myRA?- Europe Considers Wholesale Savings Confiscation, Enforced Redistribution

[Geaux4it]

Coming to a city near you soon?

-Geaux

Europe Considers Wholesale Savings Confiscation, Enforced Redistribution

Tyler Durden on 02/12/2014 21:28 -0500

At first we thought Reuters had been punk'd in its article titled "EU executive sees personal savings used to plug long-term financing gap", http://www.zerohedge.com/news/muddl...ays-there-may-be-only-painful-ways-out-crisis which disclosed the latest leaked proposal by the European Commission, but after several hours without a retraction, we realized that the story is sadly true. Sadly, because everything that we warned about in "There May Be Only Painful Ways Out Of The Crisis" back in September of 2011 http://www.zerohedge.com/news/muddl...ays-there-may-be-only-painful-ways-out-crisis, and everything that the depositors and citizens of Cyprus had to live through, seems on the verge of going continental.

In a nutshell, and in Reuters' own words, "the savings of the European Union's 500 million citizens could be used to fund long-term investments to boost the economy and help plug the gap left by banks since the financial crisis, an EU document says." What is left unsaid is that the "usage" will be on a purely involuntary basis, at the discretion of the "union", and can thus best be described as confiscation.

The source of this stunner is a document seen be Reuters, which describes how the EU is looking for ways to "wean" the 28-country bloc from its heavy reliance on bank financing and find other means of funding small companies, infrastructure projects and other investment.

So as Europe finally admits that the ECB has failed to unclog its broken monetary pipelines for the past five years - something we highlight every month (most recently in No Waking From Draghi's Monetary Nightmare: Eurozone Credit Creation Tumbles To New All Time Low), the commissions report finally admits that "the economic and financial crisis has impaired the ability of the financial sector to channel funds to the real economy, in particular long-term investment."

Read the rest here: Europe Considers Wholesale Savings Confiscation, Enforced Redistribution | Zero Hedge

 

[Toro]

ZeroHedge is a crank site.

First, the author doesn't understand what happened in Cyprus by inferring it had anything to do with the topic at hand.

Second, the author doesn't understand the topic at hand. The executive's comments are about moving financing away from banks to finance private investment, which has already happened in the US.

Third, it was the suggestion of one executive.

ZeroHedge isn't credible. I don't know how many times I've seen dumb misinformation from that site.

 

[Geaux4it]

ZeroHedge is a crank site.

First, the author doesn't understand what happened in Cyprus by inferring it had anything to do with the topic at hand.

Second, the author doesn't understand the topic at hand. The executive's comments are about moving financing away from banks to finance private investment, which has already happened in the US.

Third, it was the suggestion of one executive.

ZeroHedge isn't credible. I don't know how many times I've seen dumb misinformation from that site.

Media's credibility has taken a hit for some time now

-geaux

 

[Vox]

Cyprus savings have been already confiscated.

Europeans swallowed the pill - and now the aim is at THEIR savings, not Russian ones.

Niemöller predictions all over again.

 

[Jarlaxle]

Cash and gold in a safe is starting to look pretty good...

 

[zeke]

ZeroHedge is a crank site.

First, the author doesn't understand what happened in Cyprus by inferring it had anything to do with the topic at hand.

Second, the author doesn't understand the topic at hand. The executive's comments are about moving financing away from banks to finance private investment, which has already happened in the US.

Third, it was the suggestion of one executive.

ZeroHedge isn't credible. I don't know how many times I've seen dumb misinformation from that site.

Media's credibility has taken a hit for some time now


Ah but that's never stopped you from posting the bullshit you post now has it? If it fits in your fantasy, post it. Right? Then back track when you are made to look the fool.

Hey, when does the revolution start?

 

[Geaux4it]

ZeroHedge is a crank site.

First, the author doesn't understand what happened in Cyprus by inferring it had anything to do with the topic at hand.

Second, the author doesn't understand the topic at hand. The executive's comments are about moving financing away from banks to finance private investment, which has already happened in the US.

