4 ms·

A month or so of salary in cash at home, and some "hard assets" is a good hedge.

by nibbleshifter 4y ago

astrange 4y ago
Under what situation could that possibly be useful where all society hasn't collapsed? You're not going to lose access to your bank account because the bank failed; the FDIC handles that. It just moves to a different bank over the weekend. Locked out because Chexsystems thinks you're a financial criminal is more in the direction of possible.
- nibbleshifter 4y ago
  I've had banks go technologically tits up and render my funds inaccessible for multiple days in the past. Card payments fucked, etc. Has happened to more than one bank I've used, in more than one country. I've also had a bank freeze my account temporarily (for over a week) because some risk algorithm somewhere thought fraud was occurring. All those times, having a bunch of cash handy was very useful. As for hard assets: they make a decent hedge against financial shithousery.
- dsfyu404ed 4y ago
  > Under what situation could that possibly be useful where all society hasn't collapsed? In a natural disaster type situation it could easily be the difference between being able to get what you need stay put the whole time or running out of some supply you didn't think you'd need and having to evacuate half way through the follow-on mess and losing quite a bit to looters and/or the environment. The other person who replied mentioned more mundane stuff.
e_i_pi_2 4y ago
As some other replies have said - the best and most reasonable hedge is to rely on your community and have good bonds there. Doesn't matter how much cash you have if people don't care about that anymore, the best option is to have social bonds and have a community to support you, no person is an island etc $100 under your mattress for the future is not worth nearly as much as giving that money to a friend to help them cover rent today

4 ms·

A month or so of salary in cash at home, and some "hard assets" is a good hedge.

by nibbleshifter 4y ago

A month or so of salary in cash at home, and some "hard assets" is a good hedge.

astrange 4y ago
Under what situation could that possibly be useful where all society hasn't collapsed? You're not going to lose access to your bank account because the bank failed; the FDIC handles that. It just moves to a different bank over the weekend. Locked out because Chexsystems thinks you're a financial criminal is more in the direction of possible.
- nibbleshifter 4y ago
  I've had banks go technologically tits up and render my funds inaccessible for multiple days in the past. Card payments fucked, etc. Has happened to more than one bank I've used, in more than one country. I've also had a bank freeze my account temporarily (for over a week) because some risk algorithm somewhere thought fraud was occurring. All those times, having a bunch of cash handy was very useful. As for hard assets: they make a decent hedge against financial shithousery.
- dsfyu404ed 4y ago
  > Under what situation could that possibly be useful where all society hasn't collapsed? In a natural disaster type situation it could easily be the difference between being able to get what you need stay put the whole time or running out of some supply you didn't think you'd need and having to evacuate half way through the follow-on mess and losing quite a bit to looters and/or the environment. The other person who replied mentioned more mundane stuff.
e_i_pi_2 4y ago
As some other replies have said - the best and most reasonable hedge is to rely on your community and have good bonds there. Doesn't matter how much cash you have if people don't care about that anymore, the best option is to have social bonds and have a community to support you, no person is an island etc $100 under your mattress for the future is not worth nearly as much as giving that money to a friend to help them cover rent today