Black monday coming up?

[Blanka]

AEX of Amsterdam lost almost 9%, Austrian stock lost more than 8%, Brazilian market was closed after more than 10% drop, oil went down 10%, and the Dow is doing pretty bad today as well. Good day for those with no savings, no stock and no debts either. Having close to 0€ was never that good. I have a beer on it 

[ark_ader]

I always believe in being liquid, and have portable wealth.   

If I had to put some money fast, then the gold markets would be my next stop.

I'm kind of glad the banks are getting it bad.  It is about time for a change.

I'm sorry for all those who borrowed to the hilt and have cars, boats and big houses....

Too much to lose in such a short time.   

[SithMaster]

I realized the other day that people could borrow the money and deduct the interest on the mortgage essentially getting free rent.  They could just never pay off the principle and keep deducting the interest.  Since the economy is generally moving towards short term investments and making as much money as possible before going under I guess that makes sense.  Of course it wouldn't make your credit rating look good and if tax laws change it wouldn't work anymore.

Don't be sorry for them.  They, more the most part, knew affording those luxury items was beyond their means yet they accepted the conditions of the payment plans.  Hopefully some good comes from fubaring the economy.

[RayB]

My money's in arcade machines. 

[ChadTower]

My money's in arcade machines. 

I'm sure that's a joke in your case, but I know a lot of guys right now trying to sell off their "savings" and finding that there are no buyers.  A couple of them are starting to get desperate because they actually did put their money into games.

[HaRuMaN]

I put my money in pork belly futures... 

everyone wants bacon!

[ChadTower]

I put money in my belly's future.

I bought bacon.

[protokatie]

All of my money is in an FDIC insured Checking/savings account. Is that a bad thing?

[HaRuMaN]

All of my money is in an FDIC insured Checking/savings account. Is that a bad thing?

nope.  FDIC is still OK (for now, lol)

[ChadTower]

Rethink that.  The FDIC is stable and insures you against loss of your money... but doesn't make guarantees as to when you'll get it.

[protokatie]

Rethink that.  The FDIC is stable and insures you against loss of your money... but doesn't make guarantees as to when you'll get it.

Will you care to expound on that? Im not up on my FDIC insurance policies. Does the gov have the right to just say "No! To Drugs (and paying you what the insurance was for)"? Im not too worried about my bank, it is a small local Maine bank that is in an area that is of little risk. But still, I would like to know what you know of FDIC policies when it comes to payment....

[SithMaster]

I believe Chad is referring to the fact that you choose to either receive (for example) 100 dollars over 20 years or 50 dollars over 40 years in the event your bank closes.  You don't get it all at once but over a period of time meaning you want to have accounts at various banks to ensure your money is available elsewhere.

My economics teacher said that their slogan is "We will pay you back"

[protokatie]

My economics teacher said that their slogan is "We will pay you back"

And your grand-children will be greatful.....

edit: still think I have my money in a good place, they don't do stoopid loans, and are rather stable. let's hope it pans out. Can't be any worse than what the lenders are going though...

[koolmoecraig]

Strong buy on LNDC people.

Mark my words...

[ChadTower]

Rethink that.  The FDIC is stable and insures you against loss of your money... but doesn't make guarantees as to when you'll get it.

Will you care to expound on that? Im not up on my FDIC insurance policies. Does the gov have the right to just say "No! To Drugs (and paying you what the insurance was for)"? Im not too worried about my bank, it is a small local Maine bank that is in an area that is of little risk. But still, I would like to know what you know of FDIC policies when it comes to payment....

The gov't has the right to say whatever it wants to say - not necessarily by law but by the apathy of the people.  There are never enough citizens to fight something the gov't really wants to do.  Haven't been for a long time.  On the FDIC issue, that's a general insurance issue, too.  Large reimbursements take time.  Reimbursements in quantity take time.  Your mortgage/rent do not take time.  All that has to happen is for your bank to go under and have them take two months to get you your cash back.  No mortgage/rent for two months and the result is obvious.

[shmokes]

You should just do like me and have no money.  Then you have nothing to worry about.  On the other hand, I'll be looking for my first job in a new industry.  Probably not the best time to be the guy in the workforce with no experience whatsoever.  Perhaps I should consider specializing in bankruptcy law.

[ChadTower]

Brankrupty law or perhaps elder care law.  All these people losing their retirement savings are going to need help figuring out how to pay for nursing homes and medical expenses without leaving their kids a 6 figure debt.

[ahofle]

If people are making runs on banks to the point that FDIC insurance becomes involved, we will have more to worry about than FDIC insurance.  For one, your money in there will be worth less than the paper its printed on since it's no longer backed by gold.

[RayB]

You're a few decades behind the times Ahofle. There isn't enough gold on the planet to back all the money in american banks.

