Posted on 08/17/2020 11:04:12 AM PDT by MeneMeneTekelUpharsin
Cracks that were already beginning to show are now becoming even more apparent as strained global relations and COVID-19 restrictions appear to have citizens wary of the nation’s economy. Now, authorities are cracking down in an attempt to prevent a full collapse of confidence in the country’s financial system. The most recent trouble came Aug. 3, as citizens made a run on the Bank of Huludao in Liaoning Province, China, according to The Epoch Times.
Customers packed the lobby one day after news broke that former bank president Wang Xueling was being investigated for allegedly violating Chinese Communist Party law. This only compounded earlier fears likely sparked by sharply declining bank profits.
Since late 2019, bank runs have steadily increased inside the communist powerhouse’s borders. In late October and early November, respectively, Yichuan Rural Commercial Bank and Yingkou Coastal Bank both experienced bank runs after fears of bad management boiled over, according to Reuters. Authorities blamed the mass withdrawals on rumors spread online.
Beginning this year, however, with coronavirus aftershocks rocking economies across the world, China started experiencing even more bank runs. First, the Gansu Bank was flooded with worried customers in April. A few months later, the Bank of Baoding saw depositors rush the building, demanding their money back. Soon after, Yangquan City Commercial Bank experienced its own bank run.
In July, Hengshui Bank was hit with throngs of nervous customers demanding withdrawals. Arrests followed many of the bank runs, with communist authorities again blaming rumors and lies for the wave of panic. Of course, the crumbling state of China’s financial system has been years in the making, and the country’s leadership has nobody to blame but themselves.
I’m not a finance wizard, but with all American companies have invested in China, if China falters, our market will take a nose dive.
The US is facing a cash and coin shortage at the moment. What will help people if the cash runs out and your debit or credit card no longer works?
Didn’t the ChiComs announce the other day that they were walking away from the dollar? Sounds like a panic of their own making.
The only way debit and CC cards would cease to function would be if a total loss of telecommunications occurred. Pretty much only a full scale nuclear war could do that, and we would be worried about other things than money if it did.
The EBT cards will work, won’t they?
They won’t? Uh, oh.
[[but with all American companies have invested in China, if China falters,]]
investors might wanna think twice about being invested in CHina because I believe China is about to be faced with massive lawsuits for the coronavirus and hiding it
“That’s why they’re called Valuable Lessons. They don’t come cheap.”
We warned them. I can’t tell you the number of times I was told to go to the DU.
No such announcement was made.
The limited announcement to which you refer said that trade settlements between Russia and China could be with yuan and Rubles. It did not apply to all trade settlements with china made with the US$
You funny, you make me laugh... hahahaha
The only way debit and CC cards would cease to function would be if a total loss of telecommunications occurred. Pretty much only a full scale nuclear war could do that, and we would be worried about other things than money if it did.
Trump told them to get out long ago.
So if they go down with China maybe another US competitor will take their place.
lolol. I see what you did there.
Strangely believe ti but there is a current conflict in process between Chairman Xi and the other leader Li. The communist Xi is putting down the efforts of the capitalist business interests in China.
The Hong Kong/Macao capitalist disease has already spread widely and may have actually metastasized. The business of business is being destroyed
Waiting expectantly for the death of fiat currencies....
Buying gold, silver, and bitcoin is like buying a short on fake government currency.
“The only way debit and CC cards would cease to function would be if a total loss of telecommunications occurred.”
Not exactly true. If government declares a bank holiday like in Greece or some such, and either declares an emergency shut down or severe restrictions on withdrawals you may find your card doesn’t work.
And more than a few people have had lines of available credit vanish when a bank panic starts. Banks retain full legal ability to close accounts or make that 10k credit card have available credit of 500 bucks or a 1000.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.