This is a warning call to action for those who have been fence sitting on getting out of banked paper dollars and getting into metal or real estate or something "real" with at least some of your money.

The American dollar has been the international monetary standard for over 50 years.   Arab countries used to would not sell oil unless you paid them in dollars, Swiss franks or a darn few select other very good currencies.

America and France and others have lost their AAA currency rating recently because they have been printing more money than their economies can justify.   We all know the Euro is in turmoil as well.

The Arabs are now trying to create a new international oil currency that is backed by oil and they want you to buy their oil using it.

America's dollar and everyone else's currency will suddenly get realistically re-ranked very quickly if a new worldwide standard currency exists and is enforced by somebody who can enforce it.

If any other currency becomes the international monetary standard, prices in America could double-triple overnight for oil and other imports (and everything else like food that depends on oil or imports to grow/make).

Can you say "hyper-inflation" such as hit Argentina and England and Greece and France and .....

The value of your banked money will partially evaporate as it sits there and there is nothing you can do about it if you do not act VERY SOON to buy something real before your dollars devalue even more.


Now, discuss it some and see where you sit compared to the rest of everybody else.


Do not talk blame or politics or the thread will likely get cut/deleted.  Remember, this is and has been and is continuing to happen and no politician of any stripe has the guts to stop it ---- but instead what are YOU going to do to protect yourself and your family over the next few years?

Eggs hit $2.00 a dozen last week at the grocery store.

Hamburger is $4.59 a pound

Finally, I no longer feel all alone.
Food & water or fema camp
Protecting food & water is essential
Gold & silver jewellery can be hacked up
buying old coins, not collector coins, just what was in circulation prior to them taking the silver out.
If it takes $2.30 to buy a dime at the coin shop, ( & it did not long ago) that should be enough to tell anyone our currency is no longer worth much., It takes 23 times the money to buy what I could buy with a dime in 1964. In 71, when they went to the sandwich coins, I was working in a store. I had the chance to hold onto all kinds of those silver coins, but,, didnt. I tried, but was always too broke to keep them out of circulation.
Anyway, you dont need a lot of $$$ to get started. But gettin started is a good idea.

 
Serowbot, we are talking about a further additional drastic degradation to what the last not-quite-full-depression did to us.

This time will not be a rash of sharply falling prices for existing held assets (this is an adjustment, with the currency maintaining its value) like it was last time, it will be a hyperinflation that is based on a strongly diluted US currency.   It might get as bad as a currency revaluation.

IF the American dollar is not the world default currency standard, and the oil producing folks insist on getting paid in something else to buy oil, then we will have to trade diluted dollars for whatever that "oil currency" is called.    Or we don't buy oil ....  or fertilizer .... or plastics .....

Right now they estimate the US dollar is 25-30% diluted in currency trading right now and there are many countries with strong currencies don't want any more dollars at any currently offered price.  

Sorry, no sale.   Keep your bonds, thank you very much.

The Russians are chuckling at us right now, they have their oil and natural gas fields at full production and are a large net exporter of oil/gas energy.   They like the oil/gas based currency idea just fine.

We however, are in a no-win position as the Federal Reserve is still running the printing presses full speed ahead to pay for the interest our HUGE HUGE debt.

The only country who can get away with shite like that at all is the one who owns the default global currency -- and they can't get away with it for very long.    Such a situation tends to come to an abrupt end.

Nobody wants to buy our US bonds any more.   Not China, not anybody.   China is starting to get rid of the US dollars that they are holding ....

Danger --- danger is present that could lead to a devaluation.   It has in other countries who printed far less "base-less" paper than we have.

yes, yes, live in fear. . .  

there ain't anything I can do to help this at all, I don't have the money to go out and buy gold and silver or land, so thanks for the panic attack JACK

If you really believe the $$$ & economy & society in general is about to hit th skids, the 401 K is not gonna be worth hoot after all that. A 25% hickey for early withdrawal leaves 75% to use now, as opposed to not squat later. Thats the way I see it, YMMV,, Im glad Im not the one who has to make the call & live with the consequences.


First you pay the income tax automatically withheld on the withdrawal amount (plus your current earnings for that year of course) which puts you up in the 30% level tax brackets.

Then you pay your 25% penalty.    

Ouch ....

doom and gloom...not gonna happen. America is plenty strong. Worse case is, global economic collapse. Our country will still come out on top just because we have the best people.

I just can't help but think of the old adage about jumping out of the frying pan and into the fire.  Let me preface the following by saying that I am no investment or tax professional and this is just my understanding as an interested lay person.  I'm certainly an amateur on investing (though I'm not sure many of the "professional fund managers" are any better) but I think gold and precious metals are in a bubble right now.  While it may be possible to capitalize on it before it bursts, you could wind up heavily underwater if you don't time it right and I just don't have faith in it personally.  I fear bonds and other cash equivalents are in for a long slog before they'll be generally good investments. I'll turn 50 this year so I still have a while before I can retire and it often seems that it's getting further away all the time.  I sometimes think that land might be the best investment as it seems to be the only thing they aren't making more of but the real estate world is still too unstable for my comfort and I haven't done enough research to invest anything if I came up with a surplus to invest.  For the time being, I'll stick with diversified stocks and a few mutual funds and hope for the best in the longer term.  This is primarily because a 401(k) or IRA has probable tax benefits that I don't otherwise get.  Also, I think that after age 59 1/2, there is no penalty for withdrawal from the 401(k) or IRA other than paying normal taxes on the income.  And if it was a Roth IRA, you've already paid the taxes.  I'm pretty sure you can withdraw principal funds from a Roth IRA before age 59 1/2 with no penalty - just not the earnings.  In short, my advice to anyone would be not to give up on the system as it is but don't give up your weapons and ammo either.

Oldfeller--FSO wrote on 01/19/12 at 12:46:03:

I remember that in the 70's - actually I think it got to something like 13% inflation, though unemployment was closer to 6% or 7%.  It's entirely possible, especially since there are some brainiacs out there claiming higher inflation may just be the answer.  I think the idea is that "things" become worth more while the value of the currency becomes less.  The "classroom bubble" theory says that this decreases your debt because the value of the dollars you owe is less.  My problem is that unless people have jobs and their paychecks keep pace with inflation, it's all hogwash.  The bigger problem is that a lot of the policy wonks might buy into it.