GREECE BANKING CRISIS - Banks Running Dry of Cash. Capital Controls Coming Soon?

 No one knows the specifics for Greece, but here’s what happened in Cyprus: ATM withdrawals were capped at 300 euros a person per day. Transfers of more than 5,000 euros abroad were subject to approval by a special committee. Companies needed documents for each payment order, with approvals for over 200,000 euros determined by available liquidity. Parents couldn’t send children studying abroad more than 5,000 euros a quarter. Cypriots traveling abroad could carry no more than 1,000 euros with them. Termination of fixed-term deposits was prohibited, while payments with credit and debit cards were capped at 5,000 euros. Checks couldn’t be cashed.

The four-month standoff between Greece and its creditors over the terms of the country’s bailout has taken a toll on its lenders. With savers withdrawing bank deposits at a record pace and lenders relying on more than 80 billion euros ($88 billion) of Emergency Liquidity Assistance to survive, the European Central Bank’s continued help is key to Greek lenders. If the ECB’s Governing Council were to restrict ELA operations, Greece might have to impose capital controls -- essentially capping the amount of money people can access from banks.

With a week to go before Independence Day, as Greek interior minister Voutsis ruled during today’s Parliamentary bunfight, the new Poverty Relief Bill “doesn’t violate the agreement” signed with the Eurogroupe, and so it will pass into Law. Athens barely made its latest payment (May 12) to the International Monetary Fund (IMF), and it managed to do so only when the government discovered that it could use a reserve account it wasn’t aware of, according to the Greek media. greece greek bank cash "european union" europe savings deposit banking "bank account" money "interest rate" debt collapse euro euros "forex trading" "holiday money" creditors loan "capital controls" "money transfer" investment investing wealth rich economy jobs funding ATM "credit card" cyprus "offshore banking" deal 2015 2016 future gold silver "gold coin" "silver coin" bullion "cash for gold" tax "bad credit" u.s. usa america "united states" "elite nwo agenda" trendy entertainment

“Right now we are at the cusp,” billionaire George Soros tells Bloomberg TV in this brief clip, the chances of Greece leaving the euro area are now 50-50 and the country could go “down the drain.” The 84-year-old fears that talks between Greece and ‘the institutions’ could “break down,” adding that “Greece is a long-festering problem that was mishandled from the beginning by all parties,” concluding that the chances of Greece leaving the euro area are now 50-50 and the country could go “down the drain.” Finally, Soros notes, what worries him the most is Ukraine. Greece's government on Monday ruled out restricting access to bank accounts and the free movement of money if there is no breakthrough soon in tortuous talks with bailout creditors and its dwindling cash reserves dry up. The Greeks believe that the threat of a full blown European financial crisis will cause the Germans to back down at the last moment.

The Germans believe that at some point the economic and financial pain will become so immense that it will force the new Greek government to give in to their demands.





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