Anyone withdrawling cash "just in case"? - Page 16

chickenbutt · ‎03-09-2010

ITA, Cakers, but what concerns me is that there are always a fairly large number of people who will see something like that and run out to grab all they can. It's just like the product shortage thing when somebody suggests that something is short in supply. Those folks will go out and buy all they can, to the disadvantage of those who just need to get enough to suit their needs. Unfortunately, it seems more and more like everybody else has to kowtow to the selfish ones by not suggesting anything that they would misconstrue and then cause it to happen.

Of course, that brings to mind that Johnny Carson bit where he said something about a toilet paper shortage (that didn't exist) and people went out and bought all the tp so there we were, with a major shortage.

Hopefully, the bank thing doesn't happen but you never know how many will jump on something like that and then something happens that would have, otherwise, not happened.

Tinkrbl44 · ‎08-23-2010

I haven't read every post, but the title of this thread caught my eye.

I grew up in the Great Lakes snow belt area, and we always had some cash on hand, just in case.

Since I've lived in Southern CA, I've read all the be-prepared-in-case-of-earthquake articles. If the power is down after a quake and you need something from a store or need gas, having cash is how you'll transact business. And, they say, have plenty of singles in your little "stash". If you want something that costs $5, and they can't make change for you, you'll have to use a bigger bill.

I think it's a good policy to have some cash in the house .... just for emergencies ..... whatever kind of emergency that's possible in your area. But no, I wouldn't pull out large amounts because I was afraid. JMO

novamc1 · ‎07-02-2015

It is NOT true that "all bank deposits are insured for $250,000 " by the FDIC, despite what was said earlier on this thread.

There is a difference between "account" and "depositor" under FDIC rules. One account can have multiple depositors, each insured for $250k.

Posted below is the site for FDIC facts which address the same types of comments made on this thread, such as how the agency might help depositors if a financial crisis arises involving banks..............

https://www.fdic.gov/deposit/

GoneButNotForgotten · ‎03-29-2020

I have some cash stashed around the house. what if there's a power failure and ATM's are disabled? what if the ability to use a credit card is disabled because of a power failure? I just hope I can remember where we left it

Someone told me, don't hide it in the freezer; that's the first place burglers look.

NYC Susan · ‎03-13-2010

@Cakers3 wrote:
@Anonymous032819 wrote:
Every financial advisor worth their salt, would strongly advise against withdrawing money, and causing a run in the banks.

As I said, every account is federally protected up to $250,000 by the FDIC.

And my father was a child of the Depression too.
@Anonymous032819

Speaking only for myself, I didn't see this thread as a question about taking all your money out of the bank.

I saw it as taking a little out to keep on hand should it be needed in case credit systems shut down temporarily.

I already posted at the start of this pandemic that one market's system crashed from overload and only cash was accepted. It was short lived but some folks had to leave their carts behind.

It is always a good idea to have a little cash in small bills and some coin on hand.

But I don't see anybody advocating a run on the banks.

I don't see anyone advocating that either. People (myself included) seem to be commenting on withdrawing SOME cash, not all of their money or even close to that. I'm finding it convenient to have cash on hand now, and - as you said - credit cards can't always be used.

It doesn't seem like a fear thing to me. Or a selfish thing to do. It's just practical.