ATM problems across America?
This morning, I became a little (more) concerned having read an accounting on George Ure’s website, UrbanSurvival.com, where a Reader whose business it is to fill ATM machines with cash has evidently just encountered major issues with BofA (Bank of A……). They have been their bank to supply the cash for their business to refill ATM machines. Suddenly, they have changed policy which limits the amount of cash they can keep on hand.
Excerpt from the report:
Consider this report from a reader who is actually in the ATM business:
“George, I work with a business partner in the [region redacted] . We have combined between us 180 ATM machines that we service, Cash Load. In order to do this we NEED to order the money, 20’s only from several banks on a weekly basis. This is a considerable amount weekly, 380k plus. Here is the interesting piece that is developing: In the past several weeks 4 of the MAJOR banks have informed us that they can no longer provide us with the cash for our business. Now the problem is that it is OUR money we are taking out!
So speaking with bank “personnel” on the side my question was this, what is going on? how come we cannot take OUR money out? Answer: “they” are not authorized to hold, carry or have on hand anymore more than a certain amount of cash on hand! The amount we are getting, even though it is out of our account, they cannot order or have on hand that amount of cash at any time now. I am not talking small banks…large banks [large money center bank in America name redacted] etc…!
We can see our ability to keep these machines with available cash is becoming more and more difficult. This has taken place just in the past few weeks. By the way, these banks were willing to lose our full business due to this issue. Trying to work with smaller banks now…we will see how long!”
There’s a lot more to be seen in this conspiratorial plot line, but that’s what we covered in Peoplenomics this weekend. Point being: Ifg the PTB want to cause bank runs, they not only have the tools to do so, they also seem to be tightening the screws which as I see it could result in ATM cash shortages sooner than later…
A Reader response over at UrbanSurvival site this morning, 9-Apr, and probable explanation to this ATM issue (the Patriot Act, and more regulations) .
“Just thought I’d drop you a note to explain what I believe is the most reasonable explanation behind your other reader being unable to obtain sufficient cash for his ATM fleet. I think it is most likely because of the issue we (the banking industry) are having with adhering to the new laws and regulations imposed upon us by the Patriot Act, among others.
What most people outside of banking may not realize, is that all of numerous “War on Terror” laws essentially forced banks into becoming the policing arm of the Federal Government. We are now awash in new and more stringent regulations with regards to money laundering. One of the more stringent requirements is how we deal with money service businesses such as privately owned ATM providers, payday loan companies, and check cashing businesses. In a nutshell, we have to account for the cash that is withdrawn (or deposited) as having a “reasonable purpose,” otherwise, we have to submit CTR’s (currency transaction reports) and/or SAR’s (suspicious activity reports) to the Fed.
Thus, the issue at hand comes down to whether or not to expense time and personnel to audit the business on a continual basis. This may or may not be worth the effort (read “profitable”) for some banks and it is very reasonable that they would walk away from these types of customers. With the margin squeeze on deposit over the past two years, regardless how much the ATM guy has in balances, the banks are probably not earning enough to justify the expense, and/or justify the risk / hassle.
Also, privately owned ATM’s compete with bank owned ATM’s and we can’t have that now, can we?”
Mac Slavo from SHTFplan.com also has a related and interesting article today regarding ATM machine problems across America, spanning many different banks.
Although some may suspect the issues are having to do with the Daylight Savings time change this past weekend, a thinking person might logically wonder why we’ve not heard of this during past years during Daylight Savings time change. After all, ATM machines have been around for a while…
We are embroiled in a financial, monetary and economic situation unlike any of our policy makers have ever experienced. At this point, nothing is outside the realm of possibility. FDR closed the banks once also, and when they reopened the dollar had been devalued by some 60%. Given that our elected officials, the Fed and Treasury have taken unprecedented steps already, to the tune of trillions of dollars, as well as seizing control of private institutions, it seems that they are willing to pretty much take whatever steps they deem appropriate at the time of whatever crisis is happening.
There has been a lot of Internet chatter lately regarding cash availability, money and banks, bank holiday, and possible upcoming cash withdrawal restrictions. It is always a wise thing to have a certain amount of cash on hand, just in case.
Think about it. How many people would it take, withdrawing money at their bank, before their bank runs out of money? How much actual “cash” is available these days?