We're the Military and Airpower Guys of Jonah Goldberg of National Review Online + a stray we found wandering around looking lost. All original material JHD, BHD, JR, WT, and KA 2003-2010 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html Fri, 06 Jan 2012 18:22:32 Z Movable Type 4.12 en Copyright 2012 http://www.rssboard.org/rss-specification http://www.thedonovan.com/archives/2009/02/scattershot_obs.html http://www.thedonovan.com/archives/2009/02/scattershot_obs.html Thu, 05 Feb 2009 23:51:52 -0600 The best revenge on a bank is to pay off your debt or never, ever get a loan with a particular institution.

Indeed...my father claims that credit card issuers refer to people like him, who never carry balances, are referred to in the industry as "deadbeats", which sounds backwards, but makes sense when you consider it from their perspective...by playing by the rules, you're using their service without directly paying them anything (of course they still make like 3% of your purchases, but they expect you to waste a pile of money paying interest as well).

If you own a piece of land big enough, you can theoretically feed yourself, but you have to take into consideration the cost benefit. One, because you raise your food yourself, you are healthier, and can reduce doctor and dentist bills. Two, because you raise your food yourself, you can sell surplus and preserve that which you do not sell. Three, you make sure that you are not dependent on an outside source of energy, such as gas. If you can generate your own electricity, you are truly independent and make your work count. You live life a bit slower, but it is all good.

Well sure, that makes sense...if your desire is to be a farmer.  For those of us who don't want to be doctors and lawyers and fighter pilots and porn stars, it's never going to work.
]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84018 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84018 Sat, 07 Feb 2009 18:11:07 -0600 Four words:  USAA Federal Savings Bank
In addition to the Credit Unions.]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84017 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84017 Sat, 07 Feb 2009 16:12:15 -0600
We too, have a small, strong bank and a local institution which means BofA does not now, nor ever will get our bidness again.

We also have strategized our food and gas supply, which means, although we do not own land, we will not starve and indeed have been known to go a couple of weeks without grocery shopping...in winter.  This means overcoming certain food dislikes such as powdered milk, but it can be done...and we shaved two hundred a month off the food bill in so doing. 

If  you own a piece of land big enough, you can theoretically feed yourself, but you have to take into consideration the cost benefit.  One, because you raise your food yourself, you are healthier, and can reduce doctor and dentist bills.  Two, because you raise your food yourself, you can sell surplus and preserve that which you do not sell.  Three, you make sure that you are not dependent on an outside source of energy, such as gas.  If you can generate your own electricity, you are truly independent and make your work count.  You live life a bit slower, but it is all good.]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84016 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84016 Sat, 07 Feb 2009 16:07:03 -0600 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84015 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84015 Sat, 07 Feb 2009 15:54:20 -0600
That said, the spread of institutions includes a very strong small bank and a healthy credit union.

The other bank is BofA...  which is one reason things moved around.]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84014 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84014 Sat, 07 Feb 2009 15:12:09 -0600
Still financial institutions are rather linked if one goes it's quite possible many will which is what almost happened recently, and you'll still be out of 'gas'.
]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84011 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84011 Sat, 07 Feb 2009 09:57:40 -0600
No, as in a failure so massive you can't *get* to your gov't guaranteed cash for a few days as the system gets organized to make payouts.

Guaranteed money you can't get to, accessed via cards no longer honored, doesn't fill the gas tank.]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84010 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84010 Sat, 07 Feb 2009 07:17:09 -0600 I do have our cash and negotiable assets spread out over several instituitions so that should one fail in a truly massive way, I have access to money to keep the family cash flow intact.

Do you mean cash beyond the first $250,000, or do you not even trust the FDIC guarantee if in fact an institution did "fail in a truly massive way"?

]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84004 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-84004 Fri, 06 Feb 2009 23:01:10 -0600
However, for ready savings, CDs and the like, I still don't think you can beat your local Federal Credit Union.  I haven't heard of a single Credit Union failing during this current crisis (I was told by a friend that he had heard of one failing, but I never saw an article on it).

Another little advantage of Credit Unions: as I travel around the world (often with mil hops) I can hit any credit union ATM and not pay a service charge. ]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83957 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83957 Fri, 06 Feb 2009 09:44:37 -0600 " .. Though, if I hadn't moved it around in the investment vehicles, it would be holding its value better in the mattress...!  "

LOL - yeah. I kinda feel like I'm "doubling down" in Vegas by keeping what little I have left in my IRA invested as they were, and hoping for an eventual rebound.]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83952 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83952 Fri, 06 Feb 2009 08:05:57 -0600
As Oldloadr notes, it's regional contracts, and there is usually a credit union on post, as well.

And there is no requirement to utilize the on-post bank, and there is competition to the on-post bank outside the gates.  Admittedly, the first bank you see outside the gate at Fort Leavenworth is another branch of Armed Forces bank, but there's plenty of alternatives.

I'm also a customer of Bank of America, they being the 5th owner of my original hometown bank where I started banking in college.

Rivrdog didn't mention that BofA holds the Dod travel card contract, which is certainly a reason for the gov't to be concerned about their solvency.  And the gov't, having encouraged and abetted BofA's acquisition of Merril-Lynch, the gov't has it's fingers all over BofA, so the whole thing should prove interesting.

I do have our cash and negotiable assets spread out over several instituitions so that should one fail in a truly massive way, I have access to money to keep the family cash flow intact.

But it is a measure of my confidence in the safeguards put in place after the big crash of '29 that I've not pulled huge chunks of it out and stuffed it into a mattress.

Though, if I hadn't moved it around in the investment vehicles, it would be holding its value better in the mattress...!]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83949 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83949 Fri, 06 Feb 2009 06:45:27 -0600 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83941 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83941 Fri, 06 Feb 2009 00:27:37 -0600
I really despise them.  I've been calling them MexAmeriBank ever since I was reading Gibson's Virtual Light and at the same time read a news story about Bank of America operating a program (limited to southern California, of course) to actively recruit illegal aliens into opening lines of credit and mortgages and such.  I mean seriously, if they were called "Fly By Night Bank" I would just shrug, but that's just low.
]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83940 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83940 Fri, 06 Feb 2009 00:04:04 -0600 In a word, no. When I get aboard Amtrak, I have a reasonable expectation of getting to my ticket's destination. Maybe not on time, only Benito Mussolini could force the trains to run on time, but I'll get there. Today, Bank of America almost didn't end the day as a corporation. "The bank too big to fail" almost went into the dumpster. It was only saved by an unexplained last-minute manipulation of it's common stock price (with 750 MILLION shares traded) just after Geithner said that no matter what, he would not take over the bank. My guess is that his boys ordered the other TARP-sucking banks to buy B of A. BTW Major, if B of A goes down a lot of dogfaces, grunts, airmen and swabbies are going to be hurt, since the bank has an on-post monopoly, doesn't it? http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83937 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83937 Thu, 05 Feb 2009 19:00:40 -0600 "... forced to learn basic lessons on the run."

Unfortunately, this won't be limited to just media-related issues. We'll all suffer because they'll be OJT'ing on other basic lessons, too .... like national defense, intelligence, foreign policy, the economy, etc etc etc.

Already, the Iranians think his willingness to engage in "dialog" is being forced from a position of weakness.]]> http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83933 http://www.thedonovan.com/archives/2009/02/scattershot_obs.html#comment-83933 Thu, 05 Feb 2009 15:51:49 -0600