Good morning everyone. Am I just being paranoid or is there an actual possibility the banking system could collapse? I have heard that some countries are now deducting interest instead of paying it! That's right you have to pay them to have money in the bank! What happens when people realize it's less costly to keep money in a safe at home?
Also what about the insane amounts of debt being racked up? I read that America was in peak debt after WW2 and the world kept on turning and here we are today. No catastrophe yet.
Okay,the crunch. Could this really crumble? Could there be a run on the banks? Could we wake up one morning and not be able to access our money? What would we do then? Unless we train ourselves in survival aka Bear Grylls what chance do we stand? Am I foolish? Should I keep working or just go into training for the coming crisis?
Of course this is all possible. It has happened many times before in individual countries and regions, and sometimes globally.
Does it make sense to plan your life around such ideas? Yes, in that you should have some savings to tide you over and a good network of friends and family to assist if the worst ever does happen (which won't be doomsday preppers, whatever the American fear mongers say, think more great depression).
But if you only worry about risk you miss out on 100% of the opportunities in life. You would hesitate to borrow to buy a house, invest in high return assets, or take a high paying job with a 'risky' employer. These are all the risks you must contemplate to be financially successful.
Of course, there is much more to life than financial success. And if you want to be a nurse or a fireman who enjoys fishing and coaching local sport on weekends and lives a modest lifestyle, the risks you mentioned don't apply, and you can have a wonderful, rewarding life. And you could make all the financial preps in the world and find you come down with a medical catastrophe. In other words, keep some perspective about the risks and balance in your life.