The Pentagon just announced that they failed their fifth consecutive audit. Poke around here to see how they promise they are trying very hard and need to get better. Not to worry though, DoD assures us they have "only" spent about $21 Trillion since 9/11/2001.
They don't care about the money, so why should you? This got us thinking, strictly in the context of America for now, we have so much to share about how our amazing government views you and money. Let's start with diving into this piece: "How Do Banks Create Money?".
It's very important to consider understanding the mechanics of a typical bank loan and how that aligns with the Federal Reserve. There are a couple of very critical documents that resonate here, and they are not exciting reads by any means. The Federal Reserve Act and 13 STAT 99 are crucial.
13 STAT 99 makes it crystal clear that a bank can NOT lend out its core capital. This makes sense if you think about it. If banks sent all their own core cash out via loans that defaulted, the bank would collapse. This also begs the question: if the bank isn't lending out its money, then whose money is it lending out?
Congratulations!!! The bank is lending out YOUR money to YOU. Isn't that cute, almost as cute as nasty old fake teeth. Here is an excerpt from the article noted above:
When the bank lends you “money”, what is really happening is that the bank is creating new money with an accounting entry. The bank credits your account with a new balance equivalent to the loan. You now pay that back plus interest and fees. The bank created this money literally from nothing.
The Federal Reserve Act clearly states (Section 16, Paragraph 2) that member banks can receive Federal Reserve Notes (i.e. the dollar) so long as the member banks pledge collateral with the Fed. Collateral includes "notes" and "bills of exchange". In other words, the bank takes your promissory note (the loan) and pledges it with the Fed so that it can create an accounting entry that shows you now owe the bank the given principal amount. If the bank makes an error they get a slap on the wrist and their board members still enjoy lavish dinners with the almighty elites of the universe. If you mess up your credit score gets trashed and you owe a bunch of fees and penalties.
Don't believe this and saying this can't possibly be true? Ok. Tell us where "the money comes from" from your viewpoint.
Remember folks, the Pentagon ADMITS it can't account for $2 Trillion.
