Wednesday, June 17, 2015

PANIC: Greeks Stashing Bundles of Cash in Homes in Fear of 'Grexit'...

In the shadow of the breakdown in talks between the radical left Greek government and the banksters, Greeks are fearful that more capital controls, frozen bank accounts and accounts that are heavily taxed, may be just ahead. They are pulling massive amounts of  money out of the banking system.

The Guardian reports:
Everybody’s doing it,” said Joanna Christofosaki, in front of a Eurobank cash dispenser in the leafy Athens neighbourhood of Kolonaki. “Our friends have all done it. Nobody wants their money to be worthless tomorrow. Nobody wants to be unable to get at it.”

A researcher in the archaeology department at the Academy of Athens, Christofosaki said she knew plenty of people who had “€10,000 somewhere at home” and plenty of others who chose to keep their stash at the office. Was she among them? “If I was, I certainly wouldn’t tell you.”

It was not too hard, in central Athens’ plushest district on Tuesday, to find people worried that the latest breakdown of talks between Greece and its creditors over a new aid-for-reforms deal may have implications for the security – and accessibility – of their savings...

Bank deposits have been falling steadily since October and now stand at their lowest level since 2004. Withdrawals in recent weeks have averaged €200-250m a day, but on Monday – after the shock collapse of last-ditch talks between the Greek government and its eurozone and international lenders – withdrawals surged to €400m.

“People are very concerned,” said the owner of a small company who asked not to be named. “I think those who could, have already transferred some money abroad. And lots of others have taken out a few thousand, enough to see them through any immediate crisis. I have.”

Sofia, who runs a boutique in one of Athens’ wealthier suburbs, said she and her husband had €15,000 in a safe in the garage, “just to be sure we’re not caught out.”


  1. How long before more Americans are doing this?

    1. Most Americans are too broke to have anything to keep on hand.

  2. I'm not sure it would play out like this because the Fed can inject as much money as it wants into our banking system. Which it did in 2008. It could be a problem though if your bank just shut down completely.