Cyprus bank seizure

You can talk about anything here

Moderator: Global Moderator

agree with what is happening to cyprus' banks?

Poll runs till Sat Jun 10, 2056 2:43 pm

yay
1
20%
nay
1
20%
IDK
3
60%
IDC
0
No votes
 
Total votes: 5

User avatar
deadhanddan
N3O Member
N3O Member
Posts: 1507
Joined: Thu Nov 06, 2008 11:38 pm
Location: OHIO
Contact:

Re: Cyprus bank seizure

Post by deadhanddan »

- Dan
generalbuschmann
N3O Member
N3O Member
Posts: 480
Joined: Sat Aug 09, 2008 6:19 pm
Location: Nordbaden

Re: Cyprus bank seizure

Post by generalbuschmann »

cyprus isnt screwed, that money will help reducing their debt.
the ones that are screwed are the investors :)
User avatar
Sporting_Lisbon
N3O Officer
N3O Officer
Posts: 5276
Joined: Fri Jun 17, 2011 3:18 pm
Location: Lisboa

Re: Cyprus bank seizure

Post by Sporting_Lisbon »

Russian investment was fueling Cyprus' economy. I'm pretty sure they won't give them their money after this.
User avatar
Comadevil
Administrator
Administrator
Posts: 2117
Joined: Tue Nov 20, 2007 4:55 am
AOE3 Nickname: Comadevil

Re: Cyprus bank seizure

Post by Comadevil »

I also think that Cyprus is a bit screwed. The banks were important for the economy and investors will transfer their money somewhere else. Many people will lose their jobs. Also a credit crunch in Cyprus is possible.
The bank of Cyprus takes the good part of Laiki bank but also then 9 billion debts which Laiki owes the ECB. This money went into the greek business of Laiki which gets sold or was sold short time ago.  So this is not a small deal and thew burrowed money is literally lost. Cyprus will have recession and a rise of unemployment.
Guess the deal of last week would have been better looking at it from the point of view of a cyprian.
On the other hand it is finally so, that market-based laws are uphold again. People who own the bank, people who bought bonds of a bank are losing their money cause a bank went bankrupt and it is not (only) the tax payer.
The depositors are also screwed above 100k€, but such things can happen if a bank gives much higher rates than banks in other european country. A bank has to earn that money before, which is quitre hard to do the conservative way when rates are low everywhere.
Also a bit knowledge about the old model which the cyprian parliament downvotet
A german newspaper had calculated that depositors,who transferred their money to Cyprus in 2008 would have even earned with that model still more money after the cut than if he would have deposited it at a german bank without cut.
Last edited by Comadevil on Mon Mar 25, 2013 9:35 pm, edited 1 time in total.
generalbuschmann
N3O Member
N3O Member
Posts: 480
Joined: Sat Aug 09, 2008 6:19 pm
Location: Nordbaden

Re: Cyprus bank seizure

Post by generalbuschmann »

Comadevil wrote: The depositors are also screwed above 100k€, but such things can happen if a bank gives much higher rates than banks in other european country. A bank has to earn that money before, which is quitre hard to do the conservative way when rates are low everywhere.
Also a bit knowledge about the old model which the cyprian parliament downvotet
A german newspaper had calculated that depositors,who transferred their money to Cyprus in 2008 would have even earned with that model still more money after the cut than if he would have deposited it at a german bank without cut.
:-bd Yes, thats really important to know as an investor you shouldnt trust banks that offer much higher interest than all other banks. common sense should tell that this cant go well for too long
User avatar
deadhanddan
N3O Member
N3O Member
Posts: 1507
Joined: Thu Nov 06, 2008 11:38 pm
Location: OHIO
Contact:

Re: Cyprus bank seizure

Post by deadhanddan »

generalbuschmann wrote: cyprus isnt screwed, that money will help reducing their debt.
the ones that are screwed are the investors :)
no they are screwed totally

nobody will want to invest in the sinking ship that is all of cyprus. cyprus' government has kicked all future investors in the testicles. those who would have invested into cyprus will now look elsewhere leaving cyprus doubled screwed. their future looks bleak at best.

worst part of it all is that this can happen again in other countries affiliated with the euro. i am surprised nobody has rioted about this yet...maybe they will once they see the bank statements next time they are allowed access to their own accounts.


personally , i have never trusted banks - i keep all my money out of banks and leave just enough to keep my account open : roughly 20$. my paychecks are direct deposit which i have never liked despite the convenience of it , too many things can happen and have happened before. i have had money missing from my accounts beforehand when i was using first knox national banks - i switched banks and now i have never had that happen again....but i never did get an answer to what exactly happened to my money nor was i reimbursed for the amount that went '' missing ''
- Dan
huGGy
N3O Officer
N3O Officer
Posts: 1738
Joined: Mon Feb 04, 2008 4:06 pm

Re: Cyprus bank seizure

Post by huGGy »

Well, i don't trust big banks either, so i keep my money in my small little bank in the region, which earns the money the old fashioned way by giving credits to people who want to build their house or create a small company. That way the debts i'm making creates some kind of prosperity for others. Keeping the money out of the system is actually crashing the system.

The cypriots who need to have their bank accounts nearby should stay with their money. But the big, lets call'em investors, who just used the system for washing their money and abusing the system, should pay. They don't do anything but creating money with money. That this principle wont work in long term (worldwide) is clear. That also includes big german Companies who transferred billions to abuse the system. Companies that also have letterbox companies in Delaware for saving taxes. There was an example of a single building with 200.000 companies in it! Societywise this is a big plunder, because the money is missing for the socialsystem and education in their homecountries. And yeah, i think they should pay their part. As well as all other Companies from other countries except Cyprus who "invested" money in the cyprus' banks should do so.

