Josh Sigurdson talks with author and economic analyst John Sneisen about the countless scandals plaguing Wells Fargo topped by the slumping housing market which is forcing the insolvent bank to lay off 638 mortgage employees.
From creating millions of fake accounts, giving people car insurance when they didn’t ask for it and repossessing their cars, foreclosing on 400 homes due to a computer glitch, the list is extensive.
Now Wells is laying off countless people and there’s no doubt why. The bubbled housing markets in several major cities which Wells Fargo helped prop up are starting to retreat, or pop if you will.
As the housing markets take a turn for the worse, the cash to deposit ratios and countless major banks are below 1% covered! Most at below 10% however still proving the vast insolvency of the banking system which is completely in the red year to date when it comes to share prices.
If your money’s in the bank, it’s not yours, it’s the bank’s. That should teach you a major lesson right there, but people don’t learn.
Wells Fargo was heavily involved in the 2007 housing bubble burst with their mortgage backed securities, collateralized debt obligations, credit default swaps and the usual crazy paper derivatives. Well they are doing it again and it’s of no surprise to those of us who know how banks operate. It doesn’t help that they’re doing fractional reserve lending and printing currency out of thin air with help from their friends at the Federal Reserve.
Deutsche Bank which is also laying off 10,000 employees (1 in 10) and has officially laid off 1,000 employees is a sign that Wells Fargo isn’t alone. Wells Fargo and Deutsche Bank also go well together considering the schemes they’ve both been involved in over the years with extensive market manipulation.
The answer is clear. Individuals must be self sustainable, educated and responsible. Individuals must decentralize, rule themselves, protect their purchasing power and not be depending on massive centralized entities. Banks, central banks, governments benefit from the dependence of collectives.