Ever hear of a bank bail-in? You will soon.

Of course we have all heard of bank bail-outs. That was before Covid-19. The bank bail-outs happened back in 2008-09 when the US decided not to let any bank of note fail, even though the failures were due to the deliberate cunning and culture of greed emanating from the sewers of the private banks with their junk bonds and increasing mountains of risk induced debt. The ruinous banks must be saved and that’s when the printing presses started churning. The elites swore on a stack of bibles and their mother’s last breath that if they didn’t, the earth would split open and we would all immediately descend straight into the depths of hell. And not just the US and Canada, but the entire world. Well, nobody wanted that, right? And nobody, at least the banking and corporate elites, the only ones who seemed to be voting on the matter, seemed interested in the karma of suffering from their own greedy, stupid actions. No, the people must pay for it. And every US and Canadian citizen who is not part of the top elite class will pay the price through inflation that will eat up any personal savings and make the price of groceries highly unstable. 

 

While the Trudeau government has been more hands-on with giving money straight to the people who need it instead of going through the banks to skim off the top, we are still at the mercy of the Canadian government following the US in one extremely worrisome development...the Canadian government has planned for what they might consider “necessary” if things get too tough. They have planned not for bail-outs, but for bail-ins. A bail-in is where the bank can confiscate part of the money in your bank account without asking you. Yep. They will just take it. Steal it. It’s happened before. In Cypress. Can’t happen here? A similar plan was included in 2013 under the Harper government’s budget for the year. 

 

In July 2014 CBC reported that Moody’s had downgraded Canada’s credit rating from stable to negative. Moody’s cited concerns are over Canada’s plans to implement a “bail-in” system in the event of a bank failure. And what is Canada’s bond rating now? In 2020? It’s gone from bad to worse. Its bond rating is now listed at Ba3/BB. These ratings are used by Moody’s, S&P, and Fitch to define countries who's debt instruments are generally considered speculative in nature (generally a bond) or the issuer of the credit (i.e. company or business that are below investment grade" (i.e. “junk” bonds). That’s right. Now when Canada sells, or tries to sell it’s bonds with no gold in the treasury and with mountains of private and federal debt, so that they are designated “junk bonds. Next time.