On Sat, 2014-01-25 at 23:09 +0100, Daniel Pocock wrote:
On 25/01/14 21:13, David Gerard wrote:
ZeroHedge is the NaturalNews of economic blogging. They have predicted 200 of the last 1 recessions.
Hence my opening comment that it is not really about a bank run, despite the hype
The HSBC cash restriction is about pressure from the government after HSBC was busted blatantly money-laundering for drug cartels. The restriction does not apply to non-cash transactions. Despite scaremongering from foolish people.
That, too, is what I commented - getting more people to pay by electronic means (making cash/anonymity appear shameful) seems to be the objective
It is more complex and at the same time, I believe, simpler, than that.
Cash is inconvenient for banks, it is hard/expensive to move around, can be easily stolen, and requires costly procedures to handle.
In contrast numbers on a computer can be easily double checked, cannot be stolen from a branch office as easily and can be transferred easily between banks and customers.
So, although, I do not deny there are those that really like the idea of tracking people, I think it is mostly due to cost-cutting.
You can certainly use prepaid, anonymous, credit cards, and the banks would be as happy.
Simo.