OP, sense too full your head. Nice write-up.

Thanks a lott

MMempire:
OP, sense too full your head. Nice write-up.

samsegs:
Abeg summarize that OPAY part first....

Na there your money dey

This OP is a fraudster, trust him at your peril...all those things he wrote up there are bunkum, complete rubbish.

You can see from his response that he has everything to hide....one major red flag about fraudsters is that they are antagonistic to any one who asks them questions.

Beware.

It's not this deep abeg. Ur saying it like the bank collects money from individual accounts and use a string of 0s and 1s to replace them till they are returned by the borrower.
Total deposit from all customers is a liability to the bank, the reserve requirement is on the total deposit so there is no need to shock individual accounts. Every bank has their customer base they only use financial modeling n trend analysis to know what proportion of their total deposit they can trade or do business with without affecting customers day to day demand for cash which also can be calculated through trends.

After reading this long epistle exposing the banking system, what next? What are you going to do about it? Stop putting your money in the bank? Or open your own bank? What exactly is the idea?

ForValour:
Op, what do you want me to do with this long epistle?

should we tell him he's a craz Op

IF you are truly intelligent, then your intelligence should be a gift to shine the light for others and not a privilege or your BIRTHRIGHT. Whatever atom of education you have was only because you had an enabling environment. That's all.

If you were born in an IDP camp as a conjoined cripple, maybe you'll know what's up then

You sound like because you knew this all along that means others did too

Rest

Reserve requirement is not applied to the total deposit but to every individual deposits.

How would the banks know their Total deposits. What's the criteria they would use. DAILY TOTAL DEPOSITS or WEEKLY TOTAL DEPOSITS. Money is coming in and going out of a Bank and there are still some transactions that are pending and others yet to be resolved.
So how would you define a Banks total deposits

Banking ISN'T just limited to the Physical building you see on the street mind you

Currency HAS to be made available IN A DEBT BASED SYSTEM OF ECONOMY else a deflation occurs followed by a recession so that economic model you typed there isn't feasible. The money creation would only be slow. It has to be done on every customer deposits on the fly

And never for once think that because you know something, that means others know it automatically.

That would only mean we would all be thinking like Mrs Okonjo Iweala and Mrs Okonjo Iweala would be think like us

ekanDamie:
It's not this deep abeg. Ur saying it like the bank collects money from individual accounts and use a string of 0s and 1s to replace them till they are returned by the borrower.
Total deposit from all customers is a liability to the bank, the reserve requirement is on the total deposit so there is no need to shock individual accounts. Every bank has their customer base they only use financial modeling n trend analysis to know what proportion of their total deposit they can trade or do business with without affecting customers day to day demand for cash which also can be calculated through trends.

You've worked for money all your life and now I'm explaining how what you've toiled for for years endlessly is being created in a commercial bank level

In addition to what you think you know,
You've also understood:

1) how bank create loans from your deposit
2) inflation and what causes inflation
3) what a debt based economy is.
4) you know what bank credit is
5) you know what would happen if everyone in Nigeria were to walk into their respective banks to demand their physical cash back

6) you know how money is injected into the economy by the commercial banks

7) you know the hidden reason behind the creation of the cashless policy
you know why Banks discourage savings at home


9) you know why Bitcoin and crypto will keep gaining value the more currency keeps gaining multiplying and also why crypto value drops sometimes.

10) you know the economic stages that leads to a recession.

As If all of this is not enough,

YOU ALSO KNOW WHY YOUR MONTHLY SALARY PAYMENT METHOD IS A SCAM and why those who are doing Ajo or yearly contributions are playing themselves

Because if currency is being multiplied on a massive level like this, what makes you think your monthly salary has not lost value before it gets to you by month end in this inflationary economy

Fine, you may not be on salary. But what about your loved ones.

Money takes 30 days or so to get into the hands of corporate workers but by then those who got the money first have bought all relevant assets and you're left with left overs to use your inflated salary to purchase and smile.

