February 23, 2010

Money From Nothin'










Right back at the beginning of this bloglet I said that money is magicked out of thin air.

Many said I was delusional, or they humoured me. Some bloggers called me an outright liar.

Today I can reveal that my words were true.

Hover over the title, click and open the Bank of England quarterly report. To save you the trouble of reading the entire thing, (which is as dry as dust), scroll down to page 103. Here you can read the BoE themselves admit to this stunning conjuror's trick. They have been at it for quite a while. Were you taught this nifty trick at school? Are your kids being informed about the banks pretending to loan money when it is the lender themselves that cause the money to exist? Thought not.

YOU create money. No-one else. The bank does NOT lend you money from a big pile of notes in the vault. It goes onto their balance sheet the very instant that you sign the loan/mortgage form.

In law, this is fraud. A contract has to be fair. Both sides must offer equal consideration. Or, they used to. Take out a loan today and YOU create the money, then lash yourself to the "debt" until YOU have repaid back the capital and whatever interest Mr Smiley Banker added to the "loan".

Imagine: you have borrowed created a new loan worth £250,000. That money simply did not exist anywhere on planet earth until you autographed the paperwork. You make a couple of payments, then you decide to contest the "loan". You end up in court and you demand to see the banks accounts and you demand to see how they have suffered a loss because YOU stopped making the repayments. The bank cannot show a loss because they loaned you absolutely nothing of value, nothing from their vaults, and certainly nothing from their depositors funds. Your autograph whistled the money into existence. They did nothing, they risked nothing, they stand to lose.....erm.....nothing. (Well, for arguments sake, they DID organise the paperwork. One months repayment ought to more than cover that).

In plain English: your autograph morphs into a promise to pay. That promise is good enough for them to transfer the money to your account.

For the first time, we can now support these statements. Freefolk are far from stupid. The evidence is right there in front of our unseeing eyes. I need to thank BBD over at the Freeman On The Land forum for this great find.

You want to see the confession, don't you?

Your 'umble captain is happy to oblige:

"...banks extend credit by simply increasing the borrowing customer’s current account, which can be paid away to wherever the borrower wants by the bank ‘writing a cheque on itself’. That is, banks extend credit by creating money."

I have deliberately over-simplified what needs to be done. I do not advise you to do anything until you are absolutely certain of the actions you may take.

CR.

11 comments:

ukwebspiderdotcom said...

you ought to watch 'money as debt' this explains the phenomenon of fractional reserve banking in great detail and very lucidly

Uncle Marvo said...

And you think I didn't know that :-)

Captain Ranty said...

Seen it Webby.

That was one of the things that started me off on this road...

CR.

Captain Ranty said...

Marv,

I am sure you did.

The scoop here is that the BoE say it loud and proud.

I haven't seen any bank admit it before.

CR.

Anonymous said...

"Mundus vult decipi ergo decipiatur."

JB

Revolution Harry said...

Nice find Captain. For any doubters here are a few pertinent quotes taken from my small effort at understanding the banking and finance system.

When a bank makes a loan, no one else in the bank with an account is sent a letter telling them that the money in their account is temporarily unavailable, because it has been lent to someone else. No one’s account in the bank has been touched, reduced or affected in any way. At the stroke of a bank manager’s pen a debt has been created and brand new money, numbers on a computer screen, has entered the economy. This was neatly summarised by Graham Towers, the former Governor of the Central Bank of Canada when he said, "Banks create money. That is what they are for. . . . The manufacturing process to make money consists of making an entry in a book. That is all. . . .Each and every time a bank makes a loan, new bank credit is created -- new deposits -- brand new money."

Nobel Laureate Dr. Frederick Soddy wrote: “The ‘money power’ which has been able to overshadow ostensibly responsible government is not the power of the merely ultra-rich but is nothing more or less than a new technique to destroy money by adding and withdrawing figures in bank ledgers, without the slightest concern for the interests of the community or the real role money ought to perform therein…to allow it to become a source of revenue to private issuer's is to create, first, a secret and illicit arm of government and, last, a rival power strong enough to ultimately overthrow all other forms of government. An honest money system is the only alternative."

The words of economist William Lyon Mackenzie King, who later went on to become Canada’s longest serving Prime Minister, are also quite pertinent. He said: "Once a nation parts with the control of its currency and credit, it matters not who makes the nations laws. Usury, once in control, will wreck any nation. Until the control of the issue of currency and credit is restored to government and recognised as its most sacred responsibility, all talk of the sovereignty of parliament and of democracy is idle and futile."

The fact that this process is abused by governments was admitted in a quote by John Maynard Keynes in his 1920 book, ‘Economic Consequences of the Peace’. In it he said: “[by] a continuous process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method, they not only confiscate, but confiscate arbitrarily: and while the process impoverishes many, it actually enriches some. The process engages all of the hidden forces of economic law on the side of destruction, and does it in a manner that not one man in a million can diagnose.”

In February 1983, in an article in the London Illustrated News, Sir Arthur Bryant wrote: "What seems required is a public body removed and divorced from political pressure, staffed by Treasury officials, invested by Parliament with the duty of creating, free of interest, as much money for necessary government purposes as the country at any given time should, in their considered judgment, need to ensure the maximum possible employment of its productive resources".
He went on to say: "The exercise of the right inherent in every sovereign state of creating and issuing a sufficiency of money to make financially possible what is physically possible and morally desirable, would enable as much real wealth to be brought into existence as, with its immense inventive and scientific potential, it is capable of making".

drabzz said...

Yeah, this is the big one, the one which exposes the fraudulent banking system for what it really is.

Bigger surprises may come to 'home owners' when they find out that true or allodial title is 'of the Crown.' This makes 'homeowners' little more than tennants.

Don't take my word for this, research it for yourself.

I forsee many pissed-off peeps.

Uncle Marvo said...

This is exactly the scenario which caused the run on Northern Rock. The first time I knew the depth of this sculduggery was when I was a young Marvo, watching Mary Poppins.

And yet we still put up with it.

What I need to understand is "why?"

Nobody can explain that to me.

Pesky Anonymous said...

"What I need to understand is "why?""

Greed and selfishness is the answer Marvo.

watching said...

People put up with out of fear.
Fear of admitting to themselves they have allowed themselves to be hoodwinked.

Old Holborn said...

Fear of the unknown

Simple as that