If You Have Any Doubt that Bank of America is Going Down, This Development Should Settle It

by | Oct 19, 2011 | Headline News | 134 comments

Do you LOVE America?


    Editor’s Note: We’ve received numerous emails from readers regarding this most recent development with Bank of America, and we’re seeing the report from Washington’s Blog spreading like wildfire across alternative media like The Daily Crux and The Intel Hub. Why? Because this is big news. Really big. One of the oldest banking institutions in America is now on the brink of total insolvency. The only way to for them to be saved at this point is to take billions of dollars in losses and force those losses to be covered by the U.S. taxpayer or innocent account holders. If you’re an account holder, it might be time to reconsider your allegiance, because in the near future you may be dealing with the FDIC instead of a BofA customer service representative.

    The Federal Reserve and Bank of America Initiate a Coup to Dump Billions of Dollars of Losses on the American Taxpayer

    Bloomberg reports that Bank of America is dumping derivatives onto a subsidiary which is insured by the government – i.e. taxpayers.

    Yves Smith notes:

    If you have any doubt that Bank of America is going down, this development should settle it …. Both [professor of economics and law, and former head S&L prosecutor] Bill Black (who I interviewed just now) and I see this as a desperate move by Bank of America’s management, a de facto admission that they know the bank is in serious trouble.

    The short form via Bloomberg:

    Bank of America Corp. (BAC), hit by a credit downgrade last month, hasmoved derivatives from its Merrill Lynch unit to a subsidiary flush with insured deposits, according to people with direct knowledge of the situation…

    Bank of America’s holding company — the parent of both the retail bank and the Merrill Lynch securities unit — held almost $75 trillion of derivatives at the end of June, according to data compiled by the OCC. About $53 trillion, or 71 percent, were within Bank of America NA, according to the data, which represent the notional values of the trades.

    That compares with JPMorgan’s deposit-taking entity, JPMorgan Chase Bank NA, which contained 99 percent of the New York-based firm’s $79 trillion of notional derivatives, the OCC data show.

    Now you would expect this move to be driven by adverse selection, that it, that BofA would move its WORST derivatives, that is, the ones that were riskiest or otherwise had high collateral posting requirements, to the sub. Bill Black confirmed that even though the details were sketchy, this is precisely what took place.

    And remember, as we have indicated, there are some “derivatives” that should be eliminated, period. We’ve written repeatedly about credit default swaps, which have virtually no legitimate economic uses (no one was complaining about the illiquidity of corporate bonds prior to the introduction of CDS; this was not a perceived need among investors). They are an inherently defective product, since there is no way to margin adequately for “jump to default” risk and have the product be viable economically. CDS are systematically underpriced insurance, with insurers guaranteed to go bust periodically, as AIG and the monolines demonstrated. [Background.]

    The reason that commentators like Chris Whalen were relatively sanguine about Bank of America likely becoming insolvent as a result of eventual mortgage and other litigation losses is that it would be a holding company bankruptcy. The operating units, most importantly, the banks, would not be affected and could be spun out to a new entity or sold. Shareholders would be wiped out and holding company creditors (most important, bondholders) would take a hit by having their debt haircut and partly converted to equity.

    This changes the picture completely. This move reflects either criminal incompetence or abject corruption by the Fed. Even though I’ve expressed my doubts as to whether Dodd Frank resolutions will work, dumping derivatives into depositaries pretty much guarantees a Dodd Frank resolution will fail. Remember the effect of the 2005 bankruptcy law revisions: derivatives counterparties are first in line, they get to grab assets first and leave everyone else to scramble for crumbs. [Background.] So this move amounts to a direct transfer from derivatives counterparties of Merrill to the taxpayer, via the FDIC, which would have to make depositors whole after derivatives counterparties grabbed collateral. It’s well nigh impossible to have an orderly wind down in this scenario. You have a derivatives counterparty land grab and an abrupt insolvency. Lehman failed over a weekend after JP Morgan grabbed collateral.

    But it’s even worse than that. During the savings & loan crisis, the FDIC did not have enough in deposit insurance receipts to pay for the Resolution Trust Corporation wind-down vehicle. It had to get more funding from Congress. This move paves the way for another TARP-style shakedown of taxpayers, this time to save depositors. No Congressman would dare vote against that. This move is Machiavellian, and just plain evil.

    The FDIC is understandably ripshit. Again from Bloomberg:

    The Federal Reserve and Federal Deposit Insurance Corp. disagree over the transfers, which are being requested by counterparties, said the people, who asked to remain anonymous because they weren’t authorized to speak publicly. The Fed has signaled that it favors moving the derivatives to give relief to the bank holding company, while the FDIC, which would have to pay off depositors in the event of a bank failure, is objecting, said the people. The bank doesn’t believe regulatory approval is needed, said people with knowledge of its position.

    Well OF COURSE BofA is gonna try to take the position this is kosher, but the FDIC can and must reject this brazen move. But this is a bit of a fait accompli,and I have NO doubt BofA and the craven, corrupt Fed will argue that moving the derivatives back will upset the markets. Well too bad, maybe it’s time banks learn they can no longer run roughshod over regulators. And if BofA is at that much risk that it can’t survive undoing this brazen move, that would seem to be prima facie evidence that a Dodd Frank resolution is in order.

    Bill Black said that the Bloomberg editors toned down his remarks considerably. He said, “Any competent regulator would respond: “No, Hell NO!” It’s time that the public also say no, and loudly, to this new scheme to loot taxpayers and save a criminally destructive bank.

    Professor Black provided a “bottom line” summary in a separate email:

    1.The bank holding company (BAC) is moving troubled assets held by an entity not insured by the public (Merrill Lynch)  to the Bank of America, which is insured by the public
    2. The banking rules are designed to prevent that because they are designed to protect the FDIC insurance fund (which the Treasury guarantees)
    3. Any marginally competent regulator would say “No, Hell NO!”
    4. The Fed, reportedly, is saying “Sure, no worries” by allowing the sale of an affiliate’s troubled assets to B of A
    5. This is a really good “natural experiment” that allows us to test whether the Fed is protects the public or the uninsured and systemically dangerous institutions (the bank holding companies (BHCs))
    6. We are all shocked, shocked [sarcasm] that Bernanke responded to the experiment by choosing to protect the BHC at the expense of the public.

    Karl Denninger writes:

    So let’s see what we have here.

