The Coming Crisis That Could Force Both Democrats
and Republicans Out of a Job…
If you have that sinking feeling that something’s not
quite right with American politics and our economy,
you won’t want to miss this message.
A game of chicken.
Whatever you want to call it, the screaming match in Washington has culminated with a government shutdown.
But that’s not the main event. Not by a long shot.
What’s looming on the horizon is far more dangerous than a government shutdown.
We’re looking straight down the barrel at a financial crisis unlike anything our country has ever seen.
It’s something way more devastating than any terrorist attack. It will destroy more wealth than the market crashes of 2000 and 2008. And it could change even the safety you’ve come to expect in your neighborhood, and other public places.
What’s coming is sure to affect you, me, and every other American.
And while you’re likely to hear from the mainstream news about the coming debt ceiling debate, and America’s possible first-ever debt default…
What they’re not telling you is that the first stage of a massive new crisis has already begun.
In fact, as I’ll prove to you in just a moment, America has been in a state of perpetual crisis for the past six years.
And no, I’m not talking just about another 2008 style housing and market crisis. That pales in comparison to the damage this new crisis could do.
Treasury Secretary Jack Lew calls the consequences of this coming event “unthinkable”.
Frozen money markets, where you won’t be able to access your savings or checking accounts.
A dollar in free-fall, causing prices to run up on things like toilet paper and food.
Sky-rocketing interest rates, devastating pensions and retirement funds across America.
Millions out of work, with no sign of an improving job market.
A housing collapse that will make 2008 look like child’s play.
And a country that will no longer be hailed as the world’s economic super-power.
“The negative spillovers could reverberate around the world,” “and there might be a financial crisis and recession that could echo the events of 2008 or worse."
Of course, a crisis of this magnitude doesn’t happen overnight.
This next financial disaster has been building upon itself for over a decade, feeding off of the artificially low interest rates…stimulus packages…and blazing hot printing presses.
I’ll show you how it’s all come to be in a moment.
When the event kicks into its final and most devastating stage, many Americans will be completely blindsided.
That’s why we’re writing you today.
While the elected officials bicker back and forth over nothing more than their political futures…
And while the mainstream distracts you with news over the coming debt default…
You deserve to know the full story of what’s lurking just around the corner…and how it’s changing everything you’ve come to take for granted here in America.
While the rest of the country is distracted by political finger-pointing… and Obamacare
You could be safely on your way to preparing for the mother of all crises.
Because when the other shoe drops, you’re going to want to be ready to protect everything you and your family have worked so hard to build.
Today, we’re going to show you exactly how to prepare, and how you can continue to live comfortably while this unfolds.
But we must warn you – when this crisis hits the next level, things around you may start changing very, very fast.
The next financial crisis won’t just upset markets… it could turn entire communities upside down…
And it’s already begun. In fact, in many cases, the writing has been on the wall for the past six years.
Basic services like trash collection, electricity, and water … are now rationed. Teachers, Firefighters and Police have all been sent home in certain cities – leaving citizens to fend for themselves.
Roads and bridges continue to fall into a permanent state of disrepair.
And you won’t be able to count on the government for a solution…
After all, if congress’ constant fighting is any indication, the two sides will continue to hold the American people hostage in their game of political chicken.
You can bet that when this crisis goes into overdrive, those in Washington will worry about protecting the banks, their friends and most of all – their agenda – before they’ll think about what’s best for the country.
After all, they’re the reason we find ourselves where we are today.
But you don’t have to fall victim to the government’s shenanigans. But – and we cannot stress this enough – you must have a plan in place before this crisis moves to the next level.
We’ll lay everything out for you today – exactly what’s happening, and what steps you can take now to protect yourself, your assets and your family’s financial future when this financial disaster reaches its fever pitch.
I'll give you the details on each one of these moves I recommend you take.
And don't worry, these moves don't have anything to do with the stock market… building a gold or gun stocked bunker… or maintaining your own farm.
Even if I'm wrong about this financial crisis… and even if it never happens… you won't risk anything but a few moments of your time by learning how to prepare today.
So let me ask you…
Would you rather wait around to see exactly what the fallout will be while our government continues to perform in the political theater?
Do you want to depend on the mainstream press’ ever-changing explanations of what’s happening in our economy?
Or would you prefer the truth – to discover a few simple ways that you can prepare for the biggest financial disaster of our lifetimes?
If you opted for the truth, then let me introduce myself…
My name is Joseph Schriefer.
You may know me as the publisher of The Daily Reckoning, one of the world’s first financial e-letters. For over a decade we have been devoted to helping over a half million Americans protect themselves in uncertain financial times.
Maybe you’ve read one of our New York Times best-selling books: Financial Reckoning Day or The Demise of the Dollar. They both correctly forecast the financial crisis in 2008… well in advance.
Perhaps you’ve seen our award-winning Sundance Film Festival documentary, I.O.U.S.A. Taking our research as a cue, we traveled some twenty thousand miles and spent countless hours documenting the grave fiscal condition our country is in… and we started 2½ years before the "panic button" was hit.
You may have even heard of Agora Financial, one of the world’s largest independent financial research firms. Along with Addison Wiggin, I help head up the group. Our objective is simple: We strive to provide accurate economic forecasts. Then we couple those forecasts with specific recommendations on how you can both protect and grow your wealth… even when the stories you see in the headlines make it seem unlikely.
How have we done?
Our analysts have forecast almost every major financial event of the past decade with unmatched accuracy — the rise and bursting of the tech bubble, the meltdown of the U.S. mortgage market, the collapse of Fannie Mae, the demise of Lehman Brothers, the fall of the U.S. dollar and the rise of precious metals. We nailed them all…
But I didn’t prepare this presentation for you to talk about our record…
I'm simply providing you with some context for what I believe is an extremely disturbing new crisis…
A crisis that’s already in progress.
What could be at stake?
Nothing short of your quality of life. Your retirement. Your family's future. And the standard of living you've come to expect as an American.
That's not a statement I make lightly.
This new crisis is growing.
Right now, you can see it playing out on a local level. It might be happening outside your own window, in your own town.
I expect it will get much worse…
Response times for emergency police and fire calls will drastically slow… if not stop. Trash collection will drop from once a week… to once a month, if that. The roads around your home and on the way to work will get worse… as will security in the places you've come to believe are safe.
Then the crisis will get bigger.
If you want to travel outside the country, you'll find getting a passport next to impossible.
If you need to relocate to find a new job…that too will become a huge problem.
Health care will become completely unaffordable.
Opening a bank account will become terribly frustrating. And you can forget about trying to get a mortgage loan… or student loans for your children.
Worse still could be our federal government’s response to this crisis…
As they hold late-night sessions and panic for “solutions,” what they decide could wipe out your savings. Destroy your 401(k) portfolio. And eventually even change the ease with which you buy and sell things.
What they choose to do could drive the price of your home DOWN even further… while driving UP the price you pay for everyday items like milk, bread and gasoline.
At the very worst, mobs could erupt in anger and violence.
No longer will chaos in the streets be something you see on the news happening in far-off lands. Total economic failure could bring the violence to your city… your neighborhood… your front door.
These things may sound unbelievable to you right now. But I urge you to listen this presentation in full before making up your mind.
First, it’s important to know that I don’t want these things to happen. And I have no interest in stirring up fear. But as you’ll see, I've picked these specific examples because they've already begun to happen.
