Potential Default Preparation

[Anonymous]

This is going to sound like a stupid question and I swear to God I am not a troll, just a concerned mom of 3 with not that much $$. But are any of you taking money out of your bank accounts over the next few days just in case the default happens and there's a run on the banks? None of the "doomsday"scenarios are calling for such a thing to happen, but I just don't want to be caught unprepared. Anyone doing anything with their personal finances in case the shit hits the fan and the debt ceiling isn't raised by thursday?

[Anonymous]

The problem is it is not clear that having cash will help. If the USG defaults, the cash will lose value. But, there is default, and then there is DEFAULT. The US will pay its bills. We all know it. They just might be a little late on the gas bill....

[Anonymous]

Your bank account is insured by the FDIC. You are fine, leave it there. That said, buying things like real estate, gold, stocks, bonds, etc., diversify your wealth so you have more protection in case of... financial meltdown or whatever might come.

[Anonymous]

I posted on this last week without a lot of responses, so maybe everyone else has more sangfroid?

Anyway, I won't move money from a bank account, as PP pointed out they are FDIC insured. I am nervous about other investments, but ultimately decided to listen to WaPo.

http://www.washingtonpost.com/business/worried-about-default-how-to-fortify-your-finances-as-the-markets-reel/2013/10/10/74289bce-31fb-11e3-8627-c5d7de0a046b_story.html?hpid=z2

[Anonymous]

I have heard that some banks are planning for potential runs on banks in the event of default (was on the evening news last week, on NBC, not a wacko cable channel). I imagine any such thing would be very short term, but I do have a little more cash on hand than normal. I figure its one of those "easy enough to do, no harm if it turns out to be unnecessary" things.

[Anonymous]

Anyone moving their retirement funds so they are safer from market forces?

[Anonymous]

Anonymous wrote:This is going to sound like a stupid question and I swear to God I am not a troll, just a concerned mom of 3 with not that much $$. But are any of you taking money out of your bank accounts over the next few days just in case the default happens and there's a run on the banks? None of the "doomsday"scenarios are calling for such a thing to happen, but I just don't want to be caught unprepared. Anyone doing anything with their personal finances in case the shit hits the fan and the debt ceiling isn't raised by thursday?

No. Kevin Brady just said on Bloomberg TV that Boehner's going to allow a vote on the Senate plan, which will pass the House with Democratic support.

[Anonymous]

Anonymous wrote:

Anonymous wrote:This is going to sound like a stupid question and I swear to God I am not a troll, just a concerned mom of 3 with not that much $$. But are any of you taking money out of your bank accounts over the next few days just in case the default happens and there's a run on the banks? None of the "doomsday"scenarios are calling for such a thing to happen, but I just don't want to be caught unprepared. Anyone doing anything with their personal finances in case the shit hits the fan and the debt ceiling isn't raised by thursday?

No. Kevin Brady just said on Bloomberg TV that Boehner's going to allow a vote on the Senate plan, which will pass the House with Democratic support.

Dow is up 175 as I type, so maybe there is glimmer of hope. I don't think Wall Street fully understands to psychology of the Tea Party people, as they expect everyone to act rationally and in their own self interest - which to them is financial, and I don't think the tea partiers real care about that.