    Bank customer initiates a swap position with Bank.  In doing so they intentionallyaccept the credit risk of the institution they trade with.

    Later they get antsy about perhaps not getting paid.  Bank then shifts that risk to a place where people who deposited their money and had no part of this transaction wind up backstopping it.

    This effectively makes the depositor the “guarantor” of the swap ex-post-facto.

    That the regulators are allowing this is an outrage.

    If you’re a Bank of America customer and continue to be one you deserve whatever you get down the line, whether it comes in the form of higher fees and costs assessed upon you or something worse.

    Stand Up to the Coup

    Bank of America has repeatedly become insolvent due to fraud and risky bets, and repeatedly been bailed out by the government and American people. The government and banks are engineering an age of permanent bailouts for this insolvent, criminal bank (and the other too big to fails).  Remember, this is the same bank that is refusing to let people close their accounts.

    This is yet another joint effort by Washington and Wall Street to screw the American people, and totrample on the rule of law.

    The American people will be stuck in nightmare of a never-ending depression (yes, we are currently in a depression) and fascism (or socialism, if you prefer that term) unless we stand up to the overly-powerful Fed and the too big to fail banks.


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      1. The first domino falls, knocking over…………..

        • Daisy, the domino’s started falling long ago.

        • If you wanted to take over this country you just look at what worked in the past in other places and copy and repeat. But the Constitution makes things a bit messier ( God bless our founding fathers) and so it takes longer.
          But when people get scared they grasp onto anything or anyone who offers a solution.
          Just look how many people voted for “change” and never asked what the heck that meant!!

          • It meant anyone but Bush or a clone, like Mclame.

            • Thanks, Arizona, for giving the nation McClame and Incompitano.

              In Ohio we produce fine statesmen like Metzenbomb, Groinovich, and Dewino.

            • BD: Thanks Ohio for giving US Bonehead John Boehner. 🙂

              This two faced bastard wants one health care plan for US and another for himself and Congress.

              This two faced bastard wants one pension plan for himself and Congress and a different one for US.

              But what do you expect from a man who openly cheats on his wife in DC?

              Your Rep isnt any better than the SHIT that passes as leadership and representation in Arizona.

        • Daisy: I am curious. Do you have BA, Wells Fargo, chase, or other American banks in your town, or are they primarily Canadian Banks, like BOM, BOC, TD, Scotia Bank, RBS, etc?

          • Only Wells Fargo, which is not a bank in Canada, but a subprime lender, charging interest rates of up to 35% on home and car loans.

            Many of the Canadian banks have US subsidiaries. TD has Ameritrade, Scotia has Scotia Capital, based in Miami, etc.

          • I forgot about John Boner (weeper of the house)!

            Boner and Jean Sh*t bhould both be forcibly put out to pasture.

            • He is forgettable! 🙂

      2. I wouldn’t be surprized if they are shorting themself on the market. Would love to hear what Sheila Bair thinks on the big “D” word over an Irish double straight up to loosen the filter.

      3. Bank of america will not fail. I believe that they will get bailed out by the government again. They have their hands in too much to go down. No other large business that was diversified in so many things has gone down. They have their hands in private loans, business loans, government loans, home building, closing services, etc etc.

        I bank with bank of america because I like them. I like what they are for and I think they treat their customers well.

        • You’re #1!

          • Finx’s comments always reek of #2

            • It certainly sticks.

        • “they will get bailed out by the government again”, translation they will get bailed out by the taxpayers. Why should I bail them out? Throw the management in debtors prison and let them all rot.

        • Finx, in January 2008 after learning that Bank of America in California was issuing mortgages to illegal undocumented aliens who had no verifiable employment, income, liquidity, even identity; I canceled my account with them immediately! It took me 30 minutes on the phone with a customer service rep to cancel my account. I almost had to threaten legal action for them to agree to close the account. I’m sure Bank of America is not the only bank guilty of this wantonly fraudulent mortgage practice.

          • Pro Tip: In the future, if a bank gives you a metric ton of static about closing your account, start making large withdrawals every other day ($2000-$4000 range) and depositing that in your new bank (I’d suggest a credit union), until you balances in the old bank hits $0.00, or as low as you can go.

            Then you can close it a few weeks later, and they won’t say jack about it (because by then your low balance says that you’re too “poor” to be worth keeping around).

        • Finx,

          I think you are right that BoA will not be allowed to fail, but that doesn’t mean they should not fail. I told my wife a while ago that the banks would transfer the toxic assets and derivatives so that the tax payers would bail them out for those and keep any real assets close to them so they will remain strong after the crunch. This is so brazen it almost seems like a slap in the face.

          If you choose to continue doing business with BoA, go for it. That decision is on you. You are insured by the FDIC for $100,000 and you should be ok, Right? BoA on the other hand is insured for billions, possibly trillions, and the public will then be the proud owners of junk.

          Until Glass-Steigel is put back in place and the banks lose their asses for some of the bad investments they made (much like my union/protective league did), nothing will change and resentment will grow.

          Let’s see how this plays out and how much anger goes around the nation and the world over this.


          • $250K

          • Have any of you received your dividend check from the 2008 bailout yet???
            Just wondering…

        • I feel sorry for you, so I gave you your only thumbs up.

        • AGAIN!!! That is the key word Finx. For how long? At what cost to the taxpayers? I’m glad you like them because they need all the friends they can get; besides the government of course. This is another case of kicking the dirty old can down the road. Nothing is too big to fail, it will just make a lot more noise when it does fall. I hope you send them a thank you note when they tell you that your money is gone….

        • You’ll be the first one wailing to the FDIC about losing your money when BofA goes down.

          And I quote:

          “If you’re a Bank of America customer and continue to be one you deserve whatever you get down the line, whether it comes in the form of higher fees and costs assessed upon you or something worse.”

        • Did your folks have any children that lived?

          • The above was direected at finxster

        • …THAT attitude will be short-lived. Good luck, though.

        • Isn’t BoA and the FED and the US gov all joined at the hip?

          What a monster thats been created.

        • Do you also keep jars full of crisp $10 dollar bills?

          • No jars of $10 dollar bills, but jars and jars of old 90% silver dimes dated 1964 and before 64. That will be my Bank of America !!!!

        • If they REALLY treated their customers well we would not be having this discussion because they would have followed proper banking proceedures and kept out the the risky and borderline illegal dealings that the taxpayer is now being asked to pay for.
          “What they stand for” is not fixing their own mess and trying to get their paycheck AND get the taxpayer to pay for their mistakes.

