In Cyprus, an even more concerning occurrence known as a “bail-in” was witnessed. It was an unparalleled approach of pilfering from individuals’ bank accounts across Europe. It’s basically stealing money from people’s accounts, but in their fuzzy, deceitful language, a “bail-in” is described as a help that is given to a financial institution on the brink of failure by requiring the cancellation of debts owed to creditors and depositors.
Bail-ins and bailouts are both resolution schemes used in distressed situations. Bailouts help to keep creditors from losses while bail-ins mandate that creditors take losses. Both screw the people but never the banks and any institution that are too big to fail.
The irresponsible actions of the banks in Cyprus resulted in the loss of depositor money, which was referred to as a “bail-in” to avoid confusion with a “bail-out.” What actually happened was that a large number of Cyprus banks brought with them a large amount of Greek government debt that had fallen during that time. Cyprus banks became nearly insolvent as a result. And the banks announced, “We are broke,” to the government. “Could you perhaps aid us by stealing money?” And they carried it out. The banks were instructed by the government to confiscate 50% of all customers who had more over $10,000. Yes, banks, feel free to take fifty percent of their total assets.
“Bail-in” is a false term. This is something that essentially hides a theft by serving as a marketing tool.
A “bail-out” involves destroying money and handing it to the banks; as there is no longer any money in circulation, the public ultimately pays for this through taxation known as inflation. A “bail-in” just takes money from depositors without going through the process of creating it. Essentially, though, the banks benefit from both situations at the expense of the general people. However, that was in Cyprus. There is no way that other citizens of other countries would allow something as underhanded as a “bail-in,” right?
Did you know that in the 2013 budget, Canada actually put in a “bail-in” clause? It said the same thing – that if the banks have problems, they can just take the money from citizens. The governments allow the banks to do these kind of things.
Corporate power is at play. The model used to test if they could get away with it was Cyprus. They got away with it, and since it worked, they have a solution they can provide going forward.
Looking back, it is evident that the financial industry is also plagued with insider trading and corruption. The revolving door has an impact on practically every business where there is money to be made, including finance, education, the criminal justice system, and the military industrial complex.
How do governments collude with corporations, lobbyists, NGOs and academia to suppress your freedom? (16)
In Cyprus, an even more concerning occurrence known as a “bail-in” was witnessed. It was an unparalleled approach of pilfering from individuals’ bank accounts across Europe. It’s basically stealing money from people’s accounts, but in their fuzzy, deceitful language, a “bail-in” is described as a help that is given to a financial institution on the brink of failure by requiring the cancellation of debts owed to creditors and depositors.
Bail-ins and bailouts are both resolution schemes used in distressed situations. Bailouts help to keep creditors from losses while bail-ins mandate that creditors take losses. Both screw the people but never the banks and any institution that are too big to fail.
The irresponsible actions of the banks in Cyprus resulted in the loss of depositor money, which was referred to as a “bail-in” to avoid confusion with a “bail-out.” What actually happened was that a large number of Cyprus banks brought with them a large amount of Greek government debt that had fallen during that time. Cyprus banks became nearly insolvent as a result. And the banks announced, “We are broke,” to the government. “Could you perhaps aid us by stealing money?” And they carried it out. The banks were instructed by the government to confiscate 50% of all customers who had more over $10,000. Yes, banks, feel free to take fifty percent of their total assets.
“Bail-in” is a false term. This is something that essentially hides a theft by serving as a marketing tool.
A “bail-out” involves destroying money and handing it to the banks; as there is no longer any money in circulation, the public ultimately pays for this through taxation known as inflation. A “bail-in” just takes money from depositors without going through the process of creating it. Essentially, though, the banks benefit from both situations at the expense of the general people. However, that was in Cyprus. There is no way that other citizens of other countries would allow something as underhanded as a “bail-in,” right?
Did you know that in the 2013 budget, Canada actually put in a “bail-in” clause? It said the same thing – that if the banks have problems, they can just take the money from citizens. The governments allow the banks to do these kind of things.
Corporate power is at play. The model used to test if they could get away with it was Cyprus. They got away with it, and since it worked, they have a solution they can provide going forward.
Looking back, it is evident that the financial industry is also plagued with insider trading and corruption. The revolving door has an impact on practically every business where there is money to be made, including finance, education, the criminal justice system, and the military industrial complex.