We can hope I’m wrong about the endgame.
But I’m not willing to hang my future on “hope” alone. I'm speaking to you today because I don't think you are, either.
With a few simple steps you could potentially protect your family and build a "fortress" around the wealth you've already worked hard to accumulate.
I’ll show you all these steps in a moment.
I won’t ask you to make a political donation… join a rally… or sign a petition.
We're not a political outfit. We publish ideas… strategies… and techniques for reading big trends in history. We simply want to help you avoid the calamity that often follows big turning points.
When you first read through this forecast and hear about the potential consequences, you may think what I say sounds “far out there.” But remember…
Years ago when my team of analysts and I put out the simple warning that the housing market doesn’t always go up…that you should steer clear of Fannie Mae and Freddie Mac… people simply laughed at us.
You should have heard the snide voices of commentators on major media outlets as they interviewed us. In 2007, Time magazine even identified our founder, Addison Wiggin as a member "the Armageddon gang" for my belief the U.S. economy was a house of cards.
You already know what happened after the housing market and economy collapsed. Millions lost their jobs. Many gave up hope of ever finding meaningful employment again.
"[Wiggin] accurately predicted the spike in unemployment, the wave of foreclosures in the housing market and some of the bankruptcies that rocked Wall Street,” financial reporter Brian Sullivan went on to say after the crisis in 2008 had hit full swing. “[Wiggin] called in print. It is verifiable."
When we first urged readers to buy gold as a way of protecting themselves against exploding U.S. government debt and excessive money printing… the mainstream media labeled as “kooks”… “crazy”… "clueless.”
That was a decade ago, when gold was selling for $253 an ounce… today, it's over $1,200.
"These guys have been warning about debt crises for years… they've certainly earned their bona fides," says Mark Hulbert, the leading watchdog for the newsletter industry.
Indeed, looking back, the reporters who once laughed at us are now coming back wanting to know more.
I’ve recently hired a new public relations professional just to handle new calls from people asking what we see next.
But our latest forecast may be the hardest one for the mainstream media to swallow. On the surface, it’s so radical and unthinkable that many will label me a “fear monger.” Or worse… they’ll try to dismiss the message by accusing our firm of having a political motive.
We're simply using history as our guide to make a simple, but extremely dangerous financial prediction…
In short, because the underlying causes of the previous crises have not been addressed… and because of the enormous amount of debt we’ve amassed as a result, I believe that sometime in the very near future, America's access to cheap and easy credit will end.
Put simply, America’s credit card will be cut off.
Most people don’t understand what that could mean, or what type of crisis that could trigger for all of us
Keep watching and you’ll see the specific consequences of that catastrophic event.
You’ll also see that this may not be some far-off prediction.
The credit crisis is one that’s already playing out in cities and states across America.
And to get a feeling of what it would look like on a national level, you don’t have to look any further than Detroit.
The city that once had the highest per capita income in the entire nation, has been keeping itself afloat by borrowing and skipping payments to pension funds.
Since 2008, the city has spent an average of $100 million more than its revenue each year.
Now Detroit has an unemployment rate that’s double the national average…over half of the children in the city are living in poverty…and over the past 60 years, the population of Detroit has fallen by 63% percent.
Budget cuts have caused the Detroit Police Department to become virtually non-existent…the police stations are closed to the public 16 hours a day, and local police are telling visitors that they enter Detroit “at their own risk”.
Detroit became the largest city in American history to declare bankruptcy, collapsing under the weight of its obligations — $20 billion, to be exact.
That’s a staggering amount of debt.
A federal judge gave the green light for Detroit to proceed with its bankruptcy. His ruling opens the door for the city to cut billions of dollars in payments that are owed to city employees, retirees, investors and other creditors.
To some, Detroit is just a tragic story of a tragic city that had the deck stacked against them.
But to those paying attention, Detroit is a grave reminder of what America could look like without access to its credit card.
And as Detroit Mayor Dave Bing said: "We may be one of the first. We are the largest. But we absolutely will not be the last."
My point is… America looks radically different when it can’t easily borrow money.
I’ll show you more examples of other cities in crisis mode in a moment.
I have to warn you that many of these examples we point to may seem extreme. But again, these are not made up. These are already happening across the country.
And while they may alarm you, that's not my intention. In my view, it's better for you to hear it from me first… to be able to prepare in advance… than to wait until the harmful effects take you and your family by surprise.
Let me explain…
It’s no secret that for many years our government has spent well beyond its means here in America. Turn on the news and you hear all kinds of blame being thrown around.
We've used America’s credit card… to fund our excessive lifestyles… to make an ever-expansive set of political promises… to continually expand the American empire overseas…
And all along the way, we’ve relied on foreign countries to lend us that money.
But very soon, I believe we will no longer be able to borrow an endless amount of money. Not easily, anyway. Nor cheaply. No one in the world will lend our government money… except at very expensive rates.
The government "believes" it has a way out of this crisis.
Because of one unique feature of America’s influence in the world, the U.S. government possesses one tool that has allowed it to get away with a spending spree of historic proportions… for far longer than anyone might reasonably expect.
But ironically, it’s this one tool that could cause our creditors to give up on America completely. And that will be the ultimate crisis…
If that happens, it’ll put in motion a cascading set of devastating economic consequences that will cripple the way the U.S. government finances everything.
The crisis will mean the end of the big social programs, like Social Security and Medicare. No longer will you be able to count on retirement checks showing up like clockwork. Or for the government to pay for your blood pressure, diabetes or cholesterol medication.
It could end aid the federal government gives to state and local governments… shutting down health clinics… forcing the release of convicted felons… and laying off hundreds-of-thousands of teachers and firefighters…
In short, the end result will dramatically change your way of life on a day-to-day basis.
And if Americans are caught off guard by these things, they’ll get very, very angry. The transition from a normal society into one without easy credit will lead to massive riots — like the ones we’ve seen in Greece, Egypt and Bahrain.
At first, you may deny that this could happen.
But I’ll prove that not only could it realistically happen in your city… your neighborhood… but it already happened in the political capital of our country —Washington, D.C. — in Oct. 2013. When the government shutdown for 16 days, everyone from Tea Partiers to World War II vets started taking down barricades in protest.
That may see tame now. And the “crisis” was put off for another few months… but once credit is shut off for good… and the government is forced to cut thousands of public jobs completely, it’ll get ugly.
What do you think will happen if they’re forced to permanently shut down military bases… veteran’s hospitals… and schools?
What do you think will happen if states are forced to close prisons because they don’t have the money to operate them?
It’ll make these peaceful protests look like child’s play.
In response to this crisis, the government will try anything and everything it can to desperately raise money: they'll pickpocket your wealth through new taxes… they'll propose weird new fees… even conduct "fire-sale" efforts of state-owned roads and buildings.
You think it's maddening getting pickpocketed by airlines for everything from bags to snack fees? Wait until your local government wants to tap into your savings to try to balance its books.
Now, before you dismiss this message as “gloom and doom,” know this: Each and every day, one of the things I’ve just said is already happening in select American cities. I'll show you specific examples in a moment.
I'm not the only one who’s worried about the consequences of a new financial crisis…
“[It] would blow Lehman out of the water,” said Tim Bitsberger, a former Treasury official under President George W. Bush and now a New York-based managing director at BNP Paribas SA. “Lehman was an isolated company, and now we are talking about the U.S. government.”