        • That’s right! Shill, baby, Shill!

          BoA and their entire Board of Directors can rot in hell. I say let ’em fall over,. This time, instead of bailing them out, auction off the consumer/business banking accounts (by region, state, whatever) to the highest bidders. Give the customers (stupid enough to have not left BoA by now) a choice: take their balance in cash up to FDIC limits, or accept their account being bought by whatever bank will have it. Leave all the loans to sit there. If anyone wants to buy the loans, let them. Otherwise the loans should be considered paid in full and closed.

          Anyone dumb enough to do business with BoA, or buy their stock, can suck it down. Maybe that’ll teach ’em to invest with their eyes open.

          ” I like what they are for and I think they treat their customers well.”

          If you like getting your rectum stretched minus lube, that’s your perversion.

        • Bank of America are Obama supporters. They gave a lot of money to his campaign. They were giving charge cards to illegals for many years. I’m sure they lost a lot of money on that one. They have dumped the garbage from other banks on them. I don’t believe they will let them fail. They will nationalize them and they will end up being one of the few that will survive. Do I like BAC? No. Closed my account after 57 years just 2 1/2 years ago. Out of a few that will survive, they will dump this massive debt on the tax payer to bail out again. After all, they don’t do what they should do, they do the opposite.

        • When you are on the wrong side of the closed doors, you will be one of the people wanting to get their hands on ANY BofA employee and make them pay.

          My advise to any BofA employee is to keep a bag with a change of (old raggedy)clothes handy so you can at least attempt to blend in with the angry mob that storms your workplace. This mob will be in no mood to hear “But I am only a teller!”.

        • I agree with the first part you said. I just want to say, good luck if you stay with them.

      4. Good! I quit this bank a few years back. They kept charging me late fees for payments that were on time (this was for a credit card I’d had since I was 19) – then they gave out credit cards to illegals, not to mention all the bad mortgage loans to them. Who in their right mind would want to be affiliated in any way with this evil,greedy, globalist bank? Good riddance.

        I wouldn’t mind seeing this happen to Chase and Wells Fargo too!

        • Glad we moved to our credit union 2 years ago!

        • “Who in their right mind would want to be affiliated in any way with this evil,greedy, globalist bank?”

          …The US Government. I know, I know. Its SHOCKING right?

        • They did the same thing to me about fees. They were rude
          to me and it didn’t matter that I had been a customer for 57 years. I worked for a home town bank for three years back in the 50’s. They were later gobbled up by Bank of America. That is why I stayed for so long as I was an established customer and that used to make a difference because they knew you credit wise. NOT ANY MORE. Believe me, they are big Obama people.
          If you have ever heard Lindsey Williams, everything he has said for the past couple of years, has come true. Google his videos. He just said a few weeks ago something he had never said before. He just said they want to get this country in more massive debt before it will collapse. So, go figure.

        • Kind of makes one think that being among the “unbanked” may not be so bad after all.

      5. All I gotta say is if you have your money with them, some how get it out of there, dont get too greedy with your own money (silly statement I know) But seriously start pulling out a bit and moving it.
        try not to be too obvious about it, but dont waste time.

        • VRF, great advice!

        • We had some BofA stock – sold it two months ago when the S&P rating dipped.

        • I suggest a credit union. If you have any CD’S, IRA or Treasury bills, get them out of BAC. Talk to a credit union on the best way before moving them. If BAC is nationalized, under government control, they can change them to Government annuities. How can they stand behind them when they are bankrupt? Protect your money.

      6. Is that really in trillions? I was hoping it was a typo for billions lol

        • It’s billions. It’s a typo. $75 trillion exceeds the value of all wealth on the planet by a magnitude of two or so.


          • Mal: No its not a typo. Its real. The five major banks hold 96% of all derivatives; more than $250 trillion of derivatives between them.

            Everyone should understand that these derivatives, in the main, represent loans for which the banks co-signed like your dad would co-sign for your car, and it would be him who would be ultimately responsible for the loan if you failed to make the payment. That is what CDS are.

            The derivatives are only as dangerous as the original loan, which are required to meet certain federal guidelines. These loans are supported by collateral in most cases.

            Some of these loans will fail, even as they do in good times. How much I haven’t a clue. The banks have about $2 trillion in “excess reserves” which they have held throughout the QE process (as I have mentioned many times before) specifically to replace losses as they arise to maintain their liquidity ratios.

            Its scary, but I do not see any reason to hit the panic button as so many of you do.

            • I stand corrected. Please don’t tell my wife I made a mistake. I have a reputation to uphold 😉


      7. I get the gist of this article, but bottom line, the knowledge required for me to understand everything that was stated in this article does not exist in my mind.
        However, I took my money out of the markets years ago and rarely have more than $1000.00 in the bank. That is for my convenience. (They don’t pay me enough to use my money)
        And I am debt free.

        • Your actions seem correct to me.

          I question the intellect of folks that have their money in passbook, or even money market, accounts earning far less than the rate of inflation and then paying income tax on those earnings.

          • That, POA, is my question too–why bother?? Cost of additional paperwork at income filing time isn’t even cost effective.

            • You get a better return investing your money in food, anyway.

          • What earnings? My (small) savings account in Comerica is yielding 0.05% at this time.

        • I’m with you. It was way beyond my intellect. We’re in the process of takin out a few thousand each month and stashing it someplace handy. They use our $$ and pay nothing to do so.

          • I was comparing food prices an hour ago at 2 differant stores. The rate of inflation in the last week alone suggests that Daisy (Comment above) is 100000000000% correct.

            Invest in food…………………..

            I was analyzing my own stash of food. I can go for quite awhile on my own, but my girlfriend her 2 kids and Mamma, plus my own family / friends would likely wipe out the stash in a month or 2 under the worst case scenario, which I do not think is likely to happen.

            Still, you probably can’t store to much food. It will be eaten.

            • It depends what you buy. I have some stuff with a 5 year shelf life and some stuff with a shorter shelf life. I have a bit of food that is frozen but that is a very small portion of my stockpile.

              Once you get a good supply of basics you will see your food costs go down. Then you will have the freedom to shop the sales and really store stuff up.

              I have enough of many things to last a year and other items for 6 months. If we had to live without shopping at all we could go for 6 months.

