The Strategist

United States' Largest Bank to Abolish Cash

04/24/2015 - 15:29

For quite a long time talks about abolition of cash were wandering around America. Of course, this issue is very delicate and painful, so the media rarely discussed it, but now it has leaked in real life.

Until now, the war against the cash was conducted almost exclusively by national governments and official international organizations, but now they have a powerful ally. As it became known, one of the largest US banks - Chase, a subsidiary of JP Morgan Chase & Co., - in March restricted the use of cash in individual markets and territories. Now they cannot carry out cash payments to pay off the credit cards, mortgages, car loans and contribute to mutual funds.

But that's not all: Chase also prohibits customers to keep their money in safe deposit boxes. Here is the content of the newsletter, which is sent bank customers on 1 April.

Safety deposit boxes agreements update

"You agree not to store any cash or coins, except those that has collector value."

Some experts say that such decisions made nothing new in the modern world, but because Chase is the largest bank in the country, others may follow suit. Some call it the true financial terrorism.

Many people are surprised to statements of politicians that only bandits can be in the need for cash. It is, indeed, a controversial statement, but as an argument for the adoption of other important decisions, more absurd allegations have been cited.

There is also an opinion that the desire to get rid of cash can be explained by the desire to take total control of all the population’s money. And this is very similar to the truth. A complete control talks existed for rather long time, and money is one of its key elements.

Central banks with their constant experimentation over monetary policy and fiat money has caused strong enough harm worldwide. From the concept of financial privacy already left, in fact, one name, and happening now does not look like a free market.

In general, crazy already world of finance can be even more insane.

By the way, in some countries now keep money in the currency is much cheaper than in the bank. In Europe, for example, deposit rates are negative, and therefore easier to keep the money with them: so at least it will not have to pay interest.

However, so far even Chase did not forbid people to take their money out of the bank at any time, which means that the bank itself is also under threat. History knows cases when even the biggest financial corporations could not cope with the outflow of depositors. Bank Washington Mutual is proof of this.