View Single Post
Old 02-07-2008, 06:23 AM
stompk's Avatar
stompk stompk is offline
I work for God
Join Date: Jan 2008
Location: In the valley
Posts: 613
Default Re: The economic hijacking of America

Ever hear of a Corporate Sweep account?


In United States Banking, eurodollars are a popular option for what are known as "sweeps". By law, banks aren't allowed to pay interest on corporate checking accounts. To accommodate larger businesses, banks may automatically transfer, or sweep, funds from a corporation's checking account into an overnight investment option to effectively earn interest on those funds. Banks usually allow these funds to be swept either into money market mutual funds, or alternately they may be used for bank funding by transferring to an offshore branch of a bank (thus a eurodollar).
Source: Eurodollar - Wikipedia, the free encyclopedia

But guess what. You have to read the fine print.

Please note that your money in the Sweep Investment Account is invested in money market funds that are not insured nor guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Although the funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the funds. A current prospectus must accompany investment information. Investors should read the prospectus carefully before investing.
Source: Guaranty Bank - Home...

Some of these corporations hold billion in their corporate checking accounts. Naturally, although unethical, many are
going to allow the banks to do this.

What happens when these investment begin to tank, like they are, and the holders of the offshore eurodollar accounts begin to keep more and more, effectively sucking up all the dollars in the US.

Since they control the Federal Reserve, they can simply print more money, further deflating the value of the dollar,

trapping these huge corporate investments in offshore accounts, that Americans have absolutely no control over.
Reply With Quote