And now the next big crisis — the day that will spell the beginning of our credit card cutoff-- is right around the corner.
Treasury Secretary Jack Lew has been making the rounds, expounding his own view of the impending crisis.
He warned Speaker of the House John Boehner, that cutting off America’s credit would severely damage “the global economic leadership position enjoyed by the United States” and “would do irreparable harm to the economy and the American public.”
Behind the scenes, the U.S. Treasury has been taking "extraordinary measures" to prepare the government for crisis — including raiding federal pensions to borrow money for the U.S. government…but time is quickly running out.
And, as Secretary Lew put it, these extraordinary measures have “been used so many times, they’re not as extraordinary as they used to be.”
Put simply, when the government loses access to its credit card, the consequences could dwarf every other financial crisis we’ve seen in our lifetime — including the dot-com bubble, the mortgage meltdown and even the stock market crash of 2008.
Because this crisis could extend well beyond the stock market, deep into the American economy, the federal and local government… and the way of life so many have come to expect.
Just as the dot-com bubble morphed into the housing bubble… which morphed again into the recession of 2008… this next crisis morphs into something even bigger.
When credit is shut off for America, it will make the recent government shutdown look like child’s play.
"One way to wrap one's head around the problem," Boston University professor Laurence Kotlikoff says,
"is to ask what adjustments are needed to solve the crisis…
"The answers are terrifying…
“an immediate and permanent 64 percent hike in all federal taxes or b) an immediate and permanent 35 percent cut in all projected government outlays including those called ‘interest and principal.’
“If we wait a decade to take our medicine, these figures become 70 percent and 38 percent respectively. And, guess what? In that case, our children will face even higher taxes or lower spending over their precious lives.”
Think about that: Social security checks could slow down… or disappear altogether. Mortgage rates could double or triple from their current levels…
You probably won’t be able to get a loan to start up a small business. And unless you’re paying cash, you won’t be able to buy a new car… or a new house.
Retiring in anything like the comfort you now enjoy will become a greater challenge than it already is. Health care, already a big issue, will become even more expensive.
Most Americans will be caught completely off guard if the United States’ credit card is shut off. Talk to your neighbors. Ask them what they think.
My guess is that none of them will understand just how important our nation’s credit card is. They might feel like something's not right about our economy… but they won't be able to put their finger on it.
Your neighbors won’t know what to do if they can’t get their prescription medications… when they’re forced to pay new taxes and fees…when basic services they've come to rely on, like police, water and garbage, all get cut back…
"It is a very serious problem," the famous fund manager John Paulson warns. "The U.S. does not have the ability of unlimited borrowings."
Maybe you’re wondering how we got ourselves in such a mess? Let me show you…
Many years ago, the United States lived well within its means…
Thomas Jefferson walked to and from his own inauguration ceremony — right down Pennsylvania Ave — and spoke to anyone who came up to him.
But now when the U.S. president travels, he does so in imperial style…
When President Bush vacationed in Crawford, Texas, the flight on Air Force One alone cost nearly a quarter million dollars. And that didn't include the costs of the cargo planes that shuttled the president's limousines and helicopters… or the salaries of the hundreds of workers who laid the groundwork and organized the trip.
For President Obama’s 2013 trip to Africa, there were hundreds of Secret Service agents. The Obamas had, according to the Washington Post, a Naval aircraft carrier at their disposal. Plus, fighter jets provided 24-coverage over the president’s airspace.
Plus 4,000 “room-nights” for one stop in Johannesburg and close to $2 million for car rentals.
The cost for this trip? A mere $100 million of US taxpayer money. And he’s not the first. President Bush made the same trip two times during his presidency.
And this special treatment doesn’t begin and end with the Obamas and the rest of the executive branch.
And it doesn’t stop there…
In 2012, Purdue University was given $350,000 from the National Science Foundation to, in part, fund a study that discovered that if golfers imagine the hole is bigger, their putting will improve…
An audit showed that the Agriculture Department spent $2 million on an internship program that hired ONE intern. The audit also uncovered $3 million spent on technology hardware that was never used and a $235,000 project that ended up being cancelled.
The National Science Foundation has given $384,949 to Yale University to do a study on “Sexual Conflict, Social Behavior and the Evolution of Waterfowl Genitalia”…much of this research involves examining and measuring the reproductive organs of male ducks.
This wasteful spending sounds made up, I know.
But it's not. You can look it all up for yourself after this presentation… and you'll find that it's all 100% true.
Of course, these spending sprees and lavish salaries wouldn't be a problem if our government used its savings to pay for them.
But that’s the rub: The U.S. government has no savings.
Instead, we’ve relied on the savings of foreign nations… mainly places like China, Japan, India, and the Middle East… to pay for these things.
Until now, these "emerging" countries have been happy to lend us money. They're happy to take part in the “great American economic miracle.”
But it's like they've given a teenager an open-ended credit card. Take a look at this…
Just like a reckless teenager with their parent’s credit card, we’ve chosen to buy just about anything we wanted…
The government bought the world’s smoothest roads… and ensured the safety of our cities and airports….
They bought wireless Internet and put it in almost every government-run building…
They used their credit card to buy welfare and food stamps for anyone that wanted them…
They doled out salaries well above market rates…
They're paying for American soldiers to stand guard in over 150 countries…
And at the same time… through programs like Social Security and Medicare… they've promised everyone a healthy and financially secure retirement…
To most people, using our nation’s credit card to pay for these things may not seem like a bad idea… at first. But you must realize that the government has spent so much money… we’ve racked up so many bills… we’ve dug a hole sooo deep…
There’s no possible way we could ever pay our lenders back.
Let me ask you: When you can't pay your bills, what happens?
It's only a matter of time before our credit card is finally shut off for good.
The rating agencies Standard & Poor's and Moody's, as well as the International Monetary Fund (IMF), have all issued warnings that they believe the day the U.S. government's credit card gets shut off is fast approaching.
Even David Walker, the former top accountant of the federal government, has gone on record warning that the U.S. government's credit could be cut off…
"You cannot spend trillions of dollars more than you take in… without someday having a day of reckoning," says Walker.
I'll show you more proof in a moment.
But first, let me show you how it gets worse…
In response to the Great Recession of 2008, the government used its “credit card” to borrow even more money to pay for all the stimulus and bailout programs you hear about in the news… putting us even DEEPER in the hole!
The U.S. government’s financial hole has been getting deeper by the trillions of dollars every year since 2008.
Let's look at one specific item the government’s been charging on its credit card: mortgage loans.
You may not know this, but since September of 2012, the federal government has used its credit card to purchase mortgage-backed-securities to the tune of $40 billion a month.
The government’s goal is to keep mortgage interest rates well below free market rates. They believe this stimulates the housing market.
But what will happen to mortgage loans and home prices when the government can no longer buy mortgages with its own credit card?
Look around the world and you’ll find that mortgage rates are…
Once your government’s credit card is cut off — and they’re unable to fund the entire mortgage industry — mortgage rates will skyrocket.
Imagine what would happen to the price of your home if mortgage rates doubled…
The housing market would crash yet again.
All that needs to happen to crush the housing market is for our foreign lenders to say, “America, you’ve spent too much… we know you will never be able to pay us back… so we’re cutting up your credit card.”
The reality is this…
The government's outstanding "credit card" bill is now more than the entire economic output of China, Japan and Germany — the next three largest economies in the world — combined!