              If you are going to have all of those people, you would be wise to plan for it. If you stock what you eat, it won’t go to waste. 🙂

            • Food is actually pretty easy to stockpile.

              It’s like the old saying goes: in order to eat an elephant, you do it one bite at a time.

              Same way with food supplies – you store it a couple extra cans a week (or an extra $10 per shopping trip). Because Wal-Mart now has dehydrated long-term storage foods, I’ve made it a habit to buy two cans each grocery trip ($30, for ~60 servings of a variety of stuff), plus a few extra cans of food, and maybe a bag of rice or a bag of sugar/salt/whatever. Altogether, I spend $50 every two weeks, or $100/month, to add to the pile. At my payscale I can afford that, and I consider it good insurance.

              If/when the SHTF, the order of eating is simple: stuff in the fridge, stuff in the freezer, canned goods, long-term goods (assuming the seeds haven’t sprouted and reached harvest stage yet). If the seeds or foraging is good, the cans and long-term stuff can sit on the shelf until such a time as it becomes necessary to eat ’em.

        • I………..,
          I started glazing over by the second paragraph as well.
          I was also considering snorting some Ritalin so I could focus long enough to get through
          The rest of the article.
          But then I remembered thet we have some very smart cats on this site,
          And they would be able to dumb it down, so that my simple cave man mind
          Could grasp these concepts.

          Oh ya,
          Thanks guys

      8. Well, the government is letting them do it…..

        • And ironically, I just read an article earlier today that BOA posted $6 billion in 3rd quarter profits. Yes, that is with a B.

          • Actually they posted a 9.1 billion dollar loss, mostly because of the 8 billion they had to reserve for the home loan disaster of countrywide.

      9. they were giving out credit cards to babies, dogs, cats and teenagers. should ban credit card entirley. it’s a weapon that creates hyper inflation.

        • Esp. since any person can march into Chinamart and get a prepaid for a reasonable cost.
          No over the limit fees, no late fees..it’s a no-brainer.
          Now, me?? I just go to bank and deposit what I need for online purchase, go straight home and order that purchase using debit card.

          • Oh so they take McDonald’s checks congratulations.

        • You can’t ban credit cards, thats the only thing keeping our economy alive right now!

        • Here’s an idea. Take responsibility for your own spending. The bad men did not make you spend…you made that choise….sigh….

      10. Pardon me, but I’m posting this a couple times for more advice on my food/prep storage.
        I have about 100 cans of Fruits/vegetables and about 100 cans of tuna/chicken/ravioli/spaghetti, 5 six-gallon buckets w/mylar bags & oxygen absorbers…filled with jasmine rice, 15 assorted beans w/flavor packets, instant Idahoan mash potato mix, pancake mix, and powdered milk. Have small box of seasonings, big box of condiments (bbq sauce, ketchup, syrup, pb, soy sauce, ect).
        I have about 110 gallons of water in juicy juice bottles, pop bottles, and such which I put bleach in, dated.
        Only 1 months supply of tp, few flashlights w/few extra batteries, big box of wet wipes, small small supply of first aid, and small amount of plastic plates, cups, and utensils, 10 lighters and 2 one gallon bags of matches I got from gas stations.
        I only have 1 firearm .40 sigma w/only a 100 rounds and 2 mags. Finally convinced wife to get a permit to aquire yesterday.
        If the city cuts power or heat go off I’m screwed. No generator or heating source.
        I make $8/hour and finally have a check of $600 to blow on my preps that I’ve been working on since I woke up in December.
        What would you get now if you were me?

        • I forgot to mention that there is me and my wife, her 19 yr old daughter, and our 2 and 8 yr old…5 of us.

          • Forget the TP, too bulky to store a lot of it. We are storing soap and washcloths. Everybody gets one, and you wash it when you’re done with it. Not the best solution, but the best one we could have based on our income/storage space.

            I would get a solar battery charger, available on Amazon.com (don’t forget rechargeable batteries) and also a good idea to get a crank and/or solar powered radio. Look for shortwave, likely to be broadcasting when the rest of them go down, also can pick up HAM broadcasts. http://survival-supply.com/ is where I picked up my radio. If you can manage more than one, get it.

            If you get no other firearms, get yourself a reliable .22 rifle. Good for light hunting, better than nothing for longer-range defense, ammo cheap as hell so you can practice. (Less than $20 for a block of 550 rounds from Wal-mart.)

            Other than that, you seem to be doing about as well as could be expected. Keep storing grains, in my opinion best bang for your food storage buck. If you have the room, start a garden now while you can afford to make mistakes.

            Good luck and keep your powder dry.

            • There is always room for TP.

          • You need WAAAY more ammo!

          • Mac, I used that link…got to week 23, looking real good according to their lists…and bam..no week 24..I can’t find 24 – 52—so if tshtf next week?? we are so screwed!! Am I just stupid?? oh, scratch that.

            • LOL! I understand your concern and voiced it with her… What are we to do if it hits the fan tomorrow!?!

              Tess is actively developing the series right now and she releases weekly updates to it, sometimes faster, so you might get a couple weeks worth of prep advice from time to time.. I think her goal is to have most of it completed by year’s end.

        • Iowa,

          Mac covered about preps. You must immediately buy this generator, and of course petrol.
          I would suggest candles, lighters, matches, and some flashlights with a hand-crank for charging.
          Finally, personally speaking, a good shotgun for close combat.
          A Remington, or a Mossberg in 12 gauge.
          Finally try to find some of those water purrifying pills.

          Be safe and strong.

          • How much gas?

            If I buy a shotgun, how much ammo is too little?

            I’m poor by the way, yet rich thanks to God for waking me up, not to mention good people like you.

            • By the way, what kind of ammo for a 12 guage, bird shot (which kind) and slugs?

            • Just buy what you can……there’s no wrong amount, just buy some…….

            • Iowa,

              Don’t het so anxious.
              1happycountrymom just gave you the answer. Buy what you can, without lowering your life quality.
              In my opinion there is no such thing as too little or too much.
              As for the shells, i would buy 100 slugs, and 100 9-ball shells.

            • Survival Mom says (and I agree) that you can never have too much ammo! 🙂


              Manos has some solid recos up there… First prep for the first 30 days — this includes making sure you have the necessary foods, water, and protection.


              high quality, low cost Katadyn Hiker Pro for $80: http://www.thereadystore.com/water-storage/katadyn-hiker-pro (I have one in each bug out bag, plus a Katadyn Combi for reserve)

              Manos mentioned water purification tabs… I recommend Katadyn Micropur Chlorine Dioxide: http://www.thereadystore.com/water-storage/katadyn-micropur-purification-tablets-pack-of-20

              Each tab is for about a liter of water, so do the math on that for 30 days.

