Liberty Dollar of Chambersburg

When you watch the "network" news on TV, think of it as being created by the "man behind the curtain" in The Wizard of Oz movie... just smoke and mirrors. The fact is, contrary to what you're being told, the entire banking system is on the verge of collapse. On Liberty Dollar of Chambersburg's MerchantCircle page, we ask the question,"Is your bank safe from collapse?"  Now would be a good time for you to find out.  According to the Wall Street Journal's recent Real Time Economics newsletter, "The Federal Deposit Insurance Corp. released its quarterly report on the condition of the banking industry, and the data through Sept. 30 showed growing strains on a number of institutions. Here are some quick takeaways:

1) The FDIC's deposit insurance fund fell to negative $8.2 billion at
the end of the third quarter, a decrease of $18.6 billion. This is in
part because of a $21.7 billion provision for future bank failures.
The negative balance will soon be boosted by a new FDIC program
bringing in $45 billion in prepaid fees from banks.

2) The number of "problem" banks, which are at a greater risk of
failure, rose to 552 in the third quarter, up from 416 at the end of
the second quarter [And that 136-bank increase is after the 50 actual
bank failures during the quarter].

3) The total assets of the problem banks rose to $345.9 billion, up
from $299.8 billion.

4) Based on the FDIC's data showing the number of problem banks and
the total assets of the problem banks, the average size of a problem
bank at the end of September was $627 million, down from $721 million
at the end of June (this could be in part due to the fact that several
regional banks failed in the third quarter).

5) Fifty banks failed in the third quarter, the most since the fourth
quarter of 1992, when 55 banks failed.

6) The quarterly decline in loan balances was the largest on record.
Total loan and lease balances fell by $210.4 billion in the third
quarter, the most since the FDIC began reporting the data in 1984.

7) Only three new banks were chartered in the third quarter, the
lowest level of new banks in one quarter since World War II.

8) Growth in operating revenues and an appreciation in securities
values helped offset higher loan loss provisions and push the banking
sector to a slight profit of $2.8 billion.

9) There were 8,099 FDIC insured banks at the end of September, down
from 8,195 at the end of June."

"At least 90% of the cause for the financial crisis can be laid at the doorstep of the Federal Reserve [including the above banking problems].  Their manipulation of credit, the money supply, and interest rates caused the various bubbles to form" according to Congressman Ron Paul writing in the November letter of the Foundation for Rational Economics and Education.  Dr. Paul continues, "The Fed and UYS Treasury have perniciously doled out trillions in subsidized loans to troubled banks and other financial institutions, and that number is growing through a revolving TARP slush fund which the Feds are using to bail out their huge corporate buddies.  The Federal Reserve and Treasury constantly brag about the need for 'transparency' and 'oversight,' but it's all just talk -- they want none of it.  They want secrecy while the privileged are rescued at the expense of the middle class."

The FED's pet banks are being saved and the rest are being thrown to the wolves.  In the end, there may only be a few standing.  The fact is, the FDIC is broke and many more dollars (Federal Reserve Notes) will need to be created out of thin air. This will cause a further devaluation of the so-called dollar against REAL assets such as gold and silver.  Ultimately, shortages will occur in these commodities.  In an 11/25 email to its customers, the American Precious Metals Exchange warned, "The United States Mint has suspended sales of gold and silver yet again. 2009 has seen an unprecedented demand..."  Bottom line -- diversify, diversify, diversify, placing emphasis on REAL assets and skills that have REAL value.

To learn more about how government officials and the Federal Reserve have ripped-off Americans and bastardized our monetary system, DUPED: A story of deception and concealment is a highly entertaining and informative novel by Peter Hallock.  The book was published in June of 2004, and predicted the sorry state of affairs that exists today.  Unfortunately, "DUPED" also predicts events that haven't happened yet... events you will never want to see happen!  Ignore "DUPED" at your own peril.

When it comes to investing in silver, we certainly hope you'll consider Liberty Dollar of Chambersburg as one of your sources.  We heartily recommend you include Liberty Dollar's "Silver Liberty" as part of your portfolio.  Besides being made of pure silver, the Silver Liberty is highly prized as a valuable barter instrument.  The Silver Liberty is also sought after by collectors around the world.