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I doubt banks can store physical cash for (much) cheaper than .1% per year. $1MM takes up 40 cubic feet and weighs more than a ton, you think you can securely s

I doubt banks can store physical cash for (much) cheaper than .1% per year. $1MM takes up 40 cubic feet and weighs more than a ton, you think you can securely store that for less than $1000 a year? I'd say maybe, but not by much. Then there's the initial transport costs which have to be amortized. Edit: I misread my wiki.answers.com link. That's the volume and weight for $1MM in singles, not hundreds. The costs start to look a lot more plausible, especially given that there are 500 Euro notes.

ISL 12y ago
These people [1] have shown that you can store $1M inside a microwave with room to spare. $100M fits on a shipping pallet. No doubt that physical money storage has associated costs. -0.1%/yr isn't enough to get someone to start storing money, but -1%/yr probably is. [1] http://www.cockeyed.com/inside/million/million_dollars.html http://www.cockeyed.com/inside/million/million_dollars.html