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Are the central banks of the world all failing at the same time? Will I live long enough to care? If I die before I care, who will hold my assets?

Today’s everything bubble is global in scale and affects every financial market and banking institution. On a global level, outstanding personal, business, and government debt has approached a whopping $240 trillion. That’s more than 300% of global GDP. That’s a bubble that central banks are going to be unable to borrow their way out of.

There are no knights in shining armor on the horizon who are coming to the rescue, and central banks are basically helpless to do anything about it. Everyone’s out for themselves. They don’t really have time to think about us. With interest rates near zero in real terms and loaded up balance sheets, central banks essentially have no ammunition to fight with.

There is little room on a fiscal front either. According to Peter Diekmeyer at sprottmoney.com, U.S. public sector spending already exceeds 60%. Any further spending increases would come from wealth extraction from the productive areas of the economy. This in turn would crimp productivity even further.

Diekmeyer writes that China, which bailed out the world by borrowing tens of trillions of dollars following the 2008 financial crisis to stimulate demand, is also tapped out. If you’re an American, and you love misery, move over, because there’s plenty of company. Japan and Europe appear to be even worse off than we are.


One of my clients who works in financial services and is of European descent recently told me that most of the banks in Europe have gone insolvent. She said she was trying to help take care of a friend’s deceased mother’s estate when she learned that legally it appears European banks have the right to borrow a client’s funds for as long as they like for the purpose of filling “Black Holes” in the banks coffers. My first question was why would the European banks have “Black holes” that need to be filled? Isn’t that when it’s time for the institution to dissolve due to insolvency? Where’s the suspect government when we need them?

“Barclays has a 30-billion Sterling ‘Black Hole,'” my client said. RBS, the Royal Bank of Scotland, has a “4-billion ‘Black Hole'”. Deutsche Bank is “awash with over-valued derivatives,” I was told. And the list of failing interconnected European banks goes on and on, and it doesn’t end there.

Santander and BBVA are said to be disposing of their South American and Central American holdings, while National Westminster is now only interested in mortgages, car loans, student loans, and the like. Many of the banks are under the control of the European Central Banks (ECB), and they cannot do anything without ECB permission. I was told the European banking system is in a “bloody mess” and only getting worse. It’s like a “fever”, with the position of European banks being “terminal illness.” My client could have been talking about the American banking system as well.

Tyler Durden at ZeroHedge agrees with my client. Global banks are tumbling. Durden recently reported that the stock process of 16 of the most “Systemically Important Financial Institutions” (SIFIs) in the world are now in bear market territory (down by 20% or more from their recent highs in dollar terms).

The 16 SIFIs considered to be in “bear market territory” are listed as: Deutsche Bank, ICBC, Prudential Financial, Credit Suisse, Bank of China, Mitsubishi UFJ Financial Group, Nordea, UniCredit Agricole, ING, Santander, Societe Generale, BNP Paribas, UBS, Agricultural Bank of China, and AXA.


The infection appears to be systemic in global banking. Maybe “Black holes” are contagious. The Japanese banking business model is experiencing changes that reflect the same financial issues facing their “Western” global financial brethren. In this instance we’ll be nice and say the problem with Japanese banks is that they’re having liquidity problems. That’s because the little liquidity they do have, outside of their debt, is flowing dither and yonder. That’s why they’re working hard to keep a hold of the more than $460 billion in wealth that is left by their customers each year when they die.

In an article entitled, Japan’s Banks Want to Keep Hold of Dead Customers’ Savings, authors Yuki Hagiwara, Gareth Allan, and Takako Taniguchi write that more people are dying annually in Japan which results in smaller banks struggling to keep their capital fluid. Not only are the banks losing their customers they are losing their customers’ savings – which hurts even more – as heirs migrate to larger cities where the biggest lenders hold banking interests.

