Are You a Closet Prepper?

Facebooktwittergoogle_plusredditpinterestlinkedinmailFacebooktwittergoogle_plusredditpinterestlinkedinmail

Written by Steve Cannon for USSANews.com.

Okay, you probably don’t want to admit that you’re a “prepper.” I get it, neither do I. But the truth is that being prepared can save your life and the lives of your loved ones in the event of an emergency. That said, I think most of us who follow the news are starting to wake up. Too bad that there are far more people who have no idea about the world in which they live.

What Emergency?

The one you don’t see coming, that one. They include natural disasters, war, financial collapse, job loss, fire, and so on. As of this writing it is two days before the 2016 presidential election. Many people have a sense of foreboding with the election of either candidate. One might start a nuclear war, the other might crash the economy. Sure, the odds may seem slim, but they are greater now then they have ever been. Either candidate is very capable of both crashing the economy and being involved in a nuclear war.

Nuclear War

Russia recently performed a massive nuclear training exercise involving 40,000,000 people over four days.

Combine this with their massive deployment in the English Channel, and you start to get a sense of…What if SHTF?

Because of these actions, the US Defense Condition (DEFCON) level was lowered to 3 (5 is peace time, 1 is World War III). This is the lowest level since the Cold War. If it’s not at a 5, start getting ready. Check out today’s level here: http://www.defconwarningsystem.com/

Add the Russian posturing to an unstable US president and disaster is born.

Financial Collapse

Remember the bailouts back in 2008? Yeah, most people and Congress didn’t like that too much. I say if a company fails, then let it fail. It will be replaced by a better company, sooner or later. That’s the point of a free market. Only the strong survive, thus producing better goods, services, and companies.

Again, Congress (our representatives) didn’t like this so they created Dodd-Frank(something worse IMHO). It’s an endless bill that dictates how the economy will run in the event of disaster. But there’s something disturbing hidden in that bill (as if that’s a surprise).

Dodd-Frank

This law was created in response to the unpopular bailouts of the 2008 Great Recession. Here’s how Dodd-Frank creates “bail-ins:”

Let’s say you have $10,000 in a Chase savings account. (This amount will earn you $1 per year in interest.) By depositing money and receiving a paltry .01% interest annually, you, the depositer, are now considered to be a lender to the bank (by law) which means you are giving the banks an UNSECURED loan. This means the banks are legally allowed to claim bankruptcy against you if the need arises.

Banks use 90% of the money deposited to make money for themselves by gambling it in the stock market. Now let’s say the stock market crashes, as predicted by many economists. Banks could lose upwards of 1 trillion dollars! At this point and by law, the banks must pay every creditor first. The individual depositors (you) get paid last. Now you’re thinking, “So what? My bank is FDIC insured.” True, but the FDIC only has $41 billion, and that money goes to the banks’ creditors first. This means the FDIC can only cover 2 to 4% of the money lost by the banks. When all of this shakes out, your $10,000 nest egg could easily become $200 to $400…if you can even get that! You can thank these two geniuses:

 

Facebooktwittergoogle_plusredditpinterestlinkedinmailFacebooktwittergoogle_plusredditpinterestlinkedinmail