              Personally, if I had $100 and there was a single prep I could by, it would be a Water Filter…. clean water is critical in any emergency.

              Food: You’ve got canned goods and might want to consider taking a look at the following:

              -Freeze Dried food in #10 cans since you seem to have a large family to feed:

              -MRE… these are great because they are hardcore on the calories, they’re portable and they self heat:
              http://www.thereadystore.com/mre(though they are a bit pricey, and so freeze dry #10’s might be the way to go)

              -Calorie Bars… These things are awesome… 2400 – 3600 calories per bar… there won’t be a whole lot of variety in flavor, but they’ll keep you alive… one bar will provide the nutrients you need for roughly two days: http://www.thereadystore.com/food-storage/brand/datrex

              –Dry Goods : If you want the most bang for your buck, my opinion is that you take a look at more dry goods using that Food Storage Calculator link I pasted above… Can’t go wrong with Rice, beans, flour, salt, etc… Also, consider how you’ll heat water/cook the food in case of a grid down…

              Just some thoughts.

              *Note Full Disclosure: The Ready Store is one of our advertisers, but they rock. Excellent selection, great prices… I shop there myself.

            • You’ll get a million different answers here… Here’s my advice in three minutes or less:

              Concentrate on food, viable water source, and guns/ammo first. Mac is right about the food calculator. Use the one you like the most. Ready Store is great, and I believe Mr B. floated Provident Living as well. Another good site. I like Emergency Essentials as well: (www.beprepared.com)

              If you can have one rifle, get a Ruger 10/22. Inexpensive and it fires .22LR and is a great all around rifle. Like someone else said, the ammo is cheap. 500+ rounds for $15 or so.

              If you get a shotgun, I’d avoid the slugs. Slug barrel is an added expense, and you said money is tight. #5 shot is a good all purpose shot. You can use it for grouse, pheasant and turkey. Instead of worrying about slugs, get some 00 buck for home defense. Mil grade buckshot can be had at Cabela’s x5 shells for $3.99. (Cheaper can be found if you look).

              Keep checking this site out. You’ll learn who to read and who to avoid quick enough.

              Always fire center mass,

            • As much as you can safely store (gas).
              One round (too little) As much as you can afford to get. Birdshot/buckshot/slugs, alternated in an 8 round or so pump.

              Get more in the way of medical supplies. Buy, especially, good antiseptics like neosporin, peroxide, alcohol. Various sizes of bandages from scratch to major wound. Get to doctor, lie and tell him you think you have an infection of some sort, get an antibiotic with a couple refills, the stronger the better, but take whatever you can get from him. Wait a couple weeks and get the refill(s). Painkillers, same thing. Supplement with otc painkillers, as strong as you can get. Narcotic painkillers can’t be refilled, so you have to go back to doctor (at least mine) on a regular basis to get more. Do it. Medical supplies are going to be scarce at the end of the day, so even if what you have stored loses some of its potency, some is better than none. The bit about shelf life and no good after that is a myth to keep you coming back and spending more money. Most expiration dates are for the drug companies’ benefit more than for yours. They couldn’t care less about you.
              Sounds like you’re doing okay on the food, but you can always use more. Stuff that’s hearty, has some nutritional value, tastes fairly good, lasts forever and is cheap – RAMEN! In addition to all the other goodies, I/we have hundreds of ramen in various forms. Probably in total, it cost less than $200.00, and we have HUNDREDS of cheap, fast, fairly nutritious and filling meals. Hell, the N.Vietnamese and Viet Cong had an army that lived and fought on either rice, fish, and ramen, and you know what happened there.
              Hope this helped.

            • Iowa, concentrate on some #6 shot along with some slugs. I prefer the 20 gauge, its lighter and the missus can probably handle it better if it comes to that. Check local gun shops for a good pump on consignment, times being what they are, some people are cutting loose excess guns for much needed cash. Mossberg is OK, Remington 870 is better. Find someplace you can go to shoot, gun range that a friend or aquaintence will take you if they’re a member. Build up slow to you get a couple hundred rounds of ammo. Check out Walmart and Kmart for better pricing. Iv’e hunted the same farm for over 33 years and thus far I’ve taken over 300 deer and I’d venture to say 75% percent were harvested with a 20 gauge using slugs. My favorite one is a 870 Remington, extended tube magazine, youth stock ( a shortened version of a regular stock), and has been cammo’d with krylon paint. I paid 175.00 for it several years ago at auction. It also serves duty as a home defense gun, loaded with #3 buckshot and slugs.

        • Heck, dude, you have done miracles with that kind of income—you are a genious money-wise…
          Great job..good luck from this moment on.

        • If you live within 60 miles of an LDS Center. Go there and stock up on everything they have that you like. Their prices are unbeatable. You do not have to be a church member to go. Just call them to schedule an appointment. Cheapest to buy in big bags & mylar yourself. Cans cost more.

          I’d get milk, beans, rice, dried apples, sugar, rice, wheat, dried onions, oats, carrots, etc.

          The Mormons have the food storage thing all figured out and $600 will get you so much food from them. Good luck!

          Order form w/ prices here:

          LDS locations here:

          • lots of great replies to your questions Iowa – as far as firearms, I second the .22 reco and 12 gauge – you can find both for cheap, plenty of avail ammo that won’t be expensive either.

            But the important thing is to pace yourself – don’t measure your level of preparedness against anyone else, my eyes were opened about a year ago and I know how you feel – it’s easy to become panicked. You’re definitely off to a great start and just keep in mind how much better prepared you are now than this time last year! If you’re screwed if power and heat go off, then figure out what you’ll need to handle that, make a list and go from there. Good luck!

        • It is were me I would get a high quality police riot gun, such as an 870 Remington in .12 gauge. You have done well with your preps in such a short time. Come on over to http://www.frugalsquirrels.com/vb/index.php and join a group of Americans who are also into preparedness…

        • Iowa,
          If your concerned about cooking off grid, consider:
          a solar oven or an EcoZoom stove.

          Depending on where you live, solar ovens are great for wide open spaces like Arizona.

          The EcoZooms are great if you have ample wood available. We live in a heavily wooded area of the country, so we’re going (primarily) with the EcoZoom.