It is estimated that regional banks lose 60% of the funds that are subject to inheritance. Coupled with the fact that one quarter of the Japanese population is over 65 years of age, local Japanese banks are turning to trusts to secure the next generation of clients and their deposits. The banks are selling what are called “testamentary substitute trusts”, an inheritance device that helps to quickly unlock funds when an estate holder dies. This business model also sets up the banks to develop relationships with the heirs of the trusts they create.

The problem with some of the bigger Japanese central banks is that many of the dying elderly live near or around bigger cities like Tokyo, and when the customers die, their children take their inheritances with them – away from the major financial centers. The Bloomberg article cites a Capgemini Financial Services Analysis from 2017 which says that the assets of wealthy Japanese have grown to $7 trillion. The Japanese central banks do not want to lose this money. There are “Black holes” to be filled, bank operations to be covered.

These testamentary trusts began about ten years ago and they have grown in popularity. The trusts are set up to offer heirs immediate expenses to cover funeral costs, and estate holders can choose to leave lump sums in the trust or have their funds distributed gradually over time. We decided to take ours all in one lump sum, right now, please, thank you.


Retaining inheritance assets helps banks reduce their dependence on income that’s eroding as Japan’s rock-bottom interest rates squeeze margins, the Bloomberg article says. Banks have been urged to find other ways to build a sustainable business model, and holding on to dead customers’ savings appears to be a part of that new model.

Succession is good business for regional banks in Japan and elsewhere in a financially stagnant world. The Japanese financial industry says demand for testamentary trusts increases when a population ages, and banks can earn fees by selling them. This kind of financial pattern and worse acts as fate for much of our aging population. The big guys are squeezing what little margin the little guys have left. And the big guys are going after other big guys’ margins as well. There’s little margin left to be squeezed, it’s a dog-eat-dog world, and the aging population is caught in between.

The amount of financial assets passed on to successors is expected to grow because the number of citizens that are expected to die will increase over the next two decades. Many of those estates are large. Japan has many millionaires who are getting old. So does the United States. One can only wonder if banks in the U.S. have begun targeting the aging population to see who has what funds, and how best to retain them once their clients pass? And what happens if we as heirs to our aging parents do form a trust with a regional bank, and then the bank goes belly-up? Where we deposit our paychecks on Friday and no one at the bank shows up Monday for work, when we need some of our cash back? What happens to our testamentary trusts then? Who will be protecting my financial interests when I’m gone?


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Is the American financial system really crashing?  And if so, what are the indicators we should be looking for?  ITM Trading’s Chief Marketing Analyst Lynette Zang says we’ve been getting signals of a crash for quite some time now.

The former stockbroker and investment banker says she’s been referencing what she calls “pattern shifts” that have been speeding up since October of 2017.  She notes that “insiders”, heads of corporations like boards of directors and CEOs, have been “running for the exits” financially.

Zang also notes how global Central Banks, “not in this country, and not in Canada, but everywhere else,” are massively accumulating gold.  Why are they doing this?  Why are some of the world’s biggest banks and corporate heads “massively accumulating gold”?  Could it be that the gold hordes will be utilized toward a coordinated backing of those nations’ currencies?

Zang says it only makes financial sense.  “Because gold is a savings based currency,” the chief marketing analyst says.  Zang believes other countries are accumulating gold in record numbers in preparation for the reset of the debt.  If we’re a family, for instance, and we have a financial crisis, we can bail ourselves out of trouble through our savings.  Theoretically, we can throw money at it and get out of that crisis.  That’s one reason savings are so critical to our families’ survival.  But if we have no savings when that next crisis hits, how do we get out it?

Same thing with nations.  And if you’re a huge government like the United States, and you seemingly have no savings, just a bunch of intertwined bureaucracies trying to take the thin margin of profit from one another, what are you going to do when there’s no margin left to loot?  Where’s the money going to come from?  Where as individuals are we going to get our family’s financial security from?  Lynette Zang says that’s when it’s time to start a new financial system.


Zang says that the reason a country should have major amounts of gold in its reserves is because, from a national perspective, gold creates fiscal responsibility.  That’s why all the other countries are buying it up in record numbers.

