Comment by WinstonSmith84
1 year ago
The middle class and below live paycheck to paycheck so that's an issue they don't have. I suppose the author refers to this (ironically or not)
But debanking happens, or has happened, to _almost_ everybody who has some assets and cash, probably from the higher middle class until the ~1% .. as for the super wealthy, this class enjoys offshore private banking, has assets split into dozens of accounts and is mostly unbothered by AML.
> debanking happens, or has happened, to _almost_ everybody who has some assets and cash
I don't think this is true. I know many people with assets and as far as I know, none of them has been debanked. Surely I would know someone who has been debanked if almost everybody with assets has been.
You need to provide data behind your claim that debanking is so widespread as to use the word almost everybody.
Never ever heard any person I know being denied banking services, except for some unlucky (were they?) entrepreneur with very shady is-he-laundering-money situations.
I feel exactly the same. I tire of people on HN talking about their accounts being closed but providing 10% of the relevant information to their case. I have said it before and I will say it again: If your accounts are wrongfully closed, immediately: (1) Visit your your bank in protest and meet with the branch manager and (2) send physical letter of complaint to (a) local branch (b) head office (c) national bank regulator and make it clear you have CC'd all. I bet 99% of legit cases will be reinstated within 30 days.
Small VCs have this de-banking problem. Their patterns for cash and not conducive to want banks want and large banks will regularly close them down.
> The middle class and below live paycheck to paycheck so that's an issue they don't have.
You mean they answer surveys saying they do, according to surveys published in press releases from payday lenders.
They also answer surveys from the Fed saying they have median $8k in bank accounts and that they can pay 3 months of expenses in cash.
These two things are contradictory.
More likely different people are represented in the surveys and general trends are erroneously extrapolated from non-representative populations
Much more likely is that self-reporting is notoriously unreliable and "paycheck to paycheck" is a state of mind.
We're better at doing surveys than that.
If you look in the details of the "paycheck to paycheck" surveys, people reporting they make 200k+ a year also say yes to that, so I think it's just unclear what they think it means.
> But debanking happens, or has happened, to _almost_ everybody who has some assets and cash, probably from the higher middle class until the ~1%
Can you back up this claim? The wealthier you are the less chance you're going to be debanked. Marc Andressen and all the crypto bros will never have an issue with debanking. Banks are rolling out the red carpet for him and everyone else with his net worth.
What they (1%) want is to own the bank and own (and create) the currency without ever having to be an actual bank. They invest in crypto to make a massive profit, and it's foolish to play along with these things as some sort of benefit to society. Together these guys could end world hunger and still have more money than they would ever need, but no, they've decided VBucks are a pressing issue.