          Solar Oven Q&A ~
          Here are some starter sites:

          EcoZoom Reviews ~

        • Cheap woodstove? Wood…heat?
          22 rifle and ammo is a good thing too.

        • Iowa :I would buy a woodstove. You said you were screwed if the heat went off. Oh, and a good axe and block. that will take care of the heat problem and you have a cooking source indoors.This qualifies as a big ticket item AND an absolute necessity if you ask me. Food can be bought in small amounts weekly toi put towards your stockpile, as can ammunition. All of which is worth nothing if you freeze to death.

        • We have an old generator that still works. Its loud but can’t afford another one. Do you have a radio that you can wind up if batteries don’t work? You can find one on eBay. I also suggest an outdoor grill, Gas or charcoal

        • mossberg 590a1 or maybe any other 12ga shotty and a few bricks of ammo, to include some slug, more .40S&W ammo an extr mag or 2 and then some more food…

      11. Bank of America, Wachovia, now Wells Fargo, and others, both paid trivial fines for laundering Mexican Drug funds. Who goes to jail NOBODY! Story can be found here with video http://www.dosenation.com

        • Taking lessons from Wall Street??

      12. If you were looing for the sign,,,,,,that screemed,,,,,,get your money out of the banking system into preps…..IT’S HERE!

      13. JeeperS FINX,Der vault is empty. Get out or lose out.

      14. Can anyone out there give me the Derivatives For Dummies? and the events that might lead to their causing a financial collapse?

        • This may be helpful:

        • Simply speaking, derivatives are illegal insurance transactions based on the creation of mortgage bonds that were designed for failure.

          For example, I make a loan to you. I then take the loan and get somebody to insure it and pay it if you don’t. If you don’t pay, I make the claim and the insurance pays me. In the eyes of credit rating agencies, they are virtually risk free.

          The banks have made billions of dollars charging insurance fees to each other, to be recovered from their customers.

          The problem is that the insurers are now unable to pay, and it leaves the bonds worthless when the borrowers default. The banks have been allowed to keep them on their books at full price anyway, or sell them to the FED, so it is not necessary for the insurers to pay. Yet.

          What will happen is that eventually, such as probably happened to the B of A, one of the parties to one of the derivatives will be asked to pay and not be able to. If there is no bailout, the system will collapse at a mind blowing speed. Thus, there will be bailouts until the heads start to roll and control of the money is taken back by the People.

          Since all the large banks are exposed and propping themselves up by using full value for mortgage bonds that they can not sell and are, in fact, worthless, they will all have to claim the losses, in the tens of trillions of FRNs, they have been covering with frauds on their books. That will render them legally insolvent and bankrupt.

          If even ONLY one of the major counter parties fail, they all fail. All insurance will have then been issued by insolvent corporations who can not pay and is as worthless as the bonds they insure. If the banks take the losses, they will be trillions of federal reserve units in the hole.

          The reason derivatives were used on such a large scale, hundreds of trillions of dollars, is because the lending standards were reduced and the banks knew the derivative bonds they created would fail. Banks took out insurance, probably many times for each bond they created. Otherwise, how could there be an estimated quadrillion dollars of them?

          They also knew that the corp would bail them out and attempt to make you believe you owed the debt created to do that. Don’t be fooled. No matter what the corp says, it’s not your debt.

          It is very important for everyone to know that it is impossible for you or anyone else to have a debt denominated in Federal Reserve Units, because they themselves are representative of debt.

          After all of that, the short answer is that derivatives are a form of bond and insurance fraud and you will know the house of cards is coming down as soon as someone declares bankruptcy without a bailout.

          The first go around in 2008, when Lehman and AIG failed, was allowed to happen to further consolidate the fraud among those who survived by virtue of the bailouts. A ay of eliminating the competition. There is no way to further consolidate them, thus nobody will be allowed to fail until it can no longer be prevented.

          How far along they get is up to the People, not the gov. corp. How much of it can tolerated, and for how long?

          We will have to wait and see.

      15. As has always been the case, the FED and its stockholders are the only enemy we face.

        How many of these blatant thefts will the People tolerate before heads start to roll?

        Know thy enemy, it is the stockholders of the Federal Reserve System and nothing else.

      16. A mere 15 years. That is all took for America to be put risk like this.

        It was a mere 15 years ago that “THEY” dropped (good) rules that said BANKS CAN ONLY DO BUSINESS WITHIN ONE STATE. The rules put in place back in the 30s, and the logic was, if one stupid fking greedy, money grubbing, POS, bank failed, its damage would be limited to one state… BUT… VIOLA… “THEY” decided to drop those rules… and surprise surprise surprise…. today’s headline.

        This was/is all part of the/a plan.

        • “They” is us. We the people were so wrapped up in our daily lives that we failed to elect CONgresscritters that would have said not only no, but H*11 NO to repealing Glass Steagall.

      17. Enron was a picture of what was coming in both the breaking of the law(s) and the loss of capital(people’s savings). That was when I started becoming more responsible for my own investments, hope others saw the light.
        What breaks my heart, is how so many trust the banks with their savings and believe the laws will protect them. Got my mother-in-law and wife to clear out their accounts from BoA earlier this year.

        • And do you know that Ken Lay’s wife got to keep all the money? Look it up.

          Remember the long delays in the trial, and then when he was found guilty…. the the looooooonnnggggggg delay in his snetancing?…. and surprise surprise….. he (supossedly) died before sentance was set, thus the guilty verdict was set aside, and his wife keeps all the wealth.

          I can not think of a better time/example of someone having the motive to fake one’s death. I never looked to hard into to(I was to disgusetd by all of the delays) his autopsy etc etc etc ….but his billions of Dollars in the bank, makes faking his death… ah anyway…. conspiracy theories.

          YES, that was one of the first blatant example of those who are close to those in power (Dickehead Cheney never did release his energy meeting notes) being immune to the rules other must follow.

          I did CALL BS!! back when the rolling blackouts were happening in California…. I said “yeah right, another energy shortage, fkn BS”…. I said “When they shut the light off on the Vegas strip, then I might believe”….. they never did, it was all BS.

          • The system is rigged, it has been for a long time.

            Here is the story I refer to above…

            “”HOUSTON, Oct. 17 2006 — A federal judge on Tuesday threw out the fraud and conspiracy conviction of Kenneth L. Lay, the former Enron executive, who died of heart failure in July while on vacation in Colorado.

