A Lesson From the Greek Crisis: Safe Deposit Boxes Are Not Safe

mises.org ^ | July 6, 2015 | Joseph T. Salerno

[NYTexan]

Last week the Greek government imposed capital controls to prevent cash from escaping from the Greek banking system, which is on the brink of collapse.

These repressive financial measures, which were invented by "Hitler's banker" Hjalmar Schacht in the 1930s, include the closing of banks, limiting cash withdrawals from ATMs to 60 euros ($67) per day, and the banning of all money transfers via credit and debit cards to accounts held in foreign countries.

Despite these Draconian controls, Greek banks continue to hemorrhage cash and, after yesterday's referendum, it is probable that the daily limit on withdrawals from ATMs will be tightened.

Worse yet, the reeling Greek public suffered another shock yesterday when Deputy Finance Minister Nadia Valavani revealed to Greek television that the government and banks had already agreed that people would also not be allowed to withdraw cash from safe deposit boxes for as long as the controls were in place.

This may be part of a fallback plan if the ECB ends its bailout of the Greek banks.

The government with the banks' connivance would seize the cash euros stored in these boxes and compensate their lessees by crediting an equal sum of euros to their increasingly inaccessible checking deposits.

The cash would then be fed into ATMs to postpone the day of reckoning for Greece's zombie fractional-reserve banks.

[NYTexan]

Think I heard on Rush's show today that this is already happening.

[NYTexan]

Prepper Ping

[dhs12345]

Wow. That’s robbery.

Wonder what they do with personal items like jewelry? Send the teller down to the pawn shop to hock it?

[CodeToad]

NOTHING since 1933, when FDR, the Democrat/Communist, stole the gold out of every safe deposit box should have told people in this country and worldwide that no bank vault is safe.

[Wally_Kalbacken]

In the early 1990’s as apartheid was ending the South African government put currency export controls in place. I was working for a major boat financing venture and we always had to be aware of the collateral value of the boats we had secured interests in. When South Africa limited the amount of cash a citizen could leave the country with, sales of ocean-going sail and power boats took off. We received a lot of industry intelligence to watch out for a possible dumping of boats from South Africa, but it never seemed to happen. I suspect that might be a way out of Greece as well. Plow it into a massive boat, then leave.

[MeganC]

In the USA I believe it is illegal to put cash in a safe deposit box.

For the record, all of our cash, guns, and ammunition were lost in a tragic boating accident during the 4th Annual Lake Titicaca Bass Tournament.

[Bernard Marx]

I’m expecting a run on those Trump mattresses Macy’s is selling off at a discount.

[aquila48]

When are they going after the mattresses?

[SpeakerToAnimals]

Buy barter goods. Ammo, non perishable food etc. Keep some cash at home.

[Kirkwood]

You can legally put cash in a safe deposit box. However banks are not responsible for the loss of such cash.

[wastoute]

I will bet someone is developing a “combination mattress” as we speak...

[NYTexan]

Close...

[Lurker]

They’ve never been “safe” anywhere. People using them are fools.

Buy your own safe. Put it in your own house.

[quantumman]

They will devalue the cash by issuing new currency. No place to hide unless in real assets, e.g. gold, ammo, etc.

[wastoute]

Dang! I am jealous.

[Zman]

Where can I get one? What is the name of that bed?

[Kartographer]

Preppers’ PING!!

Hat tip to NYTexan for the heads-up!

[NYTexan]

http://bedgunsafe.com/bedbunkers/king-bedbunker-safes/

Other Options...

[vis a vis]

Try here
http://bedgunsafe.com/

[Hardens Hollow]

That is outright theft!

But not in the least surprising. It’s just the next logical steno with socialism, which is just hidden theft.