Not really hard. Just move your money to a local bank or credit union. Easy.
Edit: Not really hard to do that part either. Just do your grocery shopping at a locally owned market or farmers market instead of a nationwide chain. No need to avoid the national chains completely. Just move in that direction.
Right. I should be ashamed of myself for putting my money with a bank large enough to have a chance of getting its own way vs. the federal government when push comes to shove.
Instead, I should put my money with a small credit union with no money managers capable of getting me a decent return and so little clout when the proverbial shit hits the fan it'll be left to be roadkill.
What return? The interest rates available these days are appalling. At this URL (after being prompted for a zip code) I was able to see a 120 month CD that yields 0.9% with anything less than 42 months being 0.15% yield.
During the last meltdown we saw that the FDIC made everyone whole. Did you even hear about the NCUA bailing people out? I didn't. I tend to think that's because credit unions did OK during the crisis as most of them tend to keep their loans on their books and as a result, didn't get swept up in the diciest loans in the bubble.
As a result I would suggest that perhaps the parent is correct and that credit unions are the way to go.
Or is there some other kind of proverbial shit hitting the fan that you're referring to? In my mind if TSHTF, any money you have in the bank is gone; worthless or irretrievable. What's the scenario where it's bad enough you want/need the clout of a mega-bank but where the banking system and our government aren't both totally effed but a credit union is?
sp332|12 years ago
(edit) I meant this part: minimize your purchases with mega corporations. buy more from small businesses.
jhart3333|12 years ago
Edit: Not really hard to do that part either. Just do your grocery shopping at a locally owned market or farmers market instead of a nationwide chain. No need to avoid the national chains completely. Just move in that direction.
gyardley|12 years ago
Instead, I should put my money with a small credit union with no money managers capable of getting me a decent return and so little clout when the proverbial shit hits the fan it'll be left to be roadkill.
What could possibly go wrong?
msandford|12 years ago
During the last meltdown we saw that the FDIC made everyone whole. Did you even hear about the NCUA bailing people out? I didn't. I tend to think that's because credit unions did OK during the crisis as most of them tend to keep their loans on their books and as a result, didn't get swept up in the diciest loans in the bubble.
As a result I would suggest that perhaps the parent is correct and that credit unions are the way to go.
Or is there some other kind of proverbial shit hitting the fan that you're referring to? In my mind if TSHTF, any money you have in the bank is gone; worthless or irretrievable. What's the scenario where it's bad enough you want/need the clout of a mega-bank but where the banking system and our government aren't both totally effed but a credit union is?
csense|12 years ago
Why not just invest in an S&P 500 ETF?
lmm|12 years ago