Money Myths TEDx

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Hammerer

2476 posts

Uber Geek

Lifetime subscriber

#871999 5-Aug-2013 13:18

Skolink:

This page in particular I found quite enlightening (and slightly disturbing) when pointed to it by a workmate earlier this year. It might be basic ecomonics, but I only took economics to 3rd form, and it wasn't taught. It never really occurred to me that I don't have 'money' in the bank, just a contract to that value. I'm not going to be buying gold any time soon though, at least until the mortgage is paid off!

Most people don't think about carrying around government issued IOUs either. Cash (legal tender) in your pocket is not a lot different to your money in the bank.

JimmyH

2886 posts

Uber Geek

#872235 5-Aug-2013 18:41

Skolink:
Woolly:
And this site has more info (even the bankers are coming around)
http://www.positivemoney.org.nz/

This page in particular I found quite enlightening (and slightly disturbing) when pointed to it by a workmate earlier this year. It might be basic ecomonics, but I only took economics to 3rd form, and it wasn't taught. It never really occurred to me that I don't have 'money' in the bank, just a contract to that value. I'm not going to be buying gold any time soon though, at least until the mortgage is paid off!

You don't have "money in the bank" per se, and never have had. You are an unsecured lender to the bank. If the bank, for instance, goes bust then you get back however many cents in the dollar the receivers can recover.

The only essentially "riskless" asset to hold is government bonds. Although, while you are pretty certain to get your money back, it may well be worth quite a bit less in purchasing-power terms if inflation has eaten its value away.

Woolly

119 posts

Master Geek
Inactive user

#874395 9-Aug-2013 09:58

Hope this short video helps some.

Credit Card Debt Explained With a Glass of Water
http://www.youtube.com/watch?v=Vz05A6cP6Iw

Below is a story about agents of DTR rentals agents breaking and entering.
http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10908670

Please be wary of Interest Free Credit from stores with GE or Q card. Even if you have the cash.

Apologies for the formatting.

Part of Qcard Terms and Conditions, pretty sure GE and
others will have something similar.

K. When CFL is entitled to repossess Secured Property it may through
its agents enter into any place where CFL believes the Secured
Property is held. You authorise CFL and its agents to gain
entry to the premises using any means deemed necessary to complete
such repossession without in any way being liable to you or any
other person.

L. You indemnify CFL and its agents against all
claims, actions, costs and losses any of them may suffer or incur through the
repossession or attempted repossession of Secured Property however arising.
Whilst CFL will endeavour to care for your Secured Property, CFL
will not be responsible for any damage to Secured Property occurring
during or after repossession.

http://www.qcard.co.nz/images/pdfs/termsandconditions.pdf

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