And who is Cyprus? The country? The people? The normal people are screwed now. The people who have credits for their houses, lets say for 200.000€, on their accounts, which actually aren't theirs, are screwed. 60.000€ are gone (more or less).  Cyprus itself isn't screwed, because they have alot of gas in the sea, which they can gather in approximately 4-7 years. It is said that the gas is worth 75 Billion Dollar more or less. Initially there will be a recession though, as Coma said. At least that is to be expected.

Also, i don't think it's an Euro problem, because the banks started this. England doesn't have the Euro and is in more or less trouble as well and Ireland and Spain are in trouble, because they had to save their banks, which were "relevant" for the system. Switzerland coupled their currency to the Euro and China is investing more money in the Euro than in the Dollar. The only problem i see is that the Euro is too weak for Germany, the Netherlands and maybe Austria and Finland and way too strong for countries like Greece. This is good for Germany, the Netherlands and so on, but bad for countries like Greece and Spain now. So i don't see why the Countries which benefit from the Euro shouldn't pay a bit for Countries which don't benefit.

Edit: As long as it reaches the people who really need it and doesn't drain away in the banking system for paying credits and debts.
Last edited by huGGy on Mon Mar 25, 2013 11:39 pm, edited 1 time in total.
generalbuschmann
N3O Member
N3O Member
Posts: 480
Joined: Sat Aug 09, 2008 6:19 pm
Location: Nordbaden

Re: Cyprus bank seizure

Post by generalbuschmann »

huggy explains it better than i ever could  :-*
User avatar
LaZy
Honorary Officer
Posts: 2444
Joined: Sat Jan 12, 2008 3:44 am
Location: Ferragudo Portugal
Contact:

Re: Cyprus bank seizure

Post by LaZy »

A lot of great points by everyone. This clan/guild has matured a lot over the last years.

The fundamental problems here are actually quite simple. Bankers (I actually prefer the term "banksters") are greedy evil people which will cut corners as much as they can and some will literally cross the legal borders in order to keep their "superiors" happy. The fact that the central banks can create money out of nothing is a huge problem. This is FIAT currency. Paper money backed by paper bonds is a joke. The fact that banks can invest A LOT more (up to 13x more) then they have reserves is a mere tool for systematic disaster. This is Fractional Reserve Banking. This is why they have kept the Cypriot banks closed until today. They dont want the Cypriots raiding their own money because quite simply the bankers have lent out more than they have in stock! Im not even going to go into compound interest for fear of loosing the readers interest on technical stuff. The offical mass media driven propaganda will purposely try and confuse the masses with 100k deposits, Russian money laundering and other benign ingredients in order to keep us far from thinking on the WHY. This is the Hegelian dialectic. http://youtu.be/jYhmATD8hLk

At the end of the day this IS a EURO problem, and if you think about it hard enough you´ll quickly find it being a real GLOBAL problem. This is because the two points I mentioned above, namely fiat currency and FRB exist in every single country around the world. Now look at what is going on is Greece, Portugal and soon to be Spain, Italy etc. All these countries have clearly lost their financial and economical sovereignty. How can Greece and Portugal still be considered a democracy when the hegemon is dictating all social and political activities in these countries? This sovereignty is stealthy being taken over by who? Yeps you´ve guessed it.....the EU and their fincancial henchman the ECB. What is happening here in Europe is already planned for the North American continent aswell.

People: National debt only exists because states borrow money from central banks (most of them PRIVATE, like the Federal reserve and Bank of England) in order to give that same money to the banking system. WE ALL pay taxes because states have to pay interest on a piece of paper that is created without any form of back up so that that same piece of paper can then be "loaned" to other banks which in turn charge even more interest and end up lending it to us, the common folk.

If you really do want to understand the banking system that every human being around the globe is threatened by feel free to watch this:http://youtu.be/7qIhDdST27g

It is a very easy to understand and historically accurate and factual way of understand how "they" have purposely set up a flawless system of keeping every nation under its grip.

The ONLY way out of this purposely orchestrated financial nightmare is to have states, not their central banks, issue their OWN money, and backed up by something (like gold of silver). It is a hard concept to fathom because for generations we have been educated to accept what is and to find impossible or unnatural that which is not!

out
Last edited by LaZy on Thu Mar 28, 2013 10:38 am, edited 1 time in total.
emperoral
N3O Officer
N3O Officer
Posts: 569
Joined: Wed Nov 14, 2007 11:36 pm
Location: Lincoln, Uk

Re: Cyprus bank seizure

Post by emperoral »

Well talking about banks this guy called Dave was fed up with the banking system in the UK, so he decided to open his own bank. Wonder what he called it yep you guess it the Bank of Dave.  The banking system tried to shut him down but he keeps winning the actual bloke is a right character! I would say if possible try viewing him on you tube etc.

:D
huGGy
N3O Officer
N3O Officer
Posts: 1738
Joined: Mon Feb 04, 2008 4:06 pm

Re: Cyprus bank seizure

Post by huGGy »

With "this isn't a Euro Problem" i ment Euro as currency, not as the region. Speaking of the region it is indeed a Euro problem, which will be seen in alot more regions soon, as long as the bank can do what they used to do lately.
User avatar
LaZy
Honorary Officer
Posts: 2444
Joined: Sat Jan 12, 2008 3:44 am
Location: Ferragudo Portugal
Contact:

Re: Cyprus bank seizure

Post by LaZy »

YAY Portugal has made the cover of the Financial Times, again.......and for the same reasons :(

The hegemon´s grip tightens. Great times await.

out
Post Reply