Now as far as the reset is concerned, it is about resetting the debt.  Zang says that if the financial reset is on a global scale, which she believes it is, because all the countries are in major financial debt, then the countries with the gold are going to be the ones with the savings.  They’re the ones who are going to be able to do the business, because they have savings.  The United States is not one of those countries.  That’s how the wealth is going to be transferred.


That’s how the American dollar has gone.  In the beginning, it was 100% backed by gold.  Then it was 25% backed.  We were taken off of that during the Nixon administration in 1971.  If having gold is a sign of fiscal responsibility, America’s dire financial condition is a sign of our lack of fiscal responsibility.

Zang believes that we who populate the United States will ultimately end up with Venezuela style hyperinflation.  If you don’t know what that means, look it up.  A good majority of the citizens in Venezuela operate from below the poverty line.  Economists say we’re going to suffer a similar fate.  Our standard of living is going to shift dramatically.  Globally on average about 80% of the population ends up in abject poverty.  In Venezuela that number is ninety percent.

Venezuela did a formal reset of their currency to gold on February 9th of this year.  The price of gold went up that day.

When the system crashes it’s not like you’re going to take your gold and silver and bury it in the back yard.   What you want to do is be prepared.  Think about your standard of living, and do what you can do to sustain that.  Food, water, energy, security, community, and silver and gold as barter.  Small denominations to be used for a tank of gas or to go to the grocery store and purchase blueberries.

During a financial crisis like Venezuela has faced, gold or silver may not pay you interest, but it is the safest thing you can do currency wise.  Zang also says you want a certain amount of cash out of the banks, because we’re not going to be given notice when the bank is going to shut down, or we’re not going to be able to get access to the financial system.  The more digital the financial system becomes, the more important cash will become.

Zang refers to 1996 when the National Security Agency white paper on cryptocurrencies came out which referenced cryptos as being outside the system.  “They are private,” she says.  “They’re invisible.”  You can have them in a wallet.  Zang believes this might be stretching the true intentions of the coming financial system, but she can’t be sure.  She wonders whether by telling us cryptocurrencies are outside the system, that they really mean that cryptos are “the system” the globalist controlling Banksters want us to adopt.

Other sources have alluded to the concept that in the U.S. there’s going to be a gold-backed cryptocurrency that will replace the U.S. dollar as our national currency.  In either scenario, it sounds like we’d better practice up on our digital cryptocurrency skills.  And save some gold and silver buried under a tree.  And read up on Venezuela-style hyperinflation and what it’ll take to survive it.






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According to this man the fiat currency system, also known as debt-based banking, is the foundation of modern economies.  It is inherently unstable, and when it is subjected to too much stress, it collapses.  In other words, banking is what causes our family’s financial misfortunes; it is not a symptom thereof.

Although banks are initially funded through something called paid-in capital, that capital has nothing to do with the bank’s credit business of making loans.  In other words, the monies a bank uses to loan out has nothing to do with the paid-in capital that initially liquidates the bank.  The paid-in capital remains on the bank’s books as a separate deposit, but the money the banks use to make loans is literally created out of thin air.  It is no more (or no less) than an electronic entry on a computer screen.

The mechanics of the banking system we are dependent upon are really quite simple.  Banks take in deposits, and then pay to those deposit holders as low an interest rate as possible.  The banks then use a leverage of 10 or 15 times on the deposit base then loan out the aggregate leveraged sum at much higher interest rates.

Again, the money the banks loan out is not the depositors’ money.  It is the total deposit base leveraged 10 to fifteen times the original amount.  That amount is issued as credit in the form of loans.  The bank is thus in the business of creating debt by offering credit.  Because of the leverage, at any given time a bank has 10 to 15 times as much money out in loans as it has deposits on hand.

If a bank is struggling to keep its books balanced while trying to meet its financial obligations – which it might otherwise be unable to do utilizing its own means – it can borrow money overnight in the repurchase (repo) market from other banks.  It can also loan its excesses out and get an interest payment in return.

