Time To Protect Yourself

oilslick · Post by **oilslick** » 04 Nov 2007, 21:41

Vortex wrote:More generally, where have all those billions actually gone?????

Money doesn't just simply vaporise.

Is there really a need to print more?

Me, Mr Banker, lends you 120% of the (supposed) value of your house so you can move in and buy a nice fridge etc.

12 months later, me, Mr Banker, says you haven't paid on time, I'd like my house back please. So I take it and then I try and sell it...oh, nobody wants it (as is happening in the US) or it's worth 50% less.

There went the difference between the 120% initial loan and the 50% that the asset is now worth.

The person reposessed might still be liable but I can see a lot of people sticking their fingers up and legging it, especially people from other countries. If enough people get stung, who knows what will happen to the system as a whole.

RenewableCandy · Post by **RenewableCandy** » 04 Nov 2007, 21:42

Erik wrote:
Vortex wrote:Money doesn't just simply vaporise.
Perhaps it does. It seems to be created from nothing, after all.

I'm no expert but 'twould appear that in some cases (share prices for example) money (as opposed to the wealth of, say, physical objects) can vapourise as quickly and as completely as confidence can.

Kentucky Fried Panda · Post by **Kentucky Fried Panda** » 05 Nov 2007, 00:08

I'm going to invest all my money in corned beef and toilet paper.

RenewableCandy · Post by **RenewableCandy** » 05 Nov 2007, 10:43

Haggis wrote:I'm going to invest all my money in corned beef and toilet paper.

Good call, they won't disappear as a result of lack of confidence!!

Funnily enough my Grandmum (1902-1992) did exactly that. We used to take the mick, it would have been a laugh for her if she could see us now!

MisterE · Post by **MisterE** » 05 Nov 2007, 12:55

I got 6k in Barclays, and been meaning to buy some gold. I'd prefer gold I can keep in the house like those coins people talk about. Can anyone quickly save me a load of time looking and tell me how to buy some gold and where to buy it from. I'm up to my nuts skimming my renovated upstairs. Managed to get my lighting circuit now to run on very low power. 50watt bulbs now make me freak out, I keep chanting in my head thats 50watts FIFTY WATTS rofl. Its amazing how getting gen'd up for hard times changes your life, times of having everything want and now are soon over - but hopefully to be replaced by people talking to people once again, even if a few will need a beating or two along the way

Without going into a mad max senario I think it would be very wise for people to stock up with a bit of food ready for winter, get your fuel sorted, get a few gizmos for powercuts, get your finances sorted, keep the car full of juice, and make more of an effort with neighbours that you get on with - which as we know are few and far between. The crash is coming if not this winter it will be the next one - and that we should also remember for many its already here and has been for a long time ie thsoe that work and pay out all of their pay on fuel bills, mortgages, food, children and the car - not everyone is a debt junky based on consumerism, many are but not all.

brasso · Post by **brasso** » 05 Nov 2007, 13:33

If you want to buy gold, then simply phone up some local jewelers and get quotes for sovereigns, then simply toddle along and buy them. As for storage, you can keep them in a secure envelope at the bank for around ?10 per year. I've been saying for folks to buy gold for ages, I started at $443 (about two years ago). My jeweler thinks I'm mad, but I think he's mad for not stashing loads in his safe! Funny, every time I turn up to buy more gold, the price is higher than before...

I personally like silver more than gold, as long as you're happy to take the VAT hit (17.5% - ouch!) - whereas gold is VAT free! The last time gold closed over $800, silver was at $40, today it's at $14.5. That's alot of profit and security. The only issue with silver is its weight. ?1000 of gold will fit in your pocket - ?1000 of silver will need a rucksack, and consequently greater expense for storage at the bank. However, I'm more than happy to pay the VAT, as I see silver having a big upleg coming. We'll see.

emordnilap · Post by **emordnilap** » 05 Nov 2007, 13:43

brasso wrote:If you want to buy gold, then simply phone up some local jewelers and get quotes for sovereigns, then simply toddle along and buy them. As for storage, you can keep them in a secure envelope at the bank for around ?10 per year. I've been saying for folks to buy gold for ages, I started at $443 (about two years ago). My jeweler thinks I'm mad, but I think he's mad for not stashing loads in his safe! Funny, every time I turn up to buy more gold, the price is higher than before...

I personally like silver more than gold, as long as you're happy to take the VAT hit (17.5% - ouch!) - whereas gold is VAT free! The last time gold closed over $800, silver was at $40, today it's at $14.5. That's alot of profit and security. The only issue with silver is its weight. ?1000 of gold will fit in your pocket - ?1000 of silver will need a rucksack, and consequently greater expense for storage at the bank. However, I'm more than happy to pay the VAT, as I see silver having a big upleg coming. We'll see.

Interesting. And can you buy gold/sovereigns online fairly simply and safely? Would you have to buy it in the country in which you reside? Or could you buy from abroad? Fascinating.

Aurora · Post by **Aurora** » 05 Nov 2007, 14:05

Should you decide to invest in gold, I would suggest buying Krugerrands. Each coin contains exactly one ounce of gold and would be easier to handle and more negotiable than a 'bar' in the event of a crisis.

Chards web site: http://www.taxfreegold.co.uk/krugerrandinfo.html

As for safe storage, how can you guarantee that the banks will open their doors to you when TSHTF?

MisterE · Post by **MisterE** » 05 Nov 2007, 17:30

Thanks all for the info and thanks for link, having a nose now

But dont fancy ordering 3k worth of gold coins and have them send special del via royal mail!

Erik · Post by **Erik** » 05 Nov 2007, 17:50

Aurora wrote:As for safe storage, how can you guarantee that the banks will open their doors to you when TSHTF?

Good point. How about wrapping and sealing them in a non-bio degradable container and burying it in a 6 ft deep hole underneath your compost heap?

Vortex · Post by **Vortex** » 05 Nov 2007, 17:52

Post borer plus plastic pipe .... ideal for storing all those - err - unusual items ...

Kentucky Fried Panda · Post by **Kentucky Fried Panda** » 05 Nov 2007, 20:42

It's funny I can remember when lots of folks WOULDN'T buy Kruger Rands.

oilslick · Post by **oilslick** » 05 Nov 2007, 21:46

Funnily enough I tried to buy some gold today...and failed as I need to go in with ID as it's over 5k...so the govt can come knocking when it all goes teets up.

I'm going to buy some Britannias and Sovereigns...there's no CGT to pay on them whereas there is on Krugerrands. If you're not buying many it shuodln't be a problem though.

brasso · Post by **brasso** » 06 Nov 2007, 09:32

Interesting about the 5K limit. And the CGT. I wasn't aware of these at all.

I read somewhere that there were gold seizures by the US government in the 30's and that could happen in the UK of course. But then if the government did come knocking, you could just tell them you sold it and spent the money. Let them prove otherwise. Sovereigns are bought and sold in local newspapers all the time.

The 'bury it in the back yard' option sounds feasible as long as you're not overlooked of course, but I prefer somewhere safer. I guess it depends on what scenario you're preparing for: economic downturn, or survival.

I had the same misgivings about buying gold and having it delivered through the post. I've lost dozens of parcels in the post, I wouldn't like to lose a consignment of gold!