There’s not a snowball’s chance in hell that we will ever be able to pay this money back to our lenders. I say that with 100% confidence.
Consider this fact from the National Inflation Association (NIA):
America’s greatest business success story of the past decade has been Apple Inc. — maker of the iPod, the iPhone and the iPad.
The U.S would need to see the creation of 700 companies like Apple in the next year just to generate enough tax revenue to balance [this year’s] budget deficit… that's impossible.
Amazing, isn't it?
Think we’ll create 700 new companies like Apple this year?
It took Steve Jobs, the founder of Apple, a lifetime to create the wealth he's built in that company. It's not likely we can just wave a wand and create 700 more companies like that overnight.
But it's not really important what we think, is it?
It's only important what our lenders think.
What happens if our lenders — mainly foreign nations — lose confidence in getting any of their money back? Or even getting a portion of it back?
After they finish being mad as hell, they'll stop lending to us. They'll cut off the credit card. They’ll look for better places around the world to park their own money.
Without that open-ended credit card… without being able to borrow more and more money… without our politicians being able to promise anything they want to get elected… the United States would look like a completely different place.
You may know the feeling… standing at the register wondering if your credit card will go through. Wondering if you'll have to select a few items to put back on the shelves… all the while holding up the line.
The U.S. government is in the very same predicament… but the stakes are much higher.
All it would take for chaos to erupt is our creditors saying, “Enough is enough… we’re not lending you any more money.”
You may think this will never happen.
But the reality is that the cutoff process is already under way. Look around you. The consequences are easy to spot.
Throughout the property boom of the early 2000s, our state and local governments bet big that housing prices would continue going up. For them, higher home prices meant increased revenue from property taxes.
Based on those increased revenue projections, state and local governments expanded. They spent beyond their means.
When home prices crashed and foreclosures skyrocketed, the property tax revenue they so desperately needed to come in… never showed up. And they couldn’t “unspend” the money they had spent.
That’s why certain cities and states are now in deep financial trouble.
It’s also why the federal government used its credit card to send “stimulus” money directly to the state governments. The hope was to use Uncle Sam’s credit card to bail out the states and local governments.
With “stimulus” money, the states could continue to pay for more teachers… law enforcement officers… firemen… and other workers.
In total, 80% of the total stimulus money the feds borrowed went directly to the state governments.
But now that “stimulus” money has run out. Now no one wants to lend these states money… because they know local governments can’t pay the money back.
And in a very similar "denial of credit," the United States Treasury itself cut off funding for state and city governments entirely. (The feds can’t afford to extend any more money. As we've shown you, their credit is already in danger!)
The Deputy Director of the National Governors Association has been advising cash-strapped governors to not “count on being bailed out” — especially not for the next several years, while the Obama Administration struggles with even more budget cuts.
And the terrifying examples just keep cropping up all over the country. In 2013, the Pew Center surveyed America’s largest cities and found that 61 of them had a gap of more than $217 billion in unfunded pension and health care liabilities.
And you can bet that the gap is going to get even wider.
So…. what we get is a real-life, in-your-face view of what America looks like without its credit card.
* AMERICAN HELLHOLES — Camden, N.J., used to be the home to the entire Campbell's Soup factory. It was home to the world's first color television. They invented the "drive-in" movie theater. With almost full employment, innovation and massive manufacturing output, the mayor once proclaimed the place "the city of contented industries."
But just like what we’re seeing play out right now, they eventually got in over their heads…
The city's workers demanded more. They began to produce less. The politicians in Camden spent and promised too much. Camden’s current city budget is $150 million – with its tax revenue coming in under $25 million.
And now lenders have shut off their credit card — giving them no choice but to cut services.
City leaders have been forced to lay off hundreds of workers – including the entire police department, which is the second largest force in New Jersey after Atlantic City.
"The fear quotient has been raised," said Rev. Heyward Wiggins, pastor of the local church. His fellowship once held choir practice on Thursday and Friday evenings. Now he says he's cancelled those. Members are simply too afraid of being out after dark.
Fellow Camden resident George Watson fears for his life… and home. He told the local news that "[Criminals will]be coming into the houses… they know you can’t call the cops. There won’t be any cops to call."
What’s happening in New Jersey is also happening in California…
After Oakland's police chief was forced to lay off his staff, he informed citizens that the police could no longer respond to various crime calls. Here are just a few things the police won’t show up for anymore…
Can you imagine being the victim of a robbery… and knowing the police won’t be there to answer your 911 call?
Also from California is the sad state of affairs that is the city of Stockton, which declared bankruptcy in June of 2012. And judges keep pushing the process forward, despite the irate pensioners…
Over the past year, while Stockton has been navigating the murky waters of a municipal bankruptcy, their $900 million debt owed to the California Public Employees’ Retirement System looms overhead.
“So far,” reports TIME magazine, “the city has trimmed pensioners’ health care and negotiated new contracts with city employees, such as police and firefighters, who had already faced a series of cuts before the filing. Senior centers, library programs and recreational services have all been axed.”
So far, Stockton has kept up with pension payments, while reneging on other debts but the police are leaving in droves, in search of higher pay. So the former Gold Rush boomtown now has the distinction of being the country’s 10th most dangerous city.
Then there’s this…
* POOR MAN'S PAVEMENT — In Spiritwood, N.D., they've run out of money for road paving. So they've begun the process of ripping up roads that need repair… and turning them back into gravel.
Sounds unbelievable, I know. But here's what The Wall Street Journal reported:
Paved roads, historical emblems of American achievement, are being torn up across rural America and replaced with gravel or other rough surfaces as counties struggle with tight budgets and dwindling state and federal revenue. State money for local roads was cut in many places amid budget shortfalls…
In Michigan, at least 38 of the 83 counties have converted some asphalt roads to gravel in recent years. Recently, South Dakota turned at least 100 miles of asphalt road surfaces to gravel. Counties in Alabama and Pennsylvania have begun downgrading asphalt roads to cheaper chip-and-seal road, also known as "poor man's pavement." Some counties in Ohio are simply letting roads erode to gravel.
Residents have complained of cracked windshields. They now cough up the dirt stirred up by traffic driving on gravel roads. And they worry about how the lack of roads will affect their businesses.
"When [counties] had lots of money," stated the local county highway superintendent, "they paved a lot of the roads and tried to make life easier for the people who lived out here. Now it's catching up to them."
Just think about that for a second…
Without access to Uncle Sam's credit card, some cities and states in America are already going back to gravel roads… back to the start of the 20th century.
I know these stories sound like they’re from some remote third-world nation. But they’re not. They’re actually happening right now… right here in the U.S. You can check them out yourself.
Here’s another one…
* BROKEN PROMISES — Rather than facing the hard decision of cutting services, certain states have continued to provide them… but just not pay for them.
Consider the story of Tom Miller — a licensed pharmacist and business entrepreneur in the small town of Marion, Ill.
Mr. Miller took a chance. He borrowed money to start his own pharmacy. Eventually, he built the business up to five full-time employees. He’d fill prescriptions for his Medicare customers under the promise that the state would quickly reimburse him for the costs.
But when the state ran out of money, they simply stopped paying their bills. Here’s what the local news reported:
A graduate of St. Louis School of Pharmacy and a native of southern Illinois, Miller saw a harbinger of the end of his 20 years in the pharmacy business in May, when he received a state payment 270 days late.
Eventually, Tom was forced to close his business and lay off his employees.
