If we think (and there have been numerous posts here to support this idea) that all major banks are going to fail because of over-investing in derivatives, what should we do if we have money in those banks? Pull it out in cash? Convert it to silver or gold? Put the cash under our mattress? And will cash be worth anything?
So if we have cash in checking or savings with a bank, how can we protect our assets?
I don't know the answer and I've been asking myself this for a long enough time to come up with my own plan and this is it, don't know if it's right for everyone but it's what we are doing. I'm moving my savings out of my national bank and into a credit union first, this is to protect against what I believe we will see before a crash, and that is banks imposing limits on spending and withdraws.
Once that stage happens, I'll probably go ahead and purchase raw land with that money, as much as I can afford, maying just 1 acre, maybe 5 or more, depends on the market at the time. I consider land to be the most valuable asset in the world. If you have land, you can survive. And it will only go up in value over the years.
Then I have to factor in the reality that I no longer have a savings to fall back on in the event of income loss (real threat as hubby and I are both self employed), so over the last couple of years I've made some serious changes to our lifestyles, including expanding my garden, raising meat rabbits, raising chickens for eggs, and canning food, because the best way to survive will be to produce for ourselves. Since 2020 I started dumping part of my savings into the infrastructure and materials I need to produce food and water for my family. So if times get tough we can at least get our own food and water. If times get really really tough, and we can't pay our mortgage, we will have to abandon our home and rely on the land that my savings will be dumped into.
We are also making plans with family to come together at a single location on about 4 acres if need be. Again the most valuable assets I'll have in this scenario won't be my stacks of silver, or stocks, it will be the investments I've made into homesteading, as everything I've purchased will be able to be moved into a new location so we can survive. In the end if things completely fall apart, the most valuable thing will be shelter, food, and water. Electricity is a luxury of the modern world. We are thinking of getting a solar power generator for keeping devices charged for communication reasons, but that's about it.
Again, this is the plan for a total collapse situation, which hopefully will never happen.
Wow, this reply wins the top award. My wife and I are a little old to be homesteading the way it needs to be done properly. We've discussed it, our favorite shows to watch are "Mountain Men" and "Life Below Zero." We realize, however, that given our physical abilities, that form of living might just kill us. Good for you that you're able to live such a life, I wish you only the best.
We are entering our 70's and although we work slower and take more breaks than we used to, we garden and raise small livestock. We sell eggs to a small local store in our rural neighborhood, and we sell excess fruit from our land to our neighbors. We don't need to financially, but we do it anyway. Today we are building a new enclosed run for our flock of chickens. We purchased land on a salmon-filled river and we hunt (with help from our adult children). We produce or harvest well over 50% of our own food, and that percentage grows every year. You can do it at any age, you just may need to make adjustments to accommodate for your physical limitations. Truth is, the best way to continue to be fit and healthy is to KEEP AT IT, however slowly. You can do it!
Chubby gardeners live the longest and most fulfilling lives. Change my mind.