.

[MaryBMember]

I get paid (SSDI) I pay bills and immediately withdraw whatever I have left as cash. I can always deposit some back if needed but at this point leaving anything in the bank is foolish.

[XizangMember]

You’re a fool who deserves to be parted from your money if you trust a bank or government.

That said, most of us still get paid in fiat dollars and are paying our routine bills in fiat.  So maybe the smart thing to do is, carry on as usual, siphoning off as much after-the-bills money as possible to invest in the real money – gold and silver ( granted, many people right now don’t even have enough for all the bills, let along anything left over ).

Another critical factor is continuing to maintain a low profile, staying well below the radar of authorities.   I’m not paranoid or anything.  I just don’t trust government or bankers.

[reflectorMember]

[Tears of the MoonMember]

Results of my latest survey on my blog (gold88blog.com)

[Author]

Posts