            Judge Simeon T. Lake III ruled that the conviction must be voided because Mr. Lay cannot pursue an appeal his guilty verdict.

            The decision, which had been expected, prevents the government from trying to seize more than $43.5 million from Mr. Lay’s estate that prosecutors claimed he stole from Enron before it collapsed in 2001.

            Mr. Lay, who was 64, died about six weeks after he and another former chief executive, Jeffrey K. Skilling, were convicted of spearheading the fraud that led to Enron’s collapse in December 2001.

            “We’re very pleased that the criminal case against Mr. Lay is now over,” said Sam Buffone, the lawyer who successfully filed the motions to have both Mr. Lay’s indictment and conviction dismissed. A jury found Mr. Lay guilty in May of six counts of conspiracy and fraud, and Judge Lake, in a separate trial, found him guilty of four counts of bank fraud. “”


            “” Mr. Skilling, who was convicted of 19 counts of fraud, conspiracy and insider trading, is scheduled to be sentenced on Monday.

            Prosecutors had initially sought $139.3 million from Mr. Skilling and $43.5 million from Mr. Lay. But after Mr. Lay’s death, the government moved to force Mr. Skilling to pay the entire $182.8 million.

            Mr. Lay, who before his trial presented the image of an avuncular philanthropist who played golf with presidents, was often prickly and argumentative on the witness stand. He appeared sullen, shook his head dismissively and slouched in his chair throughout the four-month trial. Even after his conviction, he maintained that he had not committed any crimes and that, moreover, Enron was a healthy company brought down by unfavorable news coverage and the deceit of his chief financial officer, Andrew S. Fastow.

            In his 13-page decision, Judge Lake cited established case law that required revocation of convictions if defendants die without opportunity to appeal. The Justice Department had asked the judge to delay ruling until Congress had time to pass legislation that would have retroactively allowed Mr. Lay’s conviction to stand. But lawmakers recessed before considering the matter.

            Tuesday’s decision will make it harder for former Enron employees and shareholders to lay claim to the millions in Mr. Lay’s estate because they cannot point to his criminal conviction as proof of wrongdoing.

            But, David Berg, a defense lawyer in Houston, said, “The civil suits are going after deeper pockets like the investment banks” that have been accused of participating in the fraud.

            While many former Enron employees expressed outrage and Internet blogs seethed that Mr. Lay’s conviction had been “erased from the books,” others were resigned.

            “I’m numb to the whole thing,” said Tina Tennant, who was an executive assistant at Enron and is part of the class-action lawsuit. “It’s over and it’s really over now.” “”

      18. I did my own bank run on BAC at the end of August. I should of done it years ago when they started charging me fees on my personal and business accounts I had with them. I would complain and they would take the fees off but then the fees would be there the next month. This went on for 6 months. I just wonder how many people don’t notice these fees mixed in with all of their other transactions and just get ROBBED! It’s no different than having a wolf guard the hen house.

        I hope BAC goes down. I hate those m.f.’rs. I doubt they will though. BAC, along with all the banks, have enough self serving politicians in their pockets.

      19. Manos: How are you, what’s going on in Greece? Looks like another strike with disruptions. Be safe sir!

        • Yea, not good over there today. And our idiots over here can’t even seem to make the connection that we will be in the same boat soon.

          • Copout and Mr Blutarsky,

            More and more people are participating in the demonstrations.
            Air traffic control, customs, taxis, trains, tax offices, private businesses, truck drivers, garbage collection, and more others are on strike.
            The whole country is a total mess.
            People cannot handle it anymore.
            Since May 2011, 3 different laws on property taxation were implemented. New extraordinary taxes were passed for 2012 and 2013. Personally speaking, my annual income will decrease around 3.000 euros.
            I’m taking now 22,500 euros and it will go down to 19,500. I used to take around 25,200, and decreased last year.
            Gas is way up, utilities will go up 20% from 1/1/2012, and car insurance will go up 65%.
            How the hell are we going to survive?
            And just imagine that i belong to the lucky ones who still have a job.
            There are people who live with the unemployment fund, which is 400 euros per month, for 12 months.

            The plan is bigger than us, and you must prepare yourselves. It may not touch you, but who knows anyway.

            Be safe.

      20. BofA is transferring, with the Federal Reserve’s approval, $75,000 billion (=$75 trillion) worth of interest rate swap derivatives, from its non-federally insured Merrill Lynch subsidiary to its FDIC insured consumer banking subsidiary. This allows the FDIC and/or the Federal Reserve to backstop any and all losses this mountain of derivatives will generate when its value plummets during the coming sovereign defaults in Europe. Without the money-printing ability of the Fed, BofA will be wiped out by any substantial rise in interest rates.

        Altogether, the four largest Wall Street banks, JPMorganChase, BofA, Citigroup and Goldman Sachs (which are core shareholders in the Federal Reserve) hold $200,000 billion (=$2.0 x 10^14) in interest rate swap derivatives on their books. To bail out these institutions in case of a wave of sovereign defaults, will require creation of up to $200 trillion in new currency by the Fed. Current money supply is $3.2 trillion, up from $0.8 trillion at the beginning of 2008.

        • What could POSSIBLY go wrong?

      21. BofA used to be a highly profitable if unspectacular bank for many, many years. It got in trouble when it crawled into bed with Big Government. The Feds used strong arm tactics to get BofA to swallow Countrywide and it used the lure of certain guarantees to get it to agree to takeover Merrill Lynch. (The deal to buy Merrill was done in less than 48 hours. Can you believe that?)

        If the feds had just allowed Countrywide and Merrill to go belly-up, like they let Lehmann Bros. go, this wouldn’t be a story today. And BofA’s balance sheets would be OK.

        Dancing with the devil is a bad idea. And BofA did it twice. Bad BofA. Bad.

        A former BofA customer,

        • B.o.A. has been a criminal enterprise for many years. 20+ years ago they swallowed Boatman’s Bank (St. Louis) which was handling trust accounts for a family I am close to. Once it was B.o.A., the ripoffs started. Long story short, the estate funds that should have gone to the grandchildren were reduced by 50% before they finally got distributed. I have NEVER seen such mendacity in my entire career. Like Denninger says, “where are the handcuffs?”

