Danger, Danger

 

When Greece had a financial crisis, the banks shut off all withdrawals. People could not get their money while the government worked through its financial problems. If people didn't have cash on hand, they were unable to buy food.

In one of the first scenes of Handmaiden's Tale two women discover they have no way to access their money via their banks. Women were no longer allowed bank accounts.

In some countries, American expat bank accounts were closed by banks under U.S. pressure. American expats found their expected paycheck had no place to go. Their bank accounts were closed and in some cases mortgages and loans were called. This is not a what if. This has happened because of America pressure on foreign governments and banks because of FATCA.

It may not have happened to you yet where you are, but a major bank hack could shut off your money.

Imagine you're traveling and your can't access your bank account with your card to pay for your hotel or meal.

Banks can lower interest rate or charge a negative interest rate. 

What would you do in any of those incidents?

Impossible you say?

Did you think four years ago the mess the U.S. is in now was possible? Did your grandparents or maybe great grandparents think October 1929 was possible in 1928?  

Now let's talk about life in a cashless society. More and more it's happening where cards or mobile phones are required over currency. Not just in the U.S. but in different countries. 

To be fair we need to look at both sides, cash and cards and/or mobile phone access.

Disadvantages of Cash

Robbery -- on the street, in your home.

Home hiding places don't pay interest.

Losses through dropping or leaving someplace. 

Some merchants only want cards (and are mobile phone transactions), which I never understood because they pay a fee to the bank.  

Banks and/or the government would control every cent you have and/or spend. 

You can't get at your money if your need it. Withdrawal amounts are already limited depending on how much money is in that bank's vault.

What's Wrong with Cashless?

Everything you pay is traceable,

Paying your babysitter or paperboy, giving your grandchild a dollar can be impossible if the kid doesn't have an account.  

Card-to-card transfer? The recipient needs to have an account.

Banks can block at will or by computer error.

Selling small items such as at flea markets become almost impossible.

Money raisers such as Girl Scout cookies or church sales becomes almost impossible.

Life becomes more complicated.

I love my debit card for many reasons BUT I want a choice and I do not want all my money to be subject to the government or a bank any more than it is now. 

Before you claim I'm hysterical, alarmist or ignorant, did you ever think the White House would have a bulldozer destroy the East Wing based on the whim of one man, a group of rioters would try and stop the legal change of administration cheered on by a president, a convicted felon, never mind be president, armed representatives of the government would kill innocent U.S. citizens. My unbelievable list doesn't stop there.

The question is, who do you want to have control of your money on a day to day basis?