• Please be sure to read the rules and adhere to them. Some banned members have complained that they are not spammers. But they spammed us. Some even tried to redirect our members to other forums. Duh. Be smart. Read the rules and adhere to them and we will all get along just fine. Cheers. :beer: Link to the rules: https://www.forumsforums.com/threads/forum-rules-info.2974/

Where to put your money?

B

bczoom

Super Moderator
Staff member
USMC Veteran
GOLD Patron
Assuming the feds pass this spending package and no other country will loan the money (which is quite possible or probable), the feds will just print it.

Looking at the confidence of Wall Street and Main Street, inflation and hopefully not hyper-inflation is a likely result.

So, to help retain the value of your money, where would you put it (what would you invest in)?

Since so many countries are tied to our economy be it through trade or the country bases its monetary value on the US dollar, is international viable?

Inflation-Adjusted securities? What if at maturity, the US dollar is worthless?

Keep it in a savings account? What if inflation % exceeds interest rate?

CD's or Mutual Funds? Again, what if inflation % exceeds interest rate?

Others?
 
Look for tangible goods that will retain value regardless of the value of currency.

That's why I suggested real estate. It could also be guns, ammo, or other goods that are easily re-sold.

That would be my suggestion.
 
Borrow as much as you can at cheap fixed interest rates, buy real estate, and pay it back with worthless bucks in the future. If you can get the bank to take your worthless money in the future.
 
Food would be my first thought, Anything else that you see a future need for that you can safely store- even clothing, shoes, tools, etc.
 
waybomb said:
Borrow as much as you can at cheap fixed interest rates, buy real estate, and pay it back with worthless bucks in the future. If you can get the bank to take your worthless money in the future.
Click to expand...

If there was someway to protect my current assets I would do this.

I wonder about creating a corporation and then purchasing real estate this way. I guess the problem is feeding the cash to the corporation in order to fund the initial loans. That's the tricky part isn't it? Wish I was more of a financial guru at times.
 
xsinawl said:
Food would be my first thought, Anything else that you see a future need for that you can safely store- even clothing, shoes, tools, etc.
Click to expand...

Makes no sense to hoard money when the value is dropping. Spend on durable goods.

You can grow food. You can sew up clothes.
 
Investment Real estate still seems to be a good area . And right now the buyer is in the drivers seat . There are some incredible deals out there !!! Rents have not fallen as much as home prices .
 
AndyM said:
When paper is no longer worth anything, gold should still be worth something I would think.
Click to expand...

I dunno. If cash is worth nothing, how is gold worth anything? If everybody accepts gold as a replacement for cash, and there is enough of it to go around, then maybe.

If we get to the point of cash being useless, you'll need more than gold to survive.
 
waybomb said:
Borrow as much as you can at cheap fixed interest rates, buy real estate, and pay it back with worthless bucks in the future. If you can get the bank to take your worthless money in the future.
Click to expand...

I'm thinking in general here and not specifically for me but real estate is almost always a good investment.

The thing about real estate in this situation is that you need enough cash to either pay for the entire property now or (easier) a large enough nest egg to make payments for several years on top of any existing financial obligations.

If someone has $10,000 to put away based on my scenario in the first post, real estate isn't the way to go.
$100,000 - you might be able to pick up some real estate.
$1,000,000 - real estate is something strongly worth considering.
 
Dodd does

http://www.foxnews.com/projects/pdf/DODD_DOC.pdf

He had 5 years at 4.25% and now the next 10 years at 4.5%. That saves him hundreds of thousands of dollars in interest over the rest of us poor slobs.

And since he's filthy rich and didn't need the loan -- you know what he did was to take the half million dollars he pays 4.5% and got a 10 year bond paying him 6% for another 6-digits in profit.

Throw the bum out!
 
Bamby said:
Throw the bum out!
Click to expand...

Looks like Dodd may have a Ron Paul-type challenger in 2010...

http://www.jewishledger.com/articles/2009/02/11/news/roundup_of_news_briefs/news15.txt



waybomb said:
I dunno. If cash is worth nothing, how is gold worth anything? If everybody accepts gold as a replacement for cash, and there is enough of it to go around, then maybe.

If we get to the point of cash being useless, you'll need more than gold to survive.
Click to expand...

I would think gold would be of more value than paper. Once the dollar becomes worthless, what do we use? Barter exclusively?
 
Last edited:
OK, What kind of real estate? I've had rentals and they are nothing but trouble. If the economy goes down you will have renters to evict when they lose their jobs, then an empty building to keep the vandals, looters, and meth cooks away from. Bare ground has no income potential but still attracts squatters, meth cooks, and such. Farm ground isn't a good investment now, and if things go badly you may have more trouble....
 
bczoom said:
Assuming the feds pass this spending package and no other country will loan the money (which is quite possible or probable), the feds will just print it.

Looking at the confidence of Wall Street and Main Street, inflation and hopefully not hyper-inflation is a likely result.
Click to expand...

Not to change the subject too much, (feel free to move to a new thread if necessary) if banks collapse and the dollar collapses, what do we use to buy essentials such as food?

If my bank collapses and the federal government no longer has the means to guarantee my account, then what? Most of my savings is at the bank instead of under the mattress (figuratively speaking, don't look there for it), but if I did have it under the mattress, it wouldn't matter much if it wouldn't be worth anything anyhow... would it?
 
Last edited:
Lots of stealing and looting going on at that stage of the game. Gold is heavy, and must be stored. Good luck with that. It is not a good form of currency.

Barter would probably become fashionable, in fact, it already is. I wish I could do it more.
 
xsinawl said:
OK, What kind of real estate?
Click to expand...
Personally, I like "hardened" facilities. I've already got my next one picked out and may move on it. Not an option for some and a bit of a risk but it works for me.

AndyM said:
Not to change the subject too much, (feel free to move to a new thread if necessary) if banks collapse and the dollar collapses, what do we use to buy essentials such as food?

If my bank collapses and the federal government no longer has the means to guarantee my account, then what? Most of my savings is at the bank instead of under the mattress (figuratively speaking, don't look there for it), but if I did have it under the mattress, it wouldn't matter much if it wouldn't be worth anything anyhow... would it?
Click to expand...
Andy,

I doubt the banks will collapse. My question is what happens if/when the dollar collapses (inflation or hyper-inflation). The government will guarantee your money, but at least at that time or for a period it may be worthless.

Bartering may come back to being a primary source of trade and getting what's needed. I expect there to be a degree of looting but expecting that to occur in urban and possibly suburban areas. It's not tolerated much in rural areas...
 
You must log in or register to reply here.
Top