Time To Leave Citibank Folks - Citi Warns of Withdrawal Gate

Resisting the New World Order


Join this network



Seen on a recent Citibank (C) statement: "Effective April 1, 2010, we reserve the right to require (7) days advance notice before permitting a withdrawal from all checking accounts. While we do not currently exercise this right and have not exercised it in the past, we are required by law to notify you of this change."

Whoa. Is this an April Fool's joke? A contingency plan to defend against the idea of what "would happen if thousands of [bank] customers pledge to withdraw their money from the bank on a certain day, unless the bonuses are capped?" A strategem cooked up by Citi's new shareholders from the hedge fund industry, an industry in which such withdrawal gates are common? An idea backed by Citi's big shareholder, Uncle Sam, or one of its regulators, Sheila Bair?


I called Citi about it and they said the warning applies only to customers in Texas and that the notification had been mistakenly included on statements nationwide. Whatever the explanation, it doesn't exactly inspire confidence in Citi. I've got nothing against Citi as a general matter -- I have friends who work there, and know some account holders who are generally satisfied customers. But it's hard to believe a bank would be sending out a notice like that on its statements.





Views: 384

Comment

You need to be a member of 12160 Social Network to add comments!

Join 12160 Social Network

Comment by The One on May 16, 2016 at 12:22am
Comment by The One on May 16, 2016 at 12:20am

Not worry! Daddy are the Citibank owner right now.

Comment by Jeff on February 27, 2010 at 6:21pm
Try this link, the one below doesn't seem to work.

HERE
Comment by Jeff on February 27, 2010 at 6:20pm
Robert all of these scenario's, I'll grant you, are possible since anything is possible but to say they're likely or probable isn't wise.

The US government's own interests are in keeping the country stable in spite of global financial conditions. An unstable country, historically, provides for dramatic political intervention in that coups take place as a result of civil unrest and governments change hands, sometimes for the worse and sometimes for the better. More often for the worse. Even the US is susceptible to conditions brought about by civil unrest and that's not something our government wants to entertain.

While I am vehemently anti-government and particularly anti-US government I still recognize the stability of the US government as compared internationally to all others.

When food shortage, financial calamity, war and other destabilizing events strike globally they don't strike here, historically. That doesn't mean they can't and it doesn't mean they won't but it does mean it's very unlikely.

In fact, we are now experiencing a depression similar to that of 1929-33 and life for you and I is still rather normal while millions are unemployed and also millions are losing their homes. Many are facing being homeless.

The proposition that Obama might be assassinated has been written about and in fact I re-posted a rather prescient article about just such a possibility. It's very, very unlikely but if it were to happen and regardless of who might be responsible we have survived assassinations many times before in this country and the presidents, ALL of them, were much more revered then Obama. In fact JFK was loved by many Americans.

I also remember the riots of the 60s and I actually remember black only water fountains and bathrooms. Those times are well behind us. Our country has matured to some degree and riots based on race, such as in LA recently (the Rodney King event), are very localized events and don't carry over to other areas because we're missing the cohesiveness that a smaller society maintains.

While I'm prepared for anything I actually expect nothing.

