The Megabanks Are Ready to Crumble: Are You Prepared?
by Dave Hodges, The Common Sense Show
One person wrote to me, yesterday, and innocently stated that his bank, Bank of America, could simply pay off their derivatives debt and that, in effect, there is nothing to worry about.
I read your articles every morning and even tho they have good information, but you are wrong about the economy crashing. I talked to my Bank of America Vice President yesterday and he told me you are a fear monger and a conspiracy theorist after I showed him articles you have written advising people to get their money out of the bank. He laughed at you and said anyone who reads this garbage should be put in a loony bin. He showed me figures which tells me you are wrong and everyone else like you such as the Hagmanns are wrong. Are you disinfo agent? Is this why you tell people to take their money out of the bank because you are part of a plot to collapse the system? Please stick to helping moms like Monica Wesolowsky and stay away from the financial stuff. You did a great job getting her son back. But there is nothing wrong with the economy. You scared my wife to death and she still wants to take our money out of Bank of America.
St. Louis. MO.
There Are None So Blind As Those Who Will Not See
Robert’s wife must feel like its the Monday before Black Tuesday in 1929. I know that many of you have family members who think you are insane to suggest that your bank could fail. My heart breaks for many of my fellow Americans who will never know what hit them.
Despite several and multiple warnings coming from both this publication and dozens of others that the crash of the U.S. economy could come at any time, some people continue to go through life as if nothing is wrong.
Logic means nothing to the sheep of America, proof means nothing to these people, even scripture from Revelations means nothing. It is as if some people go from website to website and leave their message of ignorant bliss that our economy is fine and we will never have anything to worry about and anyone who says different, is a fear-monger. By the way, the term “fear monger”, just like the term, “conspiracy theorist”, was created by the mainstream media, in order to marginalize any individual who has serious concerns about the elite and their intentions regarding the direction that the planet is headed.
More Fear Mongering Wrapped Within a Conspiracy Theory
Since the $18 trillion dollar debt, the $240 trillion dollar unfunded liabilities and the $1.5 trillion dollar derivatives debt, the all-time low ratings of the Baltic Dry Index, the massive amounts of food on the docks of several of our ports, the fact that the Trans Pacific Partnership is poised to seize control of both the US economy and the political process in America means nothing to the flocks of sheep in this country, perhaps there is a another number which will capture the attention of these people. The number is $80 trillion dollars.
The United States taxpayer is on the hook to JP Morgan and Bank of America for nearly $80 trillion dollars, apiece, in order to cover their share of the derivatives debt. Raise your hand if knew that. We must have a lot broken arms in America this morning. Amazingly, very few have mentioned this in the three years that this “silent” bail-out has been in effect.
First of all, if you are one of the millions of customers of these banks, you need to realize that the entire GDP of the planet is under $70 trillion dollars and your bank owes more money to the originators of the Credit Swap Derivatives than the entire value of the planet, per mega bank! Take your time, I will wait right here as you rub your eyes and reread the previous passage… The facts are so indisputable, that even mainstream publications such as Bloomberg are reporting on this reality and have been since 2011 when the Federal Reserve and the FDIC guaranteed the derivatives debt for JP Morgan and Bank of America for derivatives debt up to almost $80 trillion dollars each.
Even Robert Reich wrote an editorial piece expressing grave concern over the state of the derivatives debt, the U.S. mega banks and how the U.S. taxpayer is now on the hook to support the trillions of dollars of derivatives debt. The situation is so dire that Bank of America shifted its derivatives debt, previously located in its Merrill investment banking unit, to its banking depository arm, which magically was given access to the Fed discount window and is protected by the FDIC (i.e. that would be you).
In 2013, Bank of America had a little over one trillion dollars in deposits. The FDIC is guaranteeing the derivatives debt for this bank to the tune of almost $80 trillion dollars. And the entire GDP of the planet is less than the FDIC guarantee. This is a prescription for economic Armageddon.
Solely based upon the condition of the megabanks, it is a foregone conclusion that these bank customers are going to lose their assets. Since the U.S. only takes in $2 trillion dollars per year, where s the money going to come from to cover the derivatives debt? The interest on the derivatives debt is exploding faster than we can pay the interest on it. This one set of circumstances is enough, on its own, to collapse the U.S. economy. This could be the straw that breaks the camel’s back. However, we have a lot of straws sitting upon the backs of the American camel.