Third, it was the suggestion of one executive.

ZeroHedge isn't credible. I don't know how many times I've seen dumb misinformation from that site.

Media's credibility has taken a hit for some time now


Ah but that's never stopped you from posting the bullshit you post now has it? If it fits in your fantasy, post it. Right? Then back track when you are made to look the fool.

Hey, when does the revolution start?

Meh, clearly pointing out that painting a specific sight as 'biased' or 'bogus' is moot

Meanwhile, .. Much help is needed to paint the impression of my stupidity...

But you're self made fool and need limited assistance from others

-Geaux

 

[Pepe]

This event has actually occurred in several European and South American Countries.

Both the Canadians and the Imperial Amerikan Gubmit have draft Bills of Bank "Bail Ins", ala Cyprus, and IRA, 401k, SEP, et. al., confiscation as was done in Argentina.

All Governments will turn over heaven and hell to retain their power.

It is the nature of the beast.

The Amerikan Empire has a minimum of 127 Trillion in "Unfunded Liabilities" and that figure according to GAAP is likely north of 203 Trillion.

It is now taking $3.40 of "borrowed" funds to get a corresponding $1.00 increase in GDP.

Simple math will tell you this is not sustainable.

There will be a "collapse."

It is a matter of when, not if.

 

[JimBowie1958]

ZeroHedge is a crank site.

First, the author doesn't understand what happened in Cyprus by inferring it had anything to do with the topic at hand.

Second, the author doesn't understand the topic at hand. The executive's comments are about moving financing away from banks to finance private investment, which has already happened in the US.

Third, it was the suggestion of one executive.

ZeroHedge isn't credible. I don't know how many times I've seen dumb misinformation from that site.

Toro, you have your notion of what the facts are out of alignment with reality.

Who called the 2008 bubble bust? Was it the new Fed chairsatan Yellin? Or Greenspan? Or Bernanke? No, but some writers at Zerohedge did call it right.

Janet Yellen completely missed the housing bubble » OC Housing News

And you say Zerohedge is a crank site?

lol, no, zerohedge is a site that will publicize minority views of the economy which the Big Lie media wont. It is an anti-elite media site, that's all. Some good calls have come out of that place, and its critics are usually blathering about zerohedge calling 30 of the last two recession or some such nonsense. Indicators come by the dozen pointing to the same events, not 30 separate events and the critics know this, they are just smearing any dissenters with statistical bullshit to fool the public suckers, or Muppets as Goldman Sachs calls them.

As to the article zerohedge was referring to, this executive is doing a trial balloon for public reaction, to see if it is entirely asleep yet. The Cyprus crisis basically resulted in the Cyprus banks allowing only about 300 Euros a day in withdrawals to prevent bank runs, and this caused a lot of hardship to the people of Cyprus, hardship they did not deserve to pay for since it was the bankers that screwed up, not them. But a lot of Cyprus citizens were bankrupted and destitute as a result. This was the model that the EUCB took as a learning trial for its own last resort plans.

From the zerohedge cited article at Reuters:

The Commission will ask the bloc's insurance watchdog in the second half of this year for advice on a possible draft law "to mobilize more personal pension savings for long-term financing", the document said.

Banks have complained they are hindered from lending to the economy by post-crisis rules forcing them to hold much larger safety cushions of capital and liquidity.

The document said the "appropriateness" of the EU capital and liquidity rules for long-term financing will be reviewed over the next two years, a process likely to be scrutinized in the United States and elsewhere to head off any risk of EU banks gaining an unfair advantage.

They are going to change the rules to let banks play casino with the savings of its citizens, which will ultimately fail because the banks losses are growing exponentially and the governments were fools to buy that debt and take responsibility for it. With the use of CDS and other financial 'insurance' contracts that are allowed to third party buyers, every bank crash or default comes in at ten to twenty times higher cost. And since this fiasco wasn't allowed to run its course as capitalism and responsible investing principles would have dictated, the bankers pulled in their favors and got the governments to backstop and/or assume responsibility for it all.