      22. sounds to me like more the sky is fallen crap, these banks are definately in major trouble but don’t believe for a second any will fail or the like. Doesn’t mean I have prepped for the future, just don’t buy all the doom and gloom. Still waiting for webbotts prediction that something incredibly horrible was going to take place this past weekend. Celente’s website had this advertisement about the market was going to crash at the end of the month, well this was done for 3 strait months before I stopped looking at the siter.After each month passed it would just change the date to the end of the following month.

      23. Stay well, Manos. You are on our minds for sure. Sending up prayers for you far away friend.

      24. For anyone looking for medical books, or any other technical books, such as wookworking, still construction, gardening, physics, chemistry, army manuals, etc., get a good newsgroup reader, such as NewsRover, get a good newsgroup server, such as GigaNews, and subscribe to the newsgroup “alt.binaries.e-book.technical”. There are tens of thousands of books available in PDF, DJVU, CHM and other formats. Have fun browsing, as GigaNews has over 2 years of book postings to go through.

      25. Mac and God’s Creation: Thanks alot, this explains why the banks are holding on to as much money as possible, they are leveraged to the hilt, have fake assets and the FED can’t print enough money to bailout everyone. This could also explain why the main stream media airs very little if any info on derivatives and CDO’s. If everyone with a checking or savings account understood this fiasco there would be chaos. That’s if they even cared. Sounds to me like there isn’t enough money in the world to stop this when it starts to crumble.

        • You hit the nail on the head…there is not enough money out there to cover it all…. All of this debt does have collateral though…. Backed by one particular resource……. US….you and I…. Gives the term ‘collateral damage’ a whole new meaning ( well, kind of).

        • TxH: The assets of the banks (the loans they have made) are not “fake”. These loans are supported by collateral. What the collateral is that underlies the individual loan is hard to say. They can be letters of credit, other securities, stocks, or real estate.

          The CDS “bonds” are securities that group these loans together in “tranches” and these tranches are sold to investors, ie pension funds, insurance companies, and other banks, etc. These tranches can be in the tens even hundreds of millions of dollars.

          I once sold a MBS that was composed of $100 million of mortgages, the collateral of which were large multi family garden apartment complexes.

          If a major bank goes down because it becomes insolvent, which is NOT likely when there is so much excess reserves, it only means that the “insurance policy” provided by the co-signer is null and void.

          If your dad died of a heart attack it doesn’t mean that your loan is bad unless you stop making payments.

          So it doesn’t mean that the loans across the board held by other banks, or even by a failed bank are in default.

        • Right. The stock market reckons that B.o.A. is worth less than half of what they say they are. Compare with Wells Fargo which has a market capitalization slightly greater than what their balance sheets claim.

      26. BOA isn’t too big to fail, they’re too big to bail!
        By the way, I just closed my checking account w/them last month due to $28/month fees!
        That’s WAY too high!

      27. More advise for Iowa on preparing: Go to Lehman’s website and get their recipe for making laundry detergent. I’ve been using it for several months now; it’s a lot cheaper and the ingredients are easier to store than commercial detergent. Don’t forget your solar clothes dryer (rope and clothespins).

        Last time I was at Costco, a 25# bag of white rice had gone up from $7.49 to $8.09 – still a bargain and I’ll get another Friday.

        I think old fashioned oil lamps are better than candles, or in addition to candles. Get extra oil and wicks.

        Look in the camping dept of wallyworld and get a propane burner or 2 and lots of those screw on cylinders. They used to be about $1 each, now over $2 but they last a long time and can be used inside for cooking. I’ve used them during hurricanes before we got a gas stove.

        You can store lots of TP in the attic if you don’t have a mouse problem.
        For cleaning, all you really need is baking soda and white vinegar; forget all those expensive chemicals. Get LOTS of white vinegar; it’s cheap and has many uses. Lots of salt too I’ve read, not sure why, but I got lots of it.

        Good luck

        • The price of propane in those little 14 ounce cylinders is outrageous! Get maybe THREE of the small ones. Then get the MacCoupler adaptor that lets you refill the little ones from a 25 or 40 pound cylinder. Got mine from Harbor Freight. 20 bucks.

      28. I’m FKNA mad. I just paid off my BOA mortgage, and if I would’ve waited a little while longer they might not be any bank to send the check to. I might have saved some money for more preps.

        • You did the right thing paying off your mortgage. The government would take your house in a heart beat. They won’t let you go if you owe anything. They want to own all these houses.

        • CK: Nice thought but it doesn’t work that way. Your loan was packaged and sold long ago to an investor anyway, as part of a larger tranche. BA was probably just servicing your loan.

          If BA does get to a point of default, the FED will likely split it up into a good bank/bad bank scenario.

          At the present time BA is only doing retail banking.

          And hey! Congratulations!

          • DK: I know, it was more wishful thinking than anything. And Enough is right-the gov’t is going to become the biggest slumlord in the nation with all the houses they own. No better way to control the people than where they live.

      29. and then the next bank does the same thing and anon or word is spread and there’s a run on boa, then the next bank, the next……… either way the taxpayer gets screwed and teotwawki has arrived… add to this the 1% transaction fee on each and every bank/credit union transaction everyone in this country makes – including xfer of funds from one type of acct to another within the same overall acct… the screws are being turned on the American People yet here we sit, waiting for them to push us over once again and ram it to us, as always without benefit of KY or Vaseline…

        when is enough really enough..?

      30. Die BofA, eat sh!t and DIE !

      31. There has been considerable speculation on the derivatives market, how it works, who the players are, 600 trillion or one quadrillion in value.

        As James Rickards explains in his analysis: Complex systems, as the derivatives market, can collapse due to the many variables that cannot be controlled.

        Now tie this in with the stability of the currencies, the Euro, the U.S. Dollar…all of them.

        There are few places to park your wealth and ride out the storm. Tangible assets seem to be the logical choice and in different locals.

        Oh, and I like 2 3/4 00 Buck!

      32. I have a question. I have a “Reverse Mortgage” with the Bank of America. How will I/We be affected by all of this? I really would appreciate an answer if anyone has an answer. Thank you

      33. I’m so glad I don’t have the problem of an REVERSE MORTGAGE. Good question. I think you will still have to pay it back. It seems like only the underwater homes and NOW they are talking about wiping out collage loans for US to pay back. Stick it to the tax payers. They are out to take back houses. The government wants to own all the houses they can get so if you don’t pay back what you own on a house, its theirs. We will never get out of debt.


      34. Thank you for your blog post.Much thanks again. Really Great.

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