PowerSwitch Main Page
PowerSwitch
The UK's Peak Oil Discussion Forum & Community
 
 FAQFAQ   SearchSearch   MemberlistMemberlist   UsergroupsUsergroups   RegisterRegister 
 ProfileProfile   Log in to check your private messagesLog in to check your private messages   Log inLog in 

Negative Interest Rates and the War on Cash
Goto page Previous  1, 2, 3  Next
 
Post new topic   Reply to topic    PowerSwitch Forum Index -> General Discussion
View previous topic :: View next topic  
Author Message
emordnilap



Joined: 05 Sep 2007
Posts: 13973
Location: Houǝsʇlʎ' ᴉʇ,s ɹǝɐllʎ uoʇ ʍoɹʇɥ ʇɥǝ ǝɟɟoɹʇ' pou,ʇ ǝʌǝu qoʇɥǝɹ˙

PostPosted: Tue Sep 20, 2016 2:21 pm    Post subject: Reply with quote

Cash is not so much a disaster prep - more not being part of their game. One of the many et ceteras in how I live, if you will.
_________________
"Buddhists say we come back as animals and they refer to them as lesser beings. Well, animals aren’t lesser beings, they’re just like us. So I say fụck the Buddhists" - Bjork
Back to top
View user's profile Send private message
johnhemming2



Joined: 30 Jun 2015
Posts: 1970

PostPosted: Tue Sep 20, 2016 2:26 pm    Post subject: Reply with quote

The inherent value of paper notes is not very much. If you really are into prepping one would presume storing some precious metals or something which should continue to have some value (although not necessarily an easy value to determine).

Notwithstanding my view on this I have not at the moment got any gold or silver in any quantities.
Back to top
View user's profile Send private message
woodburner



Joined: 06 Apr 2009
Posts: 3379

PostPosted: Tue Sep 20, 2016 2:59 pm    Post subject: Reply with quote

johnhemming2 wrote:
The inherent value of paper notes is not very much. If you really are into prepping one would presume storing some precious metals or something which should continue to have some value (although not necessarily an easy value to determine).

Notwithstanding my view on this I have not at the moment got any gold or silver in any quantities.


I think the word you should have used is "intrinsic" not inherent
_________________
If you think the economy is more important than the environment, try holding your breath while you count your money.
Back to top
View user's profile Send private message
Catweazle



Joined: 17 Feb 2008
Posts: 2189
Location: Little England, over the hills

PostPosted: Tue Sep 20, 2016 8:01 pm    Post subject: Reply with quote

johnhemming2 wrote:
.....something which should continue to have some value (although not necessarily an easy value to determine).


Indeed.

My view is that even precious metals are vulnerable, my money's in cabbages.
Back to top
View user's profile Send private message
boisdevie



Joined: 26 Dec 2012
Posts: 213
Location: N Lancashire

PostPosted: Tue Sep 20, 2016 9:03 pm    Post subject: Reply with quote

Catweazle wrote:

My view is that even precious metals are vulnerable, my money's in cabbages.


That's something I've always found weird. People talk about paper money having no real intrinsic value yet surely (apart from industrial uses) gold and silver are just the same. They only have value because people believe it. In the long term presumably other items of real value (hand tools for example) would have real value?
Back to top
View user's profile Send private message
johnhemming2



Joined: 30 Jun 2015
Posts: 1970

PostPosted: Tue Sep 20, 2016 9:09 pm    Post subject: Reply with quote

boisdevie wrote:
In the long term presumably other items of real value (hand tools for example) would have real value?


That is true, but holding some scarce gold would give it some value whereas holding 1,000 trowels would take a bit of space. The latter may be a better option, but as a holder of value in a society that has broken down completely (no payment systems, no internet, etc etc) having an medium of exchange has merit.
Back to top
View user's profile Send private message
johnhemming2



Joined: 30 Jun 2015
Posts: 1970

PostPosted: Tue Sep 20, 2016 9:10 pm    Post subject: Reply with quote

woodburner wrote:
I think the word you should have used is "intrinsic" not
inherent


Why?

inherent
adjective
existing in something as a permanent, essential, or characteristic attribute.
"any form of mountaineering has its inherent dangers"

intrinsic
adjective
belonging naturally; essential.
Back to top
View user's profile Send private message
adam2
Site Admin


Joined: 02 Jul 2007
Posts: 6214
Location: North Somerset

PostPosted: Wed Sep 21, 2016 9:02 pm    Post subject: Re: I find myself wondering Reply with quote

fifthcolumn wrote:
I find myself asking the question exactly what short term emergency would cash be useful for?

Having been in the power blackout in the northeast that lasted three to four days, I remember not being able to spend cash because of silly things like not being able to get into supermarkets because the doors were electric and wouldn't open. Tills likewise were electric and were unable to open to take the cash. There was no way to spend it.

I think in a disaster scenario you're better off to be stocked up with food and water for a few weeks. In the very long term, post collapse, if such a thing happens then maybe gold or silver might be useful but who knows.


A minority of larger stores have generators and might remain open in a power cut.
IME, some small and owner operated shops and pubs remain open and accept cash only.
Cash would also be useful if your bank was the victim of a run or panic and cash was not readily available.
Serious flooding can result in cash machines emptying rapidly if there is no safe access for the security vans that fill them.
Taxis are a useful emergency transport option, exceptionally even for long distances, cash is almost always required.
_________________
"Installers and owners of emergency diesels must assume that they will have to run for a week or more"
Back to top
View user's profile Send private message
vtsnowedin



Joined: 07 Jan 2011
Posts: 4273
Location: New England ,Chelsea Vermont

PostPosted: Wed Sep 21, 2016 9:40 pm    Post subject: Re: I find myself wondering Reply with quote

fifthcolumn wrote:
I find myself asking the question exactly what short term emergency would cash be useful for?