It’s not just Medicare promises the state is refusing to pay.
The pension time bomb in Illinois is so bad that the governor created a cartoon snake – Squeezy that Pension Python – in an effort to raise awareness and help explain why underfunding the state pension system is not a good idea.
The pension problem is Illinois is no secret. With the rosiest estimates coming in at an estimated shortfall of close to $100 billion over the next 30 years, Illinois is facing the worst mess in the nation, according to the Pew Center.
But it’s not just Illinois…or California…Nevada…New Jersey. More and more stories of states or cities not being able to falling behind, or flat out not being able to pay their bills are cropping up nationwide.
Listen to this out of New York. Stateline.com’s Daniel Vock reports:
New York delayed its payments across the board when the state treasury ran out of money for the first time in its history…
As New York fell behind on its bills, that system came close to breaking down. By the time [it hit crisis mode], the state owed [the] county more than the county had in reserve to continue paying for social services.
To deal with its own cash crunch, [the] county started doing to its contractors what the state was doing to the county: skipping payments. At one point, the county owed a local agency for youth roughly $800,000.
Can you imagine a world where all payment promises are broken?
Again, I show you these examples not to scare you, but as proof that America as you know it has been an illusion built during an era of easy credit.
Without that credit card, certain states are already trying every money-grabbing scheme they can dream of…
According to the Brookings Institute, “40 states enacted tax or fee hikes between fiscal years 2008-2009 and 2010-2011.”
And in 2013, residents are paying at least $2,000 more on average in income tax.
Aside from already collecting property, sales and income taxes, they’ve also put in place separate streetlight fees… fire hydrant fees… and new booze taxes.
Nevada is even considering a new $5 surcharge on prostitution.
And in Maryland, a new “rain tax” has been put into effect.
“I thought it was a joke. How can you tax the rain? But when I got the $4,700 rain tax bill, it wasn’t funny anymore,” said one business owner. .
“We are careful of how we spend our money, and if the government were careful of how they spend their money, we wouldn’t be hit with a $4,700 tax bill,” she continued.
Laughable… I know.
In Ohio they’re looking into selling off their prisons for upfront money. History shows that during previous prison sell-offs, prison officers were so angry that they all simply walked off the job — leaving the prison unmanned.
Could this happen in your city?
Chicago sold off the rights to their parking meters. And because the city needed upfront money so bad, the Wall Street firm with fire-sale pricing paid the city just 50% of what the rights were estimated to be worth.
Wall Street did what it does best, of course. It chopped up the parking meter rights and sold a portion of them to a wealth fund in the Middle East.
How does that grab you?
If you’ve paid to park in downtown Chicago over the past few years, your money no longer goes to the U.S. government. It goes to a Wall Street banker and to oil-rich Middle Eastern rulers.
Cutbacks, broken promises, sell-offs…
We’ve forecast these things for more than a decade.
Now they are actually happening.
And unfortunately, I believe these local problems are merely a harbinger for what’s ahead for the entire economy.
Luckily, there are a few simple steps you can take right now to avoid the worst of the crisis. These steps could help protect both your family and your wealth. I’ll show you all of them in a moment.
But first, let’s take a look at how bad it really could get…
Take away the federal government's credit card and you will have a similar crisis as these local governments… but on a national – and even global scale.
What could happen then?
My point in showing you all of this is simple:
Very soon you may NOT be able to rely on the federal government to fund your retirement…
To provide you with medical insurance…
To keep you safe…
To lend you money to buy a house…
Or to make goods easily affordable.
All of the things they've promised to do but will no longer be able to afford if the "punch bowl" of easy credit is removed.
Once you review the facts, it’s the only logical conclusion you can reach.
Many of these dramatic revisions in the American way of life would have already happened if it weren’t for one tool the federal government does possess…
It’s the one tool that the federal government “believes” will save us from chaos…
But as you’ll soon see, it’s this one tool that could, ironically, push us over the brink… into a hellish crisis Americans have never seen before.
Let me explain…
Unlike state and local governments, the feds have one tool that has allowed them to get away with overpromising and overspending for a very long time.
It’s a tool that has been unique to the U.S. federal government since the end of World War II. And the U.S. government takes advantage of this tool like no one has before in history.
When the nation’s credit card is cut off… when its ability to borrow money cheaply ends… the feds don’t have to try to balance the budget through unpopular service cuts…
They don’t have to sell off federal assets. They don’t have to break promises in the way state and local governments do.
All because of this one tool: their ability to print the world’s reserve currency — U.S. dollars — on demand.
This gives the feds what they “believe” is a way out.
If they can’t use their credit card to pay for things, they believe they could simply print more money.
Printing money is something the states and local governments can’t do. And having the world’s reserve currency is something that no other foreign nation can boast.
Did you know that if you travel to a country like Nicaragua, Colombia or Cambodia — all of which I have visited in the past year — you don't need to use the local currency?
You don't even need to learn the name of it or ever see it. Because in every one of these countries — and many more like them — the local merchants, hotels and vendors on the street all take U.S. dollars.
In many parts of the world, because of the U.S.’ historic legacy as an economic powerhouse, the America's dollar is "as good as gold."
That makes the U.S. dollar the “world’s reserve currency.” Meaning, among other things, it's used for trade… and as a store of wealth for banks and governments everywhere.
Up until recently, the rest of the world has been happy to go along.
But as the government chooses to print more and more dollars — to pay for all the social safety programs, wars, roads, bailouts, and stimulus — each dollar becomes worth less than the one printed before it.
For our foreign lenders, that means the value of each dollar we repay them with goes down…. which makes them even more nervous about the money they’ve already lent us.
But for you, it’s much worse…
When more printed money chases the same amount of goods, prices go up.
That means the price of things like gasoline, meat… milk… bread… all go WAY up. That affects you personally at the gas pump and at the grocery store.
And eventually, the federal government’s choice to print money could, ironically, push us over the brink — causing our lenders to give up on America completely.
Of course, the ability to print currency isn’t new… the U.S. government did not invent it. The Chinese experimented with printing paper money in 800 A.D.. But they gave up after it too caused life-threatening price increases.
Before paper money, we know the Romans "printed" money, too.
Over the course of 500 years, the Roman Empire had become the most powerful and richest empire the world’s ever seen. Eventually, though, the cost of defending its borders and expanding its bureaucracy became too expensive. The tax revenues collected weren’t enough to cover the empire’s costs.
But rather than cutting back, the Romans choose to simply create more money. They thought that if they could find a way to increase the amount of money, they could continue to fund skyrocketing defense costs and expand the bureaucracy.
They had just one problem: Modern paper currency didn’t exist — money was still 100% gold and silver. They couldn’t just crank up the printing press like our government can today.
They didn’t let that problem stop them, of course. Instead, they slowly reduced the precious metal content in their coins and began to replace the precious metal with worthless metal — like bronze.
This allowed their Roman treasury to produce more coins with the same amount of gold and silver on hand.
One 100% silver coin now became two 50% silver coins (with the same face value). Those two coins eventually became four coins with 25% silver (with the same face value)… and so on…
When they finally stopped reducing the precious metal content in the coins, the currency — called the denarius — had lost 95% of its value.
The Roman money was worthless.
Merchants began to reject the money. Salaries were paid in food and clothing. Taxes were collected in fruits and vegetables.
And eventually, without money to expand and protect, the Western Roman Empire collapsed.