The video for the BDI is Here, but remember that it's over a year old.
Comment by Robert D on February 27, 2010 at 5:20pm
There is one other thing, that I think would cause terror-able problems for decades . If some crap for brains IDIOT kills Obama and he/she is white and if they have been listening to "fringe" media or belong to/linked to a racist group or other internet blogs IE labeled as racist or that kind of thing gets planted on their hard drive that could or would be twisted to be against blacks/minorities. (there are very few whites who would actively crap on blacks) that's including people who have used the "n" word in the past 60 days, we would have Rodney King style race riots [which actually was not confined to LA] all over the country and would go on for years ...... I was a kid when there were fire bombings in the south, you could not buy ammo and a curfew was in place, along with you damn near could not buy gasoline in any container [except for a car/truck tank] and Peloci would be VP [god help us !! ] the video I referred to in my last post was on c span 8:29 pt rep. Paul Kanjorski D - Pennsylvania 11th dist. Capital markets Subcommittee Chair on Jan. 27 2009 he said { referring to TARP} they [the government] had 24 hrs before 5.5 trillion would "be withdrawn " ( or disappear ? ) then 24 hours later the WORLD banking AND POLITICAL systems would collapse; that coming from him scares the poop out of me, even if you are "not in the market" you will get hammered; food, water, fuel, electricity, police,fire, pharmacies and even toilet paper [which I am particularly fond of ] we can't get it .....the only thing that disturbs me was a chart of the money supply which could lead us into some type of deflation of currency or some form of hyper inflation .. The chart was fairly flat: then in the past 15-20 yrs it bumped up then sort of leveled a bit then today's part of the curve went straight up, and off the chart [if your hand is the length of the old money supply more than your arm is the new supply ] dang!! That's a big jump and the spending has just started ! Its really not our government that "scares me " but the global banking system. Remember...."he who has the gold makes the rules " I have known of a crash for way over a decade and have railed people NOT to get a variable home loan. The crash was supposed to go like this .... interest rates get adjusted up people cannot keep the loans; the bank finally has no money so they start calling home notes " literally... phone rings, this is the bank we need that 329,374.24 cents you owe in 30 days"
[one Georgia bank did this on all of their notes in Florida] so you and everyone else go out to get a loan but interest has jumped big time OR they are NOT not making loans, or because of no job or the economy your credit is crap and you cannot get approved.
You cannot afford it .... and it spirals down,,, money supply dries up, interest goes sky high, hopefully ALL of this will be contained ,,, as the FDIC opens a new Midwest branch !!! Derivatives do not just go to zero [like GM stock] it can incur negative numbers so you have to put $$ in it just to reach ZERO, there is "supposedly 600 trillion + of derivatives and the world economy is 50 trillion "one of the big wall street houses is nothing but derivatives"; trading in really nontraditional loans
[sorry forgot the name] ALSO "I think the cost of gasoline/energy" broke our backs" FYI trivia: when the major brokerage houses collapsed: oil/energy/copper/aluminum and other bidden up products suddenly bottomed out (it was not China as was commentary told/reported) but wall street the greedy bastards.

This is new territory and the heavy linking of economies through the banking system(s). Its like a dog poops in your yard but I will still step in it in my yard ALONG WITH YOU, [in another country or state]

The nuke [scenarios are not new; 25+ yrs old ] a friend of mine has recently ask the presidents of 2 power companies about the miles of open lines and their substations and I quote " We try not to think about it" because they know that they cannot protect it.
But ... at a recent church outing for MEN lots of heavy fire power showed up
[very few squirrel guns] and a fellow and his sons wanted to test drive my AR 15 / AK 47 / Mossberg 590 toys; this guy belonged to the security team at a Nuke plant AND SECURITY THERE ARE READY AND TRAIN FOR serious crap!!,,, and to return said crap upon delivery! {YEA !! BRING IT ON !!}

Also Jeff would you post a link to the Baltic dry index video and the other index one too pls.
also no mater how much you "rely on banks" if you and me are not on a total barter system AND the folks you deal with are not total barter yours and mine economies will crap-out fast, the filling station, grocery store, power company, water, all of these things will get screwed up fast, but the cool part is the millionaire might be in the same boat, but you or/me will still be in third class.

I STILL AND ALWAYS WILL LOVE MY COUNTRY !! , And in your personal walks try to do what is right, and DO NOT put your $$$$s ahead of your MORALITY/YOU ! do what is right !
I stopped by a stranger's house during a move recently she ask if I had any tools [to unhook her washer] I went to a friends house got some pliers, removed the fittings; she then told me she had lost everything [her money was in GM] and was moving I inquired about the 2 older refrigerators she had [wanting/needing one myself ] and thinking they were for sale; They were NOT they had both been given to people who needed them MORE !!, for free .... here she was in one of her darkest hours and she literally "said they need it more " and took no money. This gave me a "high" that I have not experienced in months!
Comment by Jeff on February 25, 2010 at 11:00pm
Well, very unlike most people you've managed to bring a rational argument to the table, which I appreciate. Greatly. I posted the Baltic Dry Index video about a year ago or more on several web sites. It's had 201 views here and over 7,000 on Green Dragon Inn. It's a great index to follow. Perhaps needless to say, but it's up. Not a lot, but up nevertheless.

The TARP wasn't to prevent a currency collapse and neither was it to prevent a global collapse of economies. It prevented a global collapse of the banking industry which would have effected each of us depending upon how much we relied on banks. Nothing has changed. By changing bookkeeping methods the banks have been able to hide their debt while slowly divesting that debt, but TARP didn't save us, it saved the banks and provided them with gambling money. They're still gaming today.

Derivatives are still being traded and the regulations are a bit more lax then before but trading behavior is also a bit more subdued then before. I don't expect derivatives will be a problem for 10 or 20 years or more, and maybe never.

