Some facts about our banking system:
“The regional Federal Reserve banks are not government agencies. …but are independent, privately owned and locally controlled corporations.”
- Lewis vs. United States, 680 F. 2d 1239 9th Circuit 1982
“The Federal Reserve bank buys government bonds without one penny.”
- Congressman Wright Patman, Congressional Record, Sept 30, 1941
“The modern Banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight of hand that was ever invented. Banks can in fact inflate, mint and unmint the modern ledger-entry currency.”
- Major L .L. B. Angus
“Commercial banks create checkbook money whenever they grant a loan, simply by adding new deposit dollars in accounts on their books in exchange for a borrower’s IOU.”
- Federal reserve Bank of New York, I Bet You Thought, p.19
“When plunder becomes a way of life for a group of men living together in society, they create for themselves in the course of time a legal system that authorizes it and a moral code that glorifies it.”
- Frederic Bastiat, The Law
And guess what? We now have it.
Right now, even with being able to create their product out of thin air, the banks are still losing billions. To cover they’re incompetent asses, the Fed is lending them money – at an interest rate of 2%.
Here’s how this con game works.
The banks trade the Fed useless debt, that which shouldn’t have been made in the first place and was created out of thin air, for U.S. Government bonds. Bonds you have to pay for.
Now, with these bonds on their books the banks can now lend more money to you. This is usually done via credit cards.
Bottom line. The Fed borrows your money from the government for nothing. The Fed then turns around and lends it to the banks for 2%. These banks then turn around and lend your money back to you at a rate of 10% – 30%.
I’ll ask again. Just how smart are we?