The beginning of the end for the Roman Empire all came down to the lack of a national credit card… and the destruction of their money in its place.
A strikingly similar trend is already under way in America. Right here. Right now.
Here’s one of the more shocking comparisons I’ve seen…
Once the Romans started creating coins out of thin air, it took 200 years for the denarius to lose 95% of its purchasing power.
But look at this.
It has taken the United States about 80 years to do to the dollar what the Romans did to their own money in 200 years.
Now, compared to gold, the dollar’s lost 95% of its value
The "devaluation" of currency happens again… and again… throughout history.
I know it sounds like these terrible events could never happen here. But the shocking fact is what most Americans don’t know… and don't want to know:
The money-printing trend is already in motion in the U.S.
In response to the crisis of 2008, the U.S. government knew that it didn’t have enough room left on its credit card to bail everyone out…
So instead, the federal government began to massively print U.S. dollars. Check out this chart:
After staying relatively steady through 2006 and 2007, the feds kicked the printers into overdrive in late 2008. And they haven't slowed since.
Now, with government debt rising faster than at any time in our history — and our creditors, rightfully, getting nervous day by day — you have to ask this question:
Recent history already tells us the answer. The federal government will most likely start printing U.S. dollars at a pace our nation never seen.
And the sad fact is they won't have any other choice.
The consequences will be devastating.
The most recent examples we have of a country’s meltdown of this magnitude happened in Eastern Europe within the last 100 years. Taxes weren’t enough to pay for the costs of World War I. But surrendering the war was unthinkable.
So a few governments, Austria and Germany specifically, started down the dangerous path of money printing as a means to continue to fund war efforts…
Consider the story of Anna Eisenmenger, a widow living in Austria at the time, trying to raise her three children and her grandchild…
As soon as the Austrian goverment started printing money, food and fuel costs started to rise. To protect her family from rising costs, Eisenmenger started hoarding coal and meat — an activity strictly outlawed by the state.
Eisenmenger’s diary entries were recently collected by author Adam Fergusson in his book When Money Dies. She writes about the day hell started to break loose at the bank. With massive money printing, the value of everyone’s money was plummeting.
Listen to her story…
“Why don’t you think the currency will recover again?” [I asked my banker.] “Recover!” [my banker] said with a laugh… just test the promise made on your currency and try to get, say, silver in exchange.” “Yes, but mine are government securities: Surely, there can’t be anything safer than that?” “My dear lady, where is the state in which guaranteed these securities to you? It is dead.”
The amount of money in circulation more than doubled in 1920 alone. Then a year later, the amount of money rose fivefold from that!
When it comes to money printing, what starts with good intentions tends to go sour very quickly…
As each Krone bought less and less, the Austrian government continued to print more… and more… and more.
Anna Eisenmenger and her fellow citizens watched horrfied as the value of their savings dissapared. Prices of food and clothing rose to unimaginable levels. Again, here’s one of Anna’s diary entries:
A suit costs about six times what it was in 1913, but some things like food are 100 or 200 times as much… paper clothes are being sold… jealousy and envy flourish in this atmosphere…
The confidence of citizens in the currency administration of the state is shaken to its foundation. The state, which is perpetually printing new banknotes, deceives us with the face value… a housewife who has had no experience of the horrors of currency depreciation has no idea what a blessing stable money is, and how glorious it is to be able to buy with the note in one’s purse the article one had intended to buy and at the price one had intended to pay.
The large numbers of unemployed… are seething with discontent… a mob has attempted to set the parliament building on fire. Mounted policeman were torn from their horses, which were slaughtered in the Ringstrasse and the warm bleeding flesh dragged away by the crowd… the rioters clamored for bread and work…
That’s terrifying… isn’t it?
Here are some other reports from Fergusson’s When Money Dies::
Judith de Marffy-Mantuano recalled:
There was no way to get medical help without money. If you had a toothache, you couldn’t afford a dentist. If you needed to go to the hospital, you might get into a convent: Otherwise, you stayed at home, and got better, or got worse.
And German resident Robert Clive said:
Few families can afford meat more than once a week, eggs are unprocurable, milk terribly scare and bread almost 16 times the price of a few days ago when the maximum price was abolished… no one expects political disturbances, but hunger riots are another matter… and the cold: No one can afford central heating…
Looking back, we can see that whenever a government is unable to borrow money with their national credit card, they resort to printing money to “pay” for things.
And throughout history, the trend always — and I mean always — ends badly.
Spending cuts and broken promises are always ugly. They won’t get politicians re-elected.
And the more severe they are… the angrier the public gets.
Mobs of protesters attacking police lines and looting stores — just like we've seen in Greece, Spain and England and all across the Middle East
— are not, I repeat not, out of the question in the U.S.
Not by any means.
Firing up the printing presses, on the other hand, provides a stealthy way to keep the illusion going for another day… and to keep politicians in office for another term.
In some ways, what our nation is going through is just the historic order of things.
It happened to the Romans… the Austrians… the Germans… and even more recently to citizens all throughout the Eurozone.
Now we’re in the early stages of it happening right here in America.
It’s unfortunate that most Americans won’t know what to do if the nation’s credit card is cut up. When basic services like fire, ambulance and police protection are cut back.
And when rapid money printing makes it more expensive to heat their homes, fill up their gas tanks, eat at a nice restaurant or buy the things they want at reasonable prices…
“I feel now as jittery [about a crisis in America],” says best-selling financial author Nassim Nicholas Taleb, “as when I was in Lebanon, when as a child it was the beginning of civil war. When they started printing [money], they said, ‘Oh, no, no, no, don’t worry about it, it’s just temporary. These things are never temporary.”
The seeds of this new financial crisis have already begun sprouting. We can see them in the news… many can see them in their own neighborhoods already.
Isn't it time to take a few safe and simple steps to protect yourself and your family?
You can no longer afford to deny this next crisis.
That’s why it's urgent you act right now to prepare for what I've shown you in this presentation. Luckily, you still have time to take a few simple steps.
It’s impossible to say for sure. But consider this…
Our lenders’ confidence in our ability to pay our credit card bill is already wavering. I believe that the day when we’re cut off completely is approaching very, very quickly.
As you may know, China is currently the largest lender to the United States. Month after month, they lend us an enormous amount of money.
But listen to what Chinese Premier Wen Jiabao had to say about our spending sprees…
We have lent huge amounts of money to the United States. Of course, we are concerned about the safety of our assets… To be honest, I am a little bit worried."
Here’s what Eswar Prasad, a former International Monetary Fund official with responsibility for China, had to say…
I worry that we could be at a tipping point… If the Chinese say, “We're not [lending anymore money],” this could act as a trigger around which nervous market sentiment coalesces… People could start wondering how the U.S. is going to finance its deficit.
It’s not just political propaganda, either. China’s already taking protective steps.
An editorial from the Xinhua News Agency stated:
“Should Washington continue turning a blind eye to its runaway debt addiction, its already tarnished credibility will lose more luster, which might eventually detonate the debt bomb and jeopardize the well-being of hundreds of millions of families within and beyond the U.S. borders.”
And as I write to you today, Chinese Vice Finance Minister said that China is “very concerned” about the evolving crisis in the United States.
"We hope the United States fully understands the lessons of history," Zhu said, referring to a deadlock in 2011 that led to a downgrade of the U.S. credit rating to "AA+" from "AAA" by agency Standard & Poors.