The unfortunate fallout from this system for those of us trying to support families is that our country’s economic and monetary system is dependent solely on debt and the repayment of that debt.  And the problem with that, of course, is that any debt-based system, to survive, must expand.  When it stops expanding, it risks dying.

There are two huge risks riding with any debt-based monetary system.  The first was witnessed through the banking crisis of 1929-33.  The bank run happens when too many people rush at once to get their money out of the bank.  There’s nothing left for those who don’t get there in time.  There was no banking insurance during the Great Depression, so 80% of American banks collapsed.

The second risk is that banks, along with their clients, will lose their money on the bank’s bets.  This is what was recently witnessed in Cyprus.  Greek banks owned the banks in Cyprus which all had large investments in Greek debt.  When Greek banks got in financial trouble, Cyprus in turn started accumulating big losses, because their deposit base had a huge amount of money, most of which happened to be Russian.  So the 10 to 15 times leverage on that huge deposit base was too big to handle, and it blew up in the Cyprus banks’ own faces, and the banks became bankrupt.  Then the predator central banksters moved in to collect their debt from the nation.

This is what happens when any financial bubble bursts, because the cause of every financial bubble is bank leverage.  When the bubble collapses the leverage is gone, but it still exists in a negative sense because so much more is owed than ever existed in the first place.  And it’s important to understand that collapses like this don’t just happen out of a vacuum.  Collapse is always a potential with the debt-based system, but it doesn’t become reality until the banks cannot meet their financial obligations.

Money is constantly being fed into our financial system via debt.  This debt continuously compounds.  It creates a necessity for the economy to grow and pay back the constantly growing debt.  Our system of creating massive amounts of money through printing is nothing more than debt in motion.  Debt is constantly moving, growing, expanding, becoming riskier.  It doesn’t just sit in the bank and multiply with interest.

And the real problem with bail-ins is that they will solve nothing.  They will just take our money, break us, and forestall the inevitable.  It is merely a last ditch effort by the planners of the system to keep it alive a little longer, to steal a little more.  And they will, for a while until they’ve taken everything from everyone – the savings, the land, the natural resources.  It’s already happening here.  This is where America’s economic and monetary system presently finds itself.  And this is where our family’s future stands, on the brink of collapse.


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This is probably the part that’s most difficult to understand; how central banksters can resort to taking our families’ savings out of our bank accounts via bail-ins when the world is actually being flooded with more liquidity in the form of money printing (quantitative easing) than at any time in history.  Really, how can that happen?

Here’s how.  The banks keep reporting losses, that’s how.  And it never seems to end.  As an indicator of what’s going to happen here in America, all we have to do is look over to see what’s happening in Europe.  After all, they are the precurser, financially, to what we’re going to witness here, right?  That’s because back in 2008, when America’s banking system, for all intents and purposes, should have failed, the U.S. found a way to make the huge debt payments, which in turn shoved the onus of the central banking failure domino over to Europe, so the central banksters could then prey on the European Nation by bankrupting their banks and collecting their debt in the form of land grabbing and natural resources.

Now their banks are beginning to creep further over the edge of the abyss, and the central banksters are rubbing their sweaty little hands together.  It’s being reported all throughout the banking system in Europe – and even the biggest central bankster of them all, the Bank of International Settlements (BIS), says – that less than a third of the largest of the international banks is able to rightfully fulfill its financial obligations.  Think about that for a moment.  Only about a third of the banks overseas are too big to fail.  And the problem with those same failed overseas banks is that they pose a real indicator for what’s about to hit the financial system here at home.  And rest assured that the system that privatizes gains but socializes losses and is about to come to an end in Europe, is about to do the same to us harboring hopes of family and future here in America.


