Dear Bob,
I would like to know if my money would be safer in a credit union….Richard
Dear Richard,
The short answer is “no.”
The long answer is that local credit unions may be somewhat safer than banks because they are controlled by local boards who are members of the community. As such, they aren’t likely to adopt customer-unfriendly practices like charging for cash deposits, etc. But like banks, credit unions are ultimately under the control of government and the Federal Reserve and could not resist an edict handed down by the Fed. They are also obligated to file suspicious activity reports and currency transaction reports. And while it is probably safe to say that money in credit unions is viewed slightly differently by the Federal Reserve than that in big banks, government can change the rules at any time it sees fit and has done so. Look at what happened in Cyprus last year regarding deposits. If there is a “bank holiday” as in the U.S. in 1933, credit unions would likely be forced to participate. And also know there is a plan in place to steal deposits from customers in the event of bank failure in order to prop the banks up. It’s called a “bail-in.”
So in the end, the long answer is also “no” or “it depends upon what you mean by ‘safer.’”
Best wishes,
Bob
The post Keeping your money safe appeared first on Personal Liberty.
from PropagandaGuard https://propagandaguard.wordpress.com/2015/06/08/keeping-your-money-safe/
from WordPress https://toddmsiebert.wordpress.com/2015/06/07/keeping-your-money-safe/
No comments:
Post a Comment