As you’ve seen in this letter…
Cities all across America have already lost their credit cards. They’re going through painful cuts and broken promises right now…
Lenders are becoming increasingly frustrated with our federal government’s reckless spending policies… threatening to cut off our credit card for good.
And in response to less credit, our federal government is already ramping up massive money printing… sending the price of goods and services soaring…
In short, this could be one hellish financial crisis. And it’s coming. These things are all happening right now.
No… they’re not easy to accept.
But you can continue to deny the consequences. You can continue to hope the government will always be there to save you…
Or you can act now to protect yourself.
The choice is yours.
If you’re interested in protection, there are a few simple steps I recommend you take immediately.
The best part is this: If I’m wrong… and believe me when I say I hope I am… you won’t lose anything but the time it takes you to take these steps:
STEP #1: MAKE SURE YOU LIVE (AND WORK!) SOMEPLACE SAFE
The first thing you need to do to prepare is to find someplace safe for your family to work and live.
As I mentioned earlier, that doesn’t require leaving your family behind and moving overseas. And no, you don’t have to dig a “gold and guns” bunker and stock it with six years of canned goods, either.
But you want to make sure you’re not in a state that relies on credit to keep going.
And you want to make sure you’re not in a state that has made promises to the masses it can’t keep.
The deadly combination of low tax revenue and massive pension and retirement promises has forced certain states into a “lose-lose” situation. They’ll be the first to cut police… try desperate money grabs… and break promises.
It’s a process that’s already starting right now…
Soon, I predict these could be the first cities to see riots, crime spikes and massive unemployment.
Believe me, it won’t be any fun to live in a city like that when the proverbial chickens come home to roost.
Remember the crime-ridden Camden, N.J.? Or the ghost town that was Detroit?
The good news is that I’ve done months of research to find a select few American cities that have managed their spending best.
Each of these American cities boasts low tax rates for entrepreneurs, high employment, low crime rates and the most well-funded retirement programs.
I’ve put together all of the details in a new report called American Oases — Five Spots to Find Paradise in the Midst of Crisis.
If you’re worried about a debt crisis in your city or state, I urge you to read this report immediately. Not only does it detail the five best cities… it also shows you the five worst.
In a moment, I’ll show you how you can download and print this report at no charge.
But first, let’s move to another urgent step…
STEP #2: MOVE YOUR MONEY OUT OF HARM’S WAY
Did you hear the nasty rumors flying around last year about the government seizing control of private 401(k)s?
Financial researcher Jeff Schneider writes:
Americans have $4 trillion saved in 401(k) plans and another $8 trillion in IRAs and pension plans…
If the U.S. government forces investors to invest 50% of their IRAs in government bonds, that would raise $6 trillion.
As you see, the idea was that politicians would take control of your retirement accounts… and then forcefully loan your money to the government.
All in hopes to continue our consumption-driven way of life.
Whether or not this will happen is anyone’s guess. But here’s something that HAS been confirmed…
As I record this presentation for you, Treasury Secretary Jack Lew continues to tap into federal pensions to borrow money for the government — part of the “extraordinary measures” that have been in place since 2011.
When times get tight, governments have a history of seizing control of retirement accounts and savings accounts and controlling money flow in and out of the country.
Most people don’t remember this, but in 1982, the Mexican economy was suffering through its worst recession in over 60 years.
Unemployment was running at 40%. Massive money printing resulted in the prices of goods and services going up by 100% in just five months.
“Everything is so high,” said Trinidad Angeles, a widow living in Mexico during this time, “I can’t afford anything anymore. Even the price of water has doubled.”
When Mexicans began trying to trade in worthless pesos for other currencies, the Mexican government promptly outlawed the trading.
Here’s the report from a local paper, the Sept. 11, 1982, edition of The Evening Independent:
In a surprise move Friday, the Commerce Department announced Mexicans will not be allowed to take pesos from the country…
The controls, expected to curtail trading in the peso on the international market, are an attempt to maintain the artificially high value of the currency set by the government last week.
The announcement… also included a long list of silver and gold items, jewelry and gems that cannot be taken from Mexico without government authorization.
The same thing that happened in Mexico during a currency crisis also happened in Malaysia, Venezuela, Russia… and other countries.
For you, of course, it doesn’t matter what happened in other places. What matters most is the answer to this question: Will it happen here?
No one can say for sure. But I suggest you don’t wait around for a “surprise”…
To help you prepare for such an event, our founder recently travelled halfway around the world to visit a few little-known private vaults.
These vaults allow you to convert U.S. dollars into real money like gold and silver. Then they store your precious metals in custom-free zones — all outside the hands of the U.S. government.
In some cases, you won’t have to report any of the assets to the government (until you sell them, of course). And you can visit your holdings anytime you like.
I know storing your wealth in custom-free zones may sound a little “out there” right now. But when governments begin to implement capital and currency controls, it often tends to be a very slippery slope. It’s a funny thing… but new “rules” about your money tend to pop up quicker than you can actually move your money.
That’s why I recommend you begin looking into overseas asset storage as soon as possible.
To help you get started, I’ve written up all my findings in a report called How To Move Your Money Safely Out of Harm’s Way.
Inside this report, you’ll find details on all three gold storage sites I’ve found — including names and contact numbers to call if you decide you’re ready.
Making any one of these moves is still 100% legal… for now. But I can’t guarantee they’ll stay that way forever.
Like the first report I told you about, I’d also like to send you this report free of charge.
I’ll tell you how to get this report in just a minute. But first, a warning…
I don’t recommend you lock up all your assets in an overseas account. You still need easy access to the short-term cash to buy and sell the things you need.
So here’s another idea we have found for you…
STEP #3: UNDERGROUND BANKING
For your short-term savings and transaction needs, I suggest you go “underground.”
“Underground” banking is like a normal savings account, but with one big advantage…
You don’t have to hold U.S. dollars.
With one simple call to the “underground bank” I’ll introduce you to, you can diversify your savings out of the dollar and into things like commodities… foreign currencies… and precious metals.
There’s nothing illegal about this “underground” bank. I call it that because most people I’ve met have absolutely no clue it exists.
Unlike Bank of America, SunTrust or any of the big commercial banks, the “underground” bank has only a dozen or so branch offices. They’re all located in one state. They barely advertise. In fact, I don’t think I’ve ever seen a television commercial or heard a radio advertisement.
I also call it “underground” banking because they offer savings products way outside the normal CDs and traditional accounts.
For example — right now they’re offering a way to turn your savings account into a basket of commodities. If those commodities go up as the feds print worthless dollars, you get to enjoy the upside.
But if I’m wrong and commodities lose value over the next few years, this “underground” bank will return 100% of your initial deposit. It truly is one of the ONLY “no risk” investment opportunities available in the world today.
The people I’ve introduced “underground” banking to love it. They’re written to me to say…
Overall, I am quite pleased with the success of [underground banking] … and I am happy they make these options available, as they would be difficult to arrange in the financially backward USA otherwise. — Matt H.
Very pleased with [the Underground Bank’s] Gold CD. Five- year investment matured in December 2010… returned about 80% over initial investment. Got some dry powder — looking forward to their next no-downside opportunity. — Stephen M.
I currently own the [underground bank’s] Debt-Free CD… and am up 33% since then. I also own [one of the bank’s gold investments] and am up 32% since February 2009. Thanks for the ideas — Doug K.