Having been in the power blackout in the northeast that lasted three to four days, I remember not being able to spend cash because of silly things like not being able to get into supermarkets because the doors were electric and wouldn't open. Tills likewise were electric and were unable to open to take the cash. There was no way to spend it.

I think in a disaster scenario you're better off to be stocked up with food and water for a few weeks. In the very long term, post collapse, if such a thing happens then maybe gold or silver might be useful but who knows.

I think cash on hand is just one of the things on the list of what you should have to be well prepared for whatever problem comes your way. Other items on the list are food, water, medicine, fuel,guns and ammo, first aid supplies. tools, generators, chain saws, etc. etc. Cash on hand comes in very handy if you lose your job, or the car breaks down. Not every emergency involves the whole neighborhood and the personal ones can bite just as hard as a hurricane does.
I'm trying to build up the amount of cash I keep in the safe. It doesn't earn any interest at the bank at present so it isn't costing me anything to keep some pictures of dead presidents hanging around. I think two or three months income would be a good goal to shoot for but I'm way below that at present if I discount some I have earmarked for this years property taxes.
Back to top
View user's profile Send private message
Catweazle



Joined: 17 Feb 2008
Posts: 2189
Location: Little England, over the hills

PostPosted: Thu Sep 22, 2016 12:35 am    Post subject: Reply with quote

Cash will be useful until other people figure out it isn't. Perhaps the best thing is to hold a small amount of cash - just enough to spend before people figure out it's actually just paper.

Think about what you would spend your post-crash cash on, if it's not going to get cheaper then buy it now.
Back to top
View user's profile Send private message
vtsnowedin



Joined: 07 Jan 2011
Posts: 4273
Location: New England ,Chelsea Vermont

PostPosted: Thu Sep 22, 2016 1:41 am    Post subject: Reply with quote

Catweazle wrote:
Cash will be useful until other people figure out it isn't. Perhaps the best thing is to hold a small amount of cash - just enough to spend before people figure out it's actually just paper.

Think about what you would spend your post-crash cash on, if it's not going to get cheaper then buy it now.

In a major disruption such as what is going on in Venezuela today you are correct but for any number or lessor events. Ice storms , localized flooding etc. cash will be quite useful. This would be especially true if the communications grids were down preventing you from doing any online transactions.
You will never need half of the things you set aside for a disaster. The trouble is knowing which half.
Back to top
View user's profile Send private message
boisdevie



Joined: 26 Dec 2012
Posts: 213
Location: N Lancashire

PostPosted: Thu Sep 22, 2016 12:00 pm    Post subject: Reply with quote

This conversation spurred me to action. I had some money on the bank so thought I'd do something useful with it and bought 80 worth of food that stores well. As long as I don't die in the near future it'll come in handy one way or another.
Back to top
View user's profile Send private message
emordnilap



Joined: 05 Sep 2007
Posts: 13973
Location: Houǝsʇlʎ' ᴉʇ,s ɹǝɐllʎ uoʇ ʍoɹʇɥ ʇɥǝ ǝɟɟoɹʇ' pou,ʇ ǝʌǝu qoʇɥǝɹ˙

PostPosted: Thu Sep 22, 2016 12:42 pm    Post subject: Reply with quote

Close the account while you're at it. Do you need it? I mean, really?
_________________
"Buddhists say we come back as animals and they refer to them as lesser beings. Well, animals aren’t lesser beings, they’re just like us. So I say fụck the Buddhists" - Bjork
Back to top
View user's profile Send private message
RogerCO



Joined: 24 Nov 2005
Posts: 672
Location: Cornwall, UK

PostPosted: Tue Sep 27, 2016 1:01 pm    Post subject: Reply with quote

Cash is useful in almost any scenario for buying stuff and services from people who still believe they can exchange it for something else - especially those who believe that "normality" will return at some point.

As indeed it will in most scenarios, even if the value of paper notes in terms of what you can get for them changes.

Very sensible to keep a stash of cash to hand, whether you expect a fast crash or a racheting down decline - either way you will be likely to be able to use it during the early part of the turbulence.

The only question is how much - which has no sensible answer. The cost of paying someone to move you from where you are to somewhere you want to be is one answer - for example how much will your average pony paddock owner accept for you to take a redundant horse and tack off their hands.
_________________
RogerCO
___________________________________
The time for politics is past - now is the time for action.
Back to top
View user's profile Send private message
adam2
Site Admin


Joined: 02 Jul 2007
Posts: 6214
Location: North Somerset

PostPosted: Tue Sep 27, 2016 3:05 pm    Post subject: Reply with quote

I would suggest, if possible keeping the following.

About 50 or at the most 100 in small notes instantly to hand. About half in your pocket and the rest at home.

A few hundred pounds very well hidden from thieves, need not be instantly available.

From one thousand up to a few thousand pounds in a bank. I would not keep much more than that long term due to the longer term risks to the banking system. A modest reserve is handy for any unexpected and sudden expense.

If you are fortunate enough to have more than a few thousand pounds spare, it might be better to spend it on useful supplies.

If you work, try to keep a little cash at your workplace, enough for example for the fare home if your wallet is lost or stolen.
_________________
"Installers and owners of emergency diesels must assume that they will have to run for a week or more"
Back to top
View user's profile Send private message
Display posts from previous:   
Post new topic   Reply to topic    PowerSwitch Forum Index -> General Discussion All times are GMT + 1 Hour
Goto page Previous  1, 2, 3  Next
Page 2 of 3

 
Jump to:  
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum


Powered by phpBB © 2001, 2005 phpBB Group