[shardian]

You're a few decades behind the times Ahofle. There isn't enough gold on the planet to back all the money in american banks.

Back when our money was backed by gold, there really wasn't such a thing as a 'world economy'.

I would almost bet that bill gates has more money than Fort Knox.

[ahofle]

I know it's been that way for decades.  My point is that if everyone tries to take their 'virtual' money out of the banks right now, it would become worthless, even if the FDIC gives it to you.

On a side note, here's a pretty depressing 'crash course' on the economy:
http://www.chrismartenson.com/crashcourse

[SavannahLion]

Rethink that.  The FDIC is stable and insures you against loss of your money... but doesn't make guarantees as to when you'll get it.

Will you care to expound on that? Im not up on my FDIC insurance policies. Does the gov have the right to just say "No! To Drugs (and paying you what the insurance was for)"? Im not too worried about my bank, it is a small local Maine bank that is in an area that is of little risk. But still, I would like to know what you know of FDIC policies when it comes to payment....

The gov't has the right to say whatever it wants to say - not necessarily by law but by the apathy of the people.  There are never enough citizens to fight something the gov't really wants to do.  Haven't been for a long time.  On the FDIC issue, that's a general insurance issue, too.  Large reimbursements take time.  Reimbursements in quantity take time.  Your mortgage/rent do not take time.  All that has to happen is for your bank to go under and have them take two months to get you your cash back.  No mortgage/rent for two months and the result is obvious.

Holy crap, I never thought of it that way.

What about Credit Unions and NCUSIF?

At the rate everything is going to hell, my mattress and shotgun are going to be safer places for my money.

[SithMaster]

Rethink that.  The FDIC is stable and insures you against loss of your money... but doesn't make guarantees as to when you'll get it.

Will you care to expound on that? Im not up on my FDIC insurance policies. Does the gov have the right to just say "No! To Drugs (and paying you what the insurance was for)"? Im not too worried about my bank, it is a small local Maine bank that is in an area that is of little risk. But still, I would like to know what you know of FDIC policies when it comes to payment....

The gov't has the right to say whatever it wants to say - not necessarily by law but by the apathy of the people.  There are never enough citizens to fight something the gov't really wants to do.  Haven't been for a long time.  On the FDIC issue, that's a general insurance issue, too.  Large reimbursements take time.  Reimbursements in quantity take time.  Your mortgage/rent do not take time.  All that has to happen is for your bank to go under and have them take two months to get you your cash back.  No mortgage/rent for two months and the result is obvious.

Holy crap, I never thought of it that way.

What about Credit Unions and NCUSIF?

At the rate everything is going to hell, my mattress and shotgun are going to be safer places for my money.

Until they run off together with your money.

This country is getting worse by the day.  How Canada doing?  Are the politicians there at least useful?

[ChadTower]

How Canada doing?  Are the politicians there at least useful?

No, but they have a tenth of the population, so they have a much easier job.  Plus they have oil and a direct pipeline (literally) to the US' wallet. 

[shmokes]

(literally)
 

I do not think that word means what you think it means.   

[ChadTower]

(literally)
 

I do not think that word means what you think it means.   

No, I saw it.  Congress has this hugeass wallet in the basement.  It's right next to Pee Wee's bike.  There are thousands of pipes coming out of it and pumping funds all over the place.  You should see this thing.  It looks like the bus stop chick had a kid with Dom DeLuise.

[RayB]

Canada's in good shape more or less, but we have been feeling the effects from the US and will continue to feel it more as it worsens.

We are the US's biggest supplier of oil (something most Americans don't even know because all anyone ever talks about is middle-eastern oil dependence).

We also supply a lot of lumber to the US, but the real estate bust down there has cost us jobs in that industry. We've also lost jobs in the automotive sector (Ford, GM) while Toyota has created some jobs (thank you japan!)

Tourism from Americans is down thanks to our strong dollar and tighter budgets in US.

Housing is still good. My area is still a seller's market. We're not seeing crazy inflation where a house doubles in value, but we've had good returns (10% yearly). New home building has slowed as of this last year.

Banks and government seem to be fairly well controlled, but we're not immune to living like americans. We all watch the same shows, the same commercials, have many of the same chains, etc. We buy stuff we don't need. We use credit. While we didn't have "sub prime" mortgages here, and our bankruptcy laws still protect people, I think we've been just as lax with credit in recent years, expecially considering the big american companies are permitted to issue credit cards to Canadians (MBNA, Citigroup, etc).

Our government seems to work a little better. When parliament no longer "works", the PM can call an election, whereas you guys in US are stuck with a broken government until the 4 year interval is up.

In summary, we're doing well, but we're not immune. (If you've been watching world markets, no one is immune to US influence).