I haven't found anything available in the U.S. that's as simple and accessible as their [underground banking] CD products. I started with an Australian dollar CD about five years ago and have just let it roll over every quarter since then. That's up about 50% on what I started with. Others have been less exciting, but have shown steady appreciation and help me sleep well at night knowing that if there is a crash in X, Y, or Z, I've got a decent level of diversification and relatively low risk. — Matt P.
If you’re interested, we'd love to tell you more about “underground” banking…
Simply complete the form I’ll show you in a second and you’ll get a free copy of our third special report, Underground Banking — Radical New Ways to Save and Grow Your Money.
But first, let’s talk about the final step I recommend you take…
STEP #4: THE SECRET TO “SET IT AND FORGET IT” WEALTH (NOTE: THIS PROVEN STRATEGY CAN WORK WHETHER OR NOT UNCLE SAM’S CREDIT CARD IS CUT UP)
As I've said, I hope I'm wrong about the trend that's in place.
If so, we'll all breathe easier and feel good about ourselves. But even if I'm right, our research shows there will be ways to grow your wealth. If you know what to do…
If you’re interested in learning how, first I suggest you immediately STOP doing everything you’ve learned through the mainstream. I also recommend you forever quit watching TV programs like Mad Money… Squawk Box… or any other so-called “investment shows.”
Growing wealthy over the long term — during both boom and bust times — doesn’t involve day trading at your computer. Nor does it involve buying leveraged option bets… and it doesn’t have to do with the ability to read balance sheets, predict earnings or front-run news.
After more than a decade in the financial industry I know this much is true.
“Set it and forget it wealth” involves only two “secret” steps…
Both of which have been used to secure every major family fortune in America. The du Ponts family, the Waltons family, the Mars family… they’ve all taken advantage of these two simple steps.
The secrets have nothing to do with starting a multimillion-dollar business… hiring employees… or anything like that. And they don’t have anything to do with networking or going to Ivy League schools, either.
The strategy works in both boom times and bust times.
Take advantage of the secrets and your wealth grows…
It’s a simple as that.
My guess is that when you first hear about this secret, you’ll laugh. It’s easy. It’s a proven way to wealth. Yet most Americans never think to actually use this secret.
But what really makes the strategy work is secret No. 2…
It involves making a simple wealth move at the START of each year. The move itself is always the same… but there’s a small trick that means everything to this secret.
You won’t need a calculator to do what I’m suggesting — just a pen and a napkin.
How’s this secret “set it and forget it” strategy performed?
Well, that’s the best part…
In the past 39 years, this simple strategy has suffered only two down years. In 1981, it lost 4%. And in 1994, it lost 2.5%.
Throughout the other 37 years — throughout booms and busts — it continued to churn out gains.
In total (including the two losing years), the secret compounded wealth at nearly 10%.
Had you invested just $10,000 into this secret in 1972 for example, you’d be sitting on over $315,000 today. Without ever having to worrying about timing an option move or analyzing a balance sheet.
What is this simple move? And how do you put it into action today?
We’ve put together everything you need to know in another report, called The Secret to “Set It and Forget It” Wealth — and want to send that to you today FREE as well.
As I told you earlier, I help to head up Agora Financial — one of the world’s leading independent financial research firms. We employee a dozen analysts with specialties in natural resources, value investing, technical charting patterns, option trading, new technologies, macroeconomics and more.
We produce 16 different monthly newsletters and weekly investment research services. These letters and services have helped many readers learn how they could both protect and grow their wealth over the years.
Listen to what readers told us…
At last — someone who gives a damn about us! Report concise, not wordy, factual, graphs you can understand. You guys should get a Nobel Prize for this! — Subscriber Bob P.
I have tripled my portfolio from $300,000 using the SP 500 puts suggested… and now, with GDX calls, I have made $100,000 into $300,000, and I am about to hit the million-dollar mark… They say the first million is the hardest… — Subscriber Pete C.
I've enjoyed multiple offerings from Agora Financial to date… In the short (approximately) seven months since joining the Agora Financial "family" of various financial subscriptions, I have more than doubled my initial investments, and I truly look forward to the opportunities that lie ahead. Thanks to you and your "crack team" of investment strategists! — Subscriber John M. (and family)
While I’m proud of the efforts my company has produced over the years, we’ve recently realized something was missing…
Despite our accurate forecasting of big-picture events — ones like I’ve detailed in this presentation — you would have had to subscribe to multiple different letters to have a complete package of protection and growth strategies.
Put simply, we’ve never had one research letter dedicated to boiling down the best of our team’s findings into a single monthly read… until today.
I’ve put together this presentation today to give you — in one simple place — the full details on the events we expect to unfold… along with a complete investment strategy on how to prepare for the day America loses its access to cheap credit.
Remember — The United States government’s credit card could soon be cut up. And if this happens, our government will try to print its way out of this crisis.
Every single American’s way of life will be affected. This day could come whether or not you chose to protect yourself.
You can either ignore this message. Or you can take a few simple steps to learn how to protect yourself.
On behalf of your family, I urge you to take a look at the solution set we’ve boiled down from my team and analysts and publications.
To help you decide if this is right for you, I’ve created this “no-brainer” deal that allows you to check out my research 100% risk-free.
It’s all part of a monthly newsletter that our founder personally heading up called Addison Wiggin’s Apogee Advisory.
Apogee, as you may know, means the “farthest and highest point.”
And in Addison Wiggin’s Apogee Advisory, that’s what you’ll get — high economic and financial viewpoints boiled down to simple solutions sets.
Agree to a charter subscription to Addison Wiggin’s Apogee Advisory and we’ll immediately send you:
You’ll have the special reports within five minutes of accepting my offer. Then each month, we’ll send you our latest research, along with actionable investment recommendations and secrets.
We’ll also add you to an email blast list, to which we’ll send any urgent news and updates on the special reports… the monthly tips… or protection strategies.
And we’ll start sending you something called The 5 Min. Forecast, in which each day our founder, Addison Wiggin will personally wrap up all you need to know about economics and finance into one simple and (hopefully) entertaining five-minute read.
In this quick, easy-to-read daily email, you’ll learn:
Despite people wanting to pay for The 5 Min. Forecast itself, it’s something we don’t sell at any price. Instead, it’s been reserved exclusively for loyal paid subscribers. And you’ll receive it for free when we hear from you today.
By the way… an annual subscription to everything I’ve mentioned above — including the special reports, the monthly Addison Wiggin’s Apogee Advisory letter and the daily 5 Min. Forecast email — normally costs just $99.
Agree to a trial subscription today and you’ll pay just HALF that rate — only $49 per year.
As I've mentioned before, your subscription is 100% risk-free. By that, I mean that you have the entire year to determine if my research is right for you. If it’s not, simply call us and we’ll refund your entire subscription fee.
No “restocking fees,” No “holdbacks.” No refund charges whatsoever.
You get every… single… cent… back.
I think you’ll agree it’s the strongest guarantee possible. After all, where else could you try something for an entire year… risk-free?
To get started today, simply click the link beneath this presentation and fill out the information on the secure order form.
Once I hear from you, I’ll immediately rush you everything by email. You can begin reading all the reports within minutes.
Then I’ll drop printed copies of all the special reports in the mail for you, too.
To get started today, simply click the “Subscribe Now” link below… and fill out the secure order form on the next page. And don’t worry… you’ll still be able to review your order before you commit to anything.
I hope to hear from you soon.
You Can Review Your Order Before it's Final