Let's examine a terrorist strike. A real one. Have we ever had a real one? No. 9/11 was not a terrorist strike. It was a state sponsored event. There aren't any terrorists capable of striking the US. That's why our borders are open and our infrastructure unprotected. Homeland Security and national defense experts know something we don't. There will never be terrorist attacks within the US unless they're planned by the US or their friends and in that case they'd have plenty of warning, just like they dd for 9/11. The US government isn't prepared just yet to unleash any devastating attacks on itself. Not yet. Not for several years. Personally I doubt whether we'll ever see a real terrorist attack here. Our enemies, the ones we're creating now in Iraq, Afghanistan, Pakistan and Iran have a difficult time enough just planting IEDs in their own towns. They can't touch us here.

Hyper-inflation as it's defined won't happen here. Interest rates will slowly rise to counter it. The Fed just raised the rate .25 from .50 to .75 a few days ago. They will continue to slowly climb specifically to counter inflation. BUT, inflation is necessary to reduce our debt so we may see double digit inflation again. That won't surprise me. We survived before and we'll survive again although with the living standard heading on a downward trend I suspect it'll be difficult for many, but still, we'll survive.

Americans have been without power before, for days, in large numbers. As recently as this year National Guard troops were called out, families evacuated to temporary shelters and almost everyone fared well. Several older people did die but the deaths were related to lack of heat and medical conditions, both. Those needing electricity for medically related needs were fine.

Now, don't misunderstand, I do have concerns but they are minimal. If we were hit by a terrorist attack of some type and it devastated and disrupted water, electrical, fuel or food supplies for longer then a few days we would be stressed, but we wouldn't see widespread looting because Americans aren't criminals and although there are criminals among us they would be quickly subdued by the rest of us and the National Guard troops that were deployed, and they would be deployed, quickly.

The reason I have full confidence in the government to support the country in the event of a disaster is because they need us. They need us for taxes, commerce and troop strength and that's why they'd protect us. We provide them with the means to exercise their global might, and that's exactly what they do, exercise their global might, every day. Without us, they couldn't.
Comment by Robert D on February 25, 2010 at 9:46pm
Hopefully nothing ; but if the currency collapses ; Like the government says almost happened and we stopped it with a 24 hour window[ with TARP] , plus we would have cascaded in 72 hours a global currency collapse . [ according to a congressional TV clip ] we would we screwed fast , without a means of paying ,commerce would simply stop , I forget where I saw it but I believe it was called the Baltic dry index ; it's not traded [ so it cannot be manipulated ] but is an accurate indicator of shipping it was down 90% [?] a few months back . most must have credit to ship and this locked down things for a while hopefully this is getting better , the biggest thing is probably the toxic derivatives a regular person would be like a share of stock , Frankenstein would be a derivative [ literally made up of all kinds of stuff stuck together ] there was a lady on a PBS show recently ; in the early 90s and she argued with congress to stop/ not allow derivatives , and another investment guy the wall street underground nick garino ? said they were extremity dangerous , But , being prepared for economic harshness would probably be very prudent ; everyone who bought baby chicks last year told the feed store lady they were afraid the currency/ economy might dive severely and these are educated folks too !! If unemployment gets high I think we [ USA ] will weather it ; if we get hyper-inflation things could get out of control fast . I was young when Carter had double digit inflation and my dad could not get a loan , He finally pressed the bank and found it was not him , they simply did not want anyone to know the bank had no money! If I had any wealth/ money it would not go into the stock market , and the institutional investors are buying for pure safety -- and do not care about a return , they simply want it to be there when they come back and are buying government dept if I did have money greater than what the bank could cover I would put it into a mutual fund that buys and holds 90 day T bills but 1000 dollars of food is better than 100,000 in collapsed currency . a major terrorist strike like a nuke in Washington's water way .. could prove ugly OR worse in the New Orleans delta is a pumping station [ called fort something] that brings in 70 - 80% of our oil from supertankers to the pipelines [ the same ones briefly shut down in Katrina ] Riots would ensue after the 3 day food pipe line we eat on stops fuel could easily go to over 30 bucks a gallon if anyone could get it , our electrical network is hanging out in the breeze any clod could screw with it , if said clods were organized it could happen all over the country in minutes , every time the power goes out we have rioting and looting , and things get under control quickly because it is fairly localized ; but wide spread........ I shutter to think This is all new ground for us and many parts of the world ; hope for the best , knock on some wood , and do the best you can not to get caught in the middle
Comment by Jeff on February 25, 2010 at 12:32am
Germany has mentioned kicking Greece out of the EU and the situation in Greece is certainly tenuous and Dubai is experiencing financial difficulties that are being handled appropriately by its UAE friends. The nationwide strike today is indicative of the concerns of the people that live and work in Greece, facing increased unemployment and a currency devaluation but I think it would be wise, when discussing collapse, to define collapse in common terms we all might understand because using the word otherwise causes fear and panic I personally do not believe we will experience any sort of collapse, and neither will Greece, that requires food, fuel nor especially ammo. So what's your picture of collapse in the US?
Comment by Robert D on February 25, 2010 at 12:18am
look up " government collapse " on the net ..... I am not saying its really scary [ no where even mentioned Greece ] but , I have had to drink ALLOT the 2 day after .... FYI Germany wants to kick Greece OUT of the EU .... and Dubai can't meet their dept WTF where is this "MONEY BLACK HOLE " going ?!?!?!? FOOD AMMO FUEL currency of the future ..........
THE new currency
Comment by truth on February 23, 2010 at 3:50am
Paul Joseph Watson
Prison Planet.com
Monday, February 22, 2010