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Whether you live in Ventura, California or Amarillo, Texas, sooner or later you’re going to have to figure out how to make financial ends meet.  And the sooner the better.  That’s because at the end of any day it’s really important to be able to put food on the family’s table.  Especially if you’ve got the only mouth in your family to feed.  But if there’s more, say a loving spouse and maybe some kids, then you’re probably acutely aware of just how tough it is to make it, how little dust is actually left in the family bank accounts, that you make not nearly enough money on your part-time job to keep the dog on a healthy vegetarian diet, that there’s no health insurance coverage bearing your family name, and that the state of the collective well-being of the family is fading faster than a Chicago Cub pennant run with all the poisons your family is being subjected to on a daily basis.

All you want to do is feel good, breathe easy, for a change, and feel some personal value and the pride of being able to take care of your family the right way.  But the fact is, your economical freedom is at a minimum.  So is your confidence and personal security, and that’s phrasing it mildly.  So what’re you gonna to do?  Call ghostbusters?  Roll up in a ball and die?  Potato bugs do that, people don’t.  Not heads of family.  They can’t afford to.  Heads of families need to come up with solutions.

The head of the family needs to be mature enough to take the responsibility to understand the surrounding financial environment so they can take care of their families’ needs in a healthy way.  Heads of families need to understand the true nature of the illusionary world that surrounds them.  They need to be able to read through the delusions and lies, peel out the layers of truth, slap them back together and understand how it applies to them.  And then they need to make that information work for their families.  Their families’ lives depend upon it.

One of the things that is critical to understand for any family’s survival is how money really works.  And that’s where it gets really tricky, because that’s where all the smoke and mirrors come out generated by those who are trying to hide the money ball from us.  They lie, manipulate, make us vulnerable, then steal it right from under our noses.  And we’re talking about the banksters, those nasty, financial, bloodthirsty beasts who will sacrifice each and every one of us in the name of greater profits.  And the nastiest bankster of them all is the central bankster.

So what is a central bankster?

A central bankster is someone who runs a central bank.  According to Wikipedia, the free encyclopedia, a central bank is the same as a reserve bank or monetary authority.  In other words, a central bank is an institution that manages a state’s currency, money supply, and interest rates.

Okay, so far so good, but what does that have to do with putting food on the family’s table?  Reading on, we learn that central banks play manager to the nation’s finances.  Sounds good, but then what’s the U.S. Treasury for?  Wiki continues to say that central banks usually “oversee the commercial banking system of their respective countries.”  As contrasted against a commercial bank, a central bank possesses a monopoly (uh oh) “on increasing the amount of money in the nation, and usually also prints the national currency, which usually serves as the nation’s legal tender.”

So what have we learned so far?  We have learned that the central bank of the United States, the Federal Reserve, is a legal “monopoly” that oversees all commercial banking in this country.  And we thought monopolies were illegal, right?

So the primary function of our country’s central bank is to “manage the nation’s money supply (monetary policy),” through active duties such as managing interest rates, setting the reserve requirement, and acting as a lender of last resort to the banking sector during times of bank insolvency or financial crisis.

Got it.  So, we, the average head-of-household-Joe, just learned that our central bank sets the monetary policy in our country that does…what, exactly?  Okay, so let’s try that again.  We just learned, assuming Wikipedia can be believed, that the big boy bank of the greatest country on this planet is responsible for this nation’s monetary policy and is “a lender of last resort to the banking sector during times of bank insolvency or financial crisis.”

Okay, now we got it.  But wait.  We’re the ones locked in the financial crisis.  We’re the ones who need financial help.  Oh yeah, but we’re not a bank.  So us common folk, toiling out here in places like Ventura, California and Corpus Christi, Texas, the peon class that we are, who has no money, no health insurance, and probably no job, with a family living on the brink of financial servitude, who are in desperate need of our own financial bailouts, get none, while the bank of monopoly, known as the Federal Reserve, bails billions out to banks when they suffer “bank insolvency or financial crisis.”  Why is that?  And, more importantly, who is going to bail us out of our financial crisis?

No, one, that’s who.  That’s why we’ve got to figure it out.  That’s why we’re here, trying to learn how these beastie boys of the central banks manipulate the money, how they squeeze it from us to benefit themselves and their families, and what we might be able to do about it to keep our families alive.