[HaRuMaN]

...no one is immune to US influence.

All your base are belong to us!

[ChadTower]

...no one is immune to US influence.

All your base used to belong to US but we mortgaged them to the Chinese!

fixt

[protokatie]

Our government seems to work a little better. When parliament no longer "works", the PM can call an election, whereas you guys in US are stuck with a broken government until the 4 year interval is up.

Can you imagine Bush calling for a new senate election?  We would be poorer than Zambia if that were allowed. Also, not all of the senate is voted in on a single 4 year cycle, their elections are staggered.

[ChadTower]

The US Senate is a 6 year term.

[protokatie]

The US Senate is a 6 year term.

Right right. I always get the house and senate terms mixed up. But still, could you imagine what would happen to the US if the president (in this case, someone as daft as Bush) could disolve the congress and call for a new vote at just a whim? Knowing Bush, he would have just kept doing it to effectivly destroy the congressional branch during his terms.

[billf]

Terms:
House - 2 years
Senate - 6 years
President - 4 years
Supreme Court - Life

[danny_galaga]

Terms:
House - 2 years
Senate - 6 years
President - 4 years
Supreme Court - Life

politics!

reported!
banned!

 

[ChadTower]

Terms:
House - 2 years
Senate - 6 years
President - 4 years
Supreme Court - Life

Supreme Court Justice is not an elected official.

[billf]

Terms:
House - 2 years
Senate - 6 years
President - 4 years
Supreme Court - Life

Supreme Court Justice is not an elected official.

True.  I just figured I'd cover most of the bases of the fed government since a bunch of different numbers were being thrown around.

[RayB]

could you imagine what would happen to the US if the president (in this case, someone as daft as Bush) could disolve the congress and call for a new vote at just a whim? Knowing Bush, he would have just kept doing it to effectivly destroy the congressional branch during his terms.

Well for one, Bush might not get re-elected?
That was my point of how it works in Canada. It's an election like any other one and for the Prime Minister's job too. So the scenario you describe wouldn't happen.

[SavannahLion]

Rethink that.  The FDIC is stable and insures you against loss of your money... but doesn't make guarantees as to when you'll get it.

Will you care to expound on that? Im not up on my FDIC insurance policies. Does the gov have the right to just say "No! To Drugs (and paying you what the insurance was for)"? Im not too worried about my bank, it is a small local Maine bank that is in an area that is of little risk. But still, I would like to know what you know of FDIC policies when it comes to payment....

The gov't has the right to say whatever it wants to say - not necessarily by law but by the apathy of the people.  There are never enough citizens to fight something the gov't really wants to do.  Haven't been for a long time.  On the FDIC issue, that's a general insurance issue, too.  Large reimbursements take time.  Reimbursements in quantity take time.  Your mortgage/rent do not take time.  All that has to happen is for your bank to go under and have them take two months to get you your cash back.  No mortgage/rent for two months and the result is obvious.

Holy crap, I never thought of it that way.

What about Credit Unions and NCUSIF?

At the rate everything is going to hell, my mattress and shotgun are going to be safer places for my money.

Until they run off together with your money.

Would you care to elaborate?

I'm not aware of any serious problems compared to a bank.

[WunderCade]

Also, not all of the senate is voted in on a single 4 year cycle, their elections are staggered.

Correct.

The entire House of Representatives is up for re-election every two years.

But in the Senate, although the term is 6 years for Senators, 1/3 of that chamber is up for re-election every 2 years (it's staggered).

[SithMaster]

Rethink that.  The FDIC is stable and insures you against loss of your money... but doesn't make guarantees as to when you'll get it.

Will you care to expound on that? Im not up on my FDIC insurance policies. Does the gov have the right to just say "No! To Drugs (and paying you what the insurance was for)"? Im not too worried about my bank, it is a small local Maine bank that is in an area that is of little risk. But still, I would like to know what you know of FDIC policies when it comes to payment....

The gov't has the right to say whatever it wants to say - not necessarily by law but by the apathy of the people.  There are never enough citizens to fight something the gov't really wants to do.  Haven't been for a long time.  On the FDIC issue, that's a general insurance issue, too.  Large reimbursements take time.  Reimbursements in quantity take time.  Your mortgage/rent do not take time.  All that has to happen is for your bank to go under and have them take two months to get you your cash back.  No mortgage/rent for two months and the result is obvious.

Holy crap, I never thought of it that way.

What about Credit Unions and NCUSIF?

At the rate everything is going to hell, my mattress and shotgun are going to be safer places for my money.

Until they run off together with your money.

Would you care to elaborate?

I'm not aware of any serious problems compared to a bank.

It was a joke.  A very bad joke.

Well the main reason to keep your money in a bank is the interest it earns not to mention it is insured in case of theft/stuff.