So everyone goes bankrupt instead of the thieves that have made the stupid investments.

That is crony capitalism, not real free market capitalism, and crony capitalism never works in the long run.

You say we have been doing this here in the US as well, yeah, and it has been a disaster. That is the reason so many states and municipalities are in deep debt and some declaring bankruptcy as their investment managers bought all that toxic debt and now they choke on it.

Zerohedge a crank site? No, dude, the cranks are where you have been grazing, not zerohedge.

 

[Ame®icano]

Let's not forget the factoid that there are around $19 trillion dollars in private pension funds and that government is certainly thinking into taping into it. Just waiting to hear from someone in press or somebody in the government to start yapping about how the common man needs a way to fund a retirement account because it's not fair that only certain workers get them. Oops, that already happen... Well, then I'm waiting for government to offer a voluntary program that will be backed by government. Shit, that already happened too with MyRA. It's voluntary now, right? One day, it won't be voluntary. All of a sudden, the gov has all the retirement money in a "special" fund that won't be touched. Next it will find it's way into the general fund (just like they did with social security)

Imagine my lack of surprise at the State of the Union address where a voluntary fund similar to the TSP was mentioned. We suppose to trust them with our money, right?

 

[Silhouette]

...the savings of the European Union's 500 million citizens could be used to fund long-term investments to boost the economy and help plug the gap left by banks since the financial crisis, an EU document says."

OK, we all knew that the dragon eating the last of its scales on greed would come to this. Capitalism without check leads to forced socialism or anarchy as societies implode upon the discovery of the last of the crumbs in the cookie jar that is seldom replenished in a pure capitalistic society.

Fear not though. Remedies are explored to stave off this issue here:

http://www.usmessageboard.com/general-discussion/334573-two-gifts-to-a-nation-in-denial.html

And here:

http://www.usmessageboard.com/economy/339345-jobs-the-economy-or-what-s-wrong-with-these-robots.html

And most especially here:

http://www.usmessageboard.com/curre...o-the-economy-without-hurting-capitalism.html

 

[Silhouette]

The last link is one where the idea of massively incentivizing the older generation who "rode the wave" of the 1950s & 60s, gets them to make loans to their own family members who are younger, who would work that currrently hoarded money like a rented mule to jump start our economy. These older folks wouldn't feel robbed because they'd be getting a monthly income AND keeping their money in their family where they would ultimately want their endeavors of old to benefit. Meanwhile it is factually a massive redistribution without threatening the core of capitalism by forced redistribution.

That banks will of course HATE IT for 2 reasons:

1. Because suddenly all that money they're sitting on will go out and spread around where their greedy little fingers can't control it every minute and

2. They would encounter massive competition for loans since parents would likely undercut going rates to benefit their blood kin.

Aw....poor poor banks. It would be perfect karma too for what they did to this country under Dubya and his master Cheney.

 

[Geaux4it]

They might as well come for my guns at the same time. Because it's going to be a long day for some civil servant types

-Geaux

 

[Rozman]

I just can't see our government not making a move of some kind on our IRA and 401K plans...
There is way too much money there that they would love to get their hands on...

just think of all the funding they can have for food stamps and welfare and spending on all sorts of goodies.

Would they pay down our debt with it......

Hehh heh heh....

Why would they do that...
That would be a waste.

I'm coming up on retirement and I'm sure the Democrats wil find a way to get their hands on my stash...

 

[Manchester]

This wont ever happen, the Cypress gig was sold as a currency recall rather than a haircut where as a "confiscation" would never make it past artical 1 of the most sacred document in EU law.

European Convention on Human Rights - Wikipedia, the free encyclopedia

right to the peaceful enjoyment of one's possessions.

 

[jon_berzerk]

Coming to a city near you soon?

