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One of the foundation tenets of survivalist money-handling is to fear inflationary spirals and keep cash out of the bank to use in an underground economy if the SHTF. (Or convert the cash to tangibles, but that's another thread...)
We're already programmed to watch our backs and keep alert when making ATM withdrawals, but most of us probably don't make large cash withdrawals from the bank itself during business hours. (I wish...!) If a feared bank run were to occur in your neighborhood, here's a scary new tactic used by criminals against bank patrons in Argentina that should have you thinking twice about making large cash withdrawals without the company of bodyguards or fearsome-looking friends:
"The "marker" lurks inside the bank, looking for people pulling large amounts of cash from a safe deposit box or bank account. The gunmen linger outside, usually on motorcyles, waiting to make their move.
For people like Carolina Piparo, eight months pregnant and carrying a purse full of cash for a down payment on her first home, gangs like these are an unavoidable risk in today's Argentina, where the underground cash economy is fueling a frightening new crime wave."
I only have 300 in the bank, everything else is already at home, I pay the bills with my work check, and have no real debt since all debt is already paid off.
I just wish the bank would stop calling me every 2-3 days offering me a mortgage for my paid off home.
Cash-handling precautions? The primary one is not to keep large amounts at home. If there is a fire, you are just out of luck (and out of cash). Plus the real professional thieves will find it if they want to. The community where I live has a large Chinese population, many of whom learned not to trust banks in China. The policeman who conducted our neighborhood watch meeting told us about a Chinese woman who had $60,000 in cash stolen from her home, saying that we are unlikely to be clever enough in our hiding places. In fearing the less likely scenario (a complete societal meltdown) you are setting yourself up for a more likely catastrophic loss by keeping more than modest amounts of cash at home.
1. My bank quickly notices and responds to "lurkers" or anyone who doesn't transact business and move on.
2. I make large withdrawals VERY rarely. Would rather make several smaller withdrawals over several days. This does require advance planning, but what the hey?
Situational awareness, for sure. And I never carry large amounts on my personal at any one time... even if it means going to the bank 8 times in one day to withdraw the amount I need. But if I needed a huge amount to put down on a large purchase or something, I'd use a certified bank check or whatever else was the "accepted" cash substitute in the realm. We also don't keep all our money in one place or one bank... and always bank at a local bank, not a national/corporate bank, since they are less likely to join in a banking holiday or bank run since they are only on the fringes of the system.
The issue is quite simple, there is no security, unless you're guarding your life savings 24/7 with a shotgun then someone can steal it if they know it's there. Even banks have their vaults cracked on occasion. Any security device you can think of is merely a deterrent or delay. Escort Rider has it right if you can think of a smart hiding place for a bunch of cash, then you can bet your money on a thief knowing to look there (and you are).
Actually the tactic isn't that new, in the UK in the 80's it used to happen quite a lot at weekends when people were going to the ATM while slightly inebriated for cash while out for the night, its part of the reason that they started putting CCTV camera's in the ATMs, and ultimately on street corners in an attempt to prevent it.
The problem with cash is that if TSHTF there's no guarantee that it's going to be of any use other than fire starting materials. So having a quantity of US dollars isn't necessarily going to be of any great use. I'm not especially a gold bug, but gold has more intrinsic value than the US$. So keeping a large quantity of cash around is a potential security risk with no real benefit. The most likely SHTF today is economic, where the dollar will be debased to the point of having no real value (think the Wiemar republic). So the X thousand dollars you've carefully kept safe somewhere can now buy you a corn dog at the local 7-11.
If and when the SHTF, paper currency will probably be worth more as items of sanitary convenience than as cash money. For that matter, cash money (in coin) is likely to have little real value. I mean, where are you going to exchange it for anything that is actually of some assistance? You can't eat it, drink it, wear it, etc.
A brick (500 rounds) of .22 Long Rifle ammunition, presently valued at approximately $25-30, is likely to be worth a good bit more in trade than the original purchase amount.
Regards, as always,
-- Nighteyes
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