Update: Citigroup Says Feds Ordered 7 Day Restriction On Bank Withdrawals

A new advisory being sent by America’s third largest bank to its account holders has stoked fears that major financial institutions could be preparing for old fashioned bank runs if the economy takes a turn for the worse.


Originally reported by John Carney over at the Business Insider website, Citigroup is sending the following information to customers along with their bank statements.

“Effective April 1, 2010, we reserve the right to require (7) days advance notice before permitting a withdrawal from all checking accounts. While we do not currently exercise this right and have not exercised it in the past, we are required by law to notify you of this change.”

An almost identical advisory to the one being sent out can be read on page 22 of Citbank’s Client Manual effective January 1, 2010, which can be read here from Citibank’s own website.

“We reserve the right to require seven (7) days advance notice before permitting a withdrawal from all checking, savings and money market accounts. We currently do not exercise this right and have not exercised it in the past,” states the manual.

According to the Future of Capitalism blog, Citigroup originally claimed that the warning was only sent nationwide as a result of a mistake, but that the measures do apply to account holders in Texas.


However, in a statement, Citigroup confirmed that they had reserved the right to impose the new 7 day rule on all account holders nationwide, but claimed they had no plans to enforce it. The bank stated that they had been forced to enact the new policy as a result of federal regulations.

  • A d v e r t i s e m e n t

“When Citibank moved to unlimited FDIC coverage in 2009, we had to reclassify many checking accounts to allow for immediate withdrawals in order to ensure all customers qualified for the additional coverage. When we moved back to standard FDIC coverage with most major banks in 2010, Citibank decided to reclassify those accounts back to make them eligible again for promotional incentives. To do so, Federal Reserve Reg D requires these accounts, called NOW accounts, to reserve the right to require a 7-day notice of withdrawal. We recently communicated this technical requirement to our customers. However, we have never exercised this right and have no plans to do so in the future,” reads a statement released by the bank.

Over the last 18 months, numerous rumors of bank runs, “bank holidays,”  and limitations on ... have been floating around. Citigroup’s new policy to restrict withdrawals won’t do anything to calm such fears.


As we reported back in 2008, the Federal Deposit Insurance Corp., which guarantees individual accounts up to $100,000, only has about $50 billion to “insure” about $1 trillion in assets across the nation’s financial institutions.

This revelation prompted fears that an accelerating amount of bank closures could absorb FDIC funds and leave holders of money market and traditional savings accounts exposed.

———————————————————

Citigroup Warns Customers It May Refuse To Allow Withdrawals

John Carney

Business Insider

Sunday, February 21, 2010

The image of banks locking their doors to keep customers from making withdrawals during a bank run is what immediately came to mind when we heard that Citigroup was telling customers it has the right to prevent any withdrawals from checking accounts for seven days.


More here.

Below are a number of other news sources reporting on this story and the potential for bank runs.

Citi Warns of Withdrawal Gate

Foreign Embassies Urged to Stockpile Local Currencies

Government Trying To Prevent Bank Run After IndyMac Collapse

What’s a Bank Run?

Photos

  • Add Photos
  • View All

Please remember this website is supported by your donations...

© 2017   Created by truth.   Powered by

Badges  |  Report an Issue  |  Terms of Service

content and site copyright 12160.info 2007-2015 - all rights reserved. unless otherwise noted