That is really the only question left to be answered. As we already know the banks have won literally every round of that battle of through current times.
And now, in Europe they are busy laying the final patch of groundwork for the final assault on savers…the only constituency with anything left to save (that does not have/money/political power).
It is the ‘opinion of the European Central Bank’ that the deposit protection scheme is no longer necessary:
‘covered deposits and claims under investor compensation schemes should be replaced by limited discretionary exemptions to be granted by the competent authority in order to retain a degree of flexibility.’
To translate the legalese jargon of the ECB bureaucrats this could mean that the current €100,000 (£85,000) deposit level currently protected in the event of a bail-in may soon be no more.
But worry not fellow savers as the ECB is fully aware of the uproar this may cause so they have been kind enough to propose that:
“…during a transitional period, depositors should have access to an appropriate amount of their covered deposits to cover the cost of living within five working days of a request.”
So that’s a relief, you’ll only need to wait five days for some ‘competent authority’ to deem what is an ‘appropriate amount’ of your own money for you to have access to in order eat, pay bills and get to work.
“During a transitional period..”?
Meaning, I suppose that after that you can just kiss goodbye your bureaucratically granted privilege to have access to you even a portion of your funds. That was just a limited time offer of leniency, little person.
Good freaking grief people! Wake up!!
Between 300% insurance hikes, massive tuition increases, and now this the table could not be more obviously set…and none of the silverware is on (y)our side.
To answer the question who’s going to eat the losses, all you have to do is read what the powers that be have in mind and connect a few dots. It’s not hard.
Also, great piece Charles! Thank you.
via InvestmentWatch http://ift.tt/2hE4Bap