If you have a bank or investment account of greater than $25,000, please read carefully.
Did you know that banks are eliminating cash withdrawals over $10,000 and $25,000 made without filing a Currency Transaction Report (CTR) and/or Suspicious Activity Reports (SAR), respectively? In fact, several KCT Family Office members have shared difficulties in pulling out as little as $5,000 … Has this happened to you?
We’ve raised this issue on more than one occasion with you before, but in light of what time it is in the world, it’s worth mentioning again … all of your financial assets such as CDs, Money-Markets, Annuities, IRAs, Investments, Pensions, and Savings accounts are at risk!
Did you know that under the current law, if your bank is failing and the U.S. government fails to bail them out, under the “Adequacy of Loss-Absorbing Capacity” mandate approved by the G20, they can take your money and convert it into shares of equity in the failing institution? These laws do, in fact, exist, and the general public has no idea that their money can be confiscated as a bank “bail-in” to save U.S. banks from closing. Why? This may be tough to swallow, but the truth is, it’s not your money … read the fine print in your contract.
On the other hand, if you think it can’t happen in my country … think back recently to 2008. And it’s already happening in other countries: Japan, Greece, and Italy, just to name a few. So what can you do?
Learn how to protect yourself from the next financial meltdown and take action before it is too late! And by too late, we mean the current system will work up until the very day that it doesn’t – by design – and then it’s too late. Don’t let the banks make you the lender of last resort, the last to be paid back, or, worse yet, your value completely evaporate with a bank failure.
When failure is imminent and options become slim, eventually they run out of options … when there’s no one left to bail out a failing bank – no government, no taxpayers, no white knight, no bondholders, no investors – nobody … except for depositors.
This is when a “bail out” becomes a “bail in” and the depositors get stuck with the bill, typically common stock, more specifically. It’s your money at stake.
So here are a few pointers that you can work with today, even if you don’t get back in touch with us for any other reason:
- Don’t simply assume that your financial institution is in good condition. Examine their financial statements and find out for sure.
- Don’t keep 100% of your savings at a single institution. Make sure you diversify in asset classes and account types, because if a bail-in ever occurs, it will typically be the largest depositors who get hit first.
- Definitely consider diversifying geographically. Avoid keeping everything in the same country, especially if that country is bankrupt, because there the bail-in risk is even much higher.
With so much information to sift through and so much in the way of opportunity out there, we understand how difficult it can be to make an informed decision. We can help … Get in touch with us today and let us know how we may serve you. Chances are, we’ve got an app for that.