-Geaux

Europe Considers Wholesale Savings Confiscation, Enforced Redistribution

Tyler Durden on 02/12/2014 21:28 -0500

At first we thought Reuters had been punk'd in its article titled "EU executive sees personal savings used to plug long-term financing gap", The "Muddle Through" Has Failed: BCG Says "There May Be Only Painful Ways Out Of The Crisis" | Zero Hedge which disclosed the latest leaked proposal by the European Commission, but after several hours without a retraction, we realized that the story is sadly true. Sadly, because everything that we warned about in "There May Be Only Painful Ways Out Of The Crisis" back in September of 2011 The "Muddle Through" Has Failed: BCG Says "There May Be Only Painful Ways Out Of The Crisis" | Zero Hedge, and everything that the depositors and citizens of Cyprus had to live through, seems on the verge of going continental.

In a nutshell, and in Reuters' own words, "the savings of the European Union's 500 million citizens could be used to fund long-term investments to boost the economy and help plug the gap left by banks since the financial crisis, an EU document says." What is left unsaid is that the "usage" will be on a purely involuntary basis, at the discretion of the "union", and can thus best be described as confiscation.

The source of this stunner is a document seen be Reuters, which describes how the EU is looking for ways to "wean" the 28-country bloc from its heavy reliance on bank financing and find other means of funding small companies, infrastructure projects and other investment.

So as Europe finally admits that the ECB has failed to unclog its broken monetary pipelines for the past five years - something we highlight every month (most recently in No Waking From Draghi's Monetary Nightmare: Eurozone Credit Creation Tumbles To New All Time Low), the commissions report finally admits that "the economic and financial crisis has impaired the ability of the financial sector to channel funds to the real economy, in particular long-term investment."

Read the rest here: Europe Considers Wholesale Savings Confiscation, Enforced Redistribution | Zero Hedge

Coming to a city near you soon?

the prezbo certainly has his eye on the idea

 

[JimBowie1958]

This wont ever happen, the Cypress gig was sold as a currency recall rather than a haircut where as a "confiscation" would never make it past artical 1 of the most sacred document in EU law.

European Convention on Human Rights - Wikipedia, the free encyclopedia

right to the peaceful enjoyment of one's possessions.

Lol, next your going to tell us that Social Security in this country is a trust fund separately managed from the general budget?

Lol, the oligarchs love having fools like you defending them and providing cover for their crimes.

 

[Toro]

A deposit is a loan to a bank. If the bank goes under and the bank doesn't have enough assets, the depositor will not get all their money.

What happened in Cyprus wasn't a government seizure. It was the opposite. There was no government bailout so the depositors took a hit. It was what was supposed to happen in capitalism.

Anyone who says they are an ardent capitalist cannot oppose what happened in Cyprus.

 

[Manchester]

This wont ever happen, the Cypress gig was sold as a currency recall rather than a haircut where as a "confiscation" would never make it past artical 1 of the most sacred document in EU law.

European Convention on Human Rights - Wikipedia, the free encyclopedia

right to the peaceful enjoyment of one's possessions.

Lol, next your going to tell us that Social Security in this country is a trust fund separately managed from the general budget?

Lol, the oligarchs love having fools like you defending them and providing cover for their crimes.

Again quick with the insults but slow with any wit.

I tell you what James, how about I stick around on here for a while and when European bank accounts are raided of their Euros in order to balance European books I'll admit you're right. And in the meantime I'll ask you every fucking day if this bullshit that you've come out has happened yet?

 

[JimBowie1958]

A deposit is a loan to a bank. If the bank goes under and the bank doesn't have enough assets, the depositor will not get all their money.

What happened in Cyprus wasn't a government seizure. It was the opposite. There was no government bailout so the depositors took a hit. It was what was supposed to happen in capitalism.

Anyone who says they are an ardent capitalist cannot oppose what happened in Cyprus.

What was so egregious in Cyprus was that the government insurance failed too. They did not cover peoples accounts and allowed the banks to refuse to allow people to withdraw their money that was in the banks when the banks were in business, except for very small sums, like 300 Euros a day or something like that.

The governments are not on the side of the people any more; they favor the banks across the board.