Where Not To Store Your Precious Metals

By Michael Pennington © Copyright 2010 Pennco Coins


According to in-house memos now circulating, the DHS has issued orders to banks across America which announce to them that “under the Patriot Act” the DHS has the absolute right to seize, without any warrant whatsoever, any and all customer bank accounts, to make “periodic and unannounced” visits to any bank to open and inspect the contents of “selected safe deposit boxes.”

Further, the DHS “shall, at the discretion of the agent supervising the search, remove, photograph or seize as evidence” any of the following items “bar gold, gold coins, firearms of any kind unless manufactured prior to 1878, documents such as passports or foreign bank account records, pornography or any material that, in the opinion of the agent, shall be deemed of to be of a contraband nature.” Furthermore, safety deposit box holders and depositors are not given advanced notice when failed banks shut their doors.

If people have their emergency money in a safe deposit box or an account in a bank that closes, they will not be allowed into the bank to get it out. They can knock on the door and beg to get in but the sheriff’s department or whoever is handling the closure will simply say “no” because they are just following orders.

Deposit box and account holders are not warned of the hazards of banking when they sign up. It is not until they need to get their cash or valuables out in a hurry that they find themselves in trouble.

Rules governing access to safe deposit boxes and money held in accounts are written into the charter of each bank. The charter is the statement of policy under which the bank is allowed by the government to do business. These rules are subject to change at any time by faceless bureaucrats who are answerable to no one. They can be changed without notice, without the agreement of the people, and against their will. People can complain but no one will care because this is small potatoes compared to the complaints that will be voiced when the executive order that governs national emergencies is enforced.

That order allows the suspension of habeas corpus and all rights guaranteed under the Bill of Rights.

A look at the fine print of the contract signed when a safety deposit box is opened reveals that in essence the signer has given to the bank whatever property he has put into that deposit box. When times are good people will be allowed open access to their safe deposit box and the property that is in it. This also applies to their bank accounts.

But when times get really bad, many may find that the funds they have placed on deposit and the property they thought was secured in the safe deposit box now belong to the bank, not to them. Although this was probably not explained to them when they signed their signature card, this is what they were agreeing to.

During the Great Depression in the early 1930’s people thought that many banks were going to fail. They were afraid they would lose their money so they went in mass to take it out, in what is known as a run on the banks. The government closed the banks to protect them from angry depositors who wanted their money back. Throughout history, governments have acted to protect the interests of banks and the wealthy people who own them, not the interests of depositors or box holders.

In a time of emergency, people will have no recourse if access to their safe deposit box and bank accounts is denied. If they are keeping money in a bank that would be needed in an emergency or in a time when credit is no longer free flowing, they may not be able to get it out of the bank. The emergency may occur at night or on a weekend or holiday when the bank is closed.

The solution is to take emergency cash or valuables out of the safe deposit box or bank account and secure them somewhere else, like in a home safe. An even better idea may be to close the safe deposit box account completely, letting someone else entertain the illusion of safety.



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This entry was posted in Buffalo, Bullion, Coin, Dollar, Eagle, Federal Reserve, Gold, Gold to Silver Ratio, Government, Investment, Maple, Palladium, Peso, Philharmonic, Platinum, Silver, Tax. Bookmark the permalink.

3 Responses to Where Not To Store Your Precious Metals

  1. tim says:

    Thanks. I was not aware of the DHS order. Regardless of the DHS and bank regulations, anything that is considered “emergency supplies” should not be kept in any location that one does not have physical control over. Even something as mundane as a power outage (due to natural disaster or human failure) can keep ATM machines down … not to mention the potential for banks staying closed. In a short-term emergency, offering a bundle of $20’s in return for assistance will motivate folks far better than having a wallet full of credit cards. This is common sense that anyone can appreciate, even those with a tendancy to ignore the critical issues of the economy. Keep cash, precious metals, ANYTHING that one might need in an emergency … close at hand. For longer-term crisis situations, the bundle of $20s will be meaningless … silver seems to me to be the way to go. Thanks for the blog, keep up the work.

  2. Goldbull says:

    Inaccurate article. The Patriot Act does not even mention safe deposit boxes. And this so-call in-house memo is just rumor being spread by fear-mongers and silly conspiracy theorists. There is no evidence of any such memos circulating around. And in most cases a home safe is definitely not a more secure place than a safe deposit box. Bad advice given in this article.

  3. John Weltsch says:

    Mr. Goldbull, your CFR (Council on Foreign relations) membership and your CIA membership could be in Jeopardy, your disinformation dialog is not convincing & therefore you failed in your duty to the brethren, you better go desecrate an Altar somewhere to make up for it, everybody knows what thew Fed did in the 30’s, I wish everyone understood the relationship between the Fed, JFK & Lincoln……………

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