WHY ISNT SALARIES PAID ON A WEEKLY BASIS.
before month end, don't you think it would have lost its value. Google the value of a dollar when it was created and Google its value now. Google the price of housing in the 1900s and Google its value now. What do you think happened

Those doing Ajo or annual contributions or whatever...what exactly are they saving for.
What's the essence of saving when after you save, you don't use your money to buy assets THAT CAN NOT ONLY BEAT INFLATION BUT BRING PROFITS FOR YOU


why isn't our payment system per hour as opposed to other countries operating on a fractional reserve banking.

Now look around you: HOW MANY ASSETS FO YOU THINK YOU CAN PURCHASE IN NIGERIA THAT CAN BEAT NIGERIA INFLATION AND NOT ONLY BRING A PROFIT TO YOU IN NIGERIA.

you think it's random that people never excape the rat race.

Still typing


Look around you.

Walk up to different salary earners...even those in expensive suits and tell them what their opinion is on a weekly salary payment in Nigeria

Do you know that some will kick against it because THEY WANT THEIR MONEY TO COME ONCE at the end of the month...

A lot of economic activity was tied monthly so it can give people the illusion that their monthly salary is the real deal when it is not. Interest rates release and all...but in between the Month, big economic changes happen. You think it's random

If monthly salary was the real deal, Fractional Reserve multiplication should only happen every month end and people should be warned beforehand what their money value iams about to be reduced to after the money multiplication takes place without the production of local goods to back it up


But fractional reserve banking is happening even as I'm typing this and it will keep happening even after I'm done. How many newspaper in Nigeria carry such a news. How many huh

People's salary is losing value BY THE SECOND but they don't even know what's up

Trust me: YOU HAVE NOT READ MY POST AND THE LINKED POST I SUGGESTED YOU READ ALSO. You only glanced at it

and get that entitlement vibe off your comment. If newspapers and DStv and social Media carried this type of information, wouldn't it be better for the average man

But I don't see you yelling at Zuckerberg or Punch or South Africa.
But here you are after getting it for free n sounding like low budget king Kong

Learn to get that entitlement vibe off your future comment. Would be better for you in the long run. Nobody owes you anything. Everyone has their freewill but people seem to misuse it...that's all

Freedom comes with limitations as I've explained in my other post. You're free to drive on the road with your vehicle but not free to pass the speed limits. You're free to eat what you like but you wouldn't willingly swallow pois on now would you

Macmilla:
After reading this long epistle exposing the banking system, what next? What are you going to do about it? Stop putting your money in the bank? Or open your own bank? What exactly is the idea?

ALLNIGERIANSMAD:
should we tell him he's a craz Op

What op wrote is no strange information. If it is strange to you, what are you going to do with it, stop using the banks?

IAmHim1:
You've worked for money all your life and now I'm explaining how what you've toiled for for years endlessly is being created in a commercial bank level

In addition to what you think you know,
You've also understood:

1) how bank create loans from your deposit
2) inflation and what causes inflation
3) what a debt based economy is.
4) you know what bank credit is
5) you know what would happen if everyone in Nigeria were to walk into their respective banks to demand their physical cash back

6) you know how money is injected into the economy by the commercial banks

7) you know the hidden reason behind the creation of the cashless policy
you know why Banks discourage savings at home


9) you know why Bitcoin and crypto will keep gaining value the more currency keeps gaining multiplying and also why crypto value drops sometimes.

10) you know the economic stages that leads to a recession.

As If all of this is not enough,

YOU ALSO KNOW WHY YOUR MONTHLY SALARY PAYMENT METHOD IS A SCAM and why those who are doing Ajo or yearly contributions are playing themselves

Because if currency is being multiplied on a massive level like this, what makes you think your monthly salary has not lost value before it gets to you by month end in this inflationary economy

Fine, you may not be on salary. But what about your loved ones.

Money takes 30 days or so to get into the hands of corporate workers but by then those who got the money first have bought all relevant assets and you're left with left overs to use your inflated salary to purchase and smile.

WHY ISNT SALARIES PAID ON A WEEKLY BASIS.
before month end, don't you think it would have lost its value. Google the value of a dollar when it was created and Google its value now. Google the price of housing in the 1900s and Google its value now. What do you think happened

Those doing Ajo or annual contributions or whatever...what exactly are they saving for.
What's the essence of saving when after you save, you don't use your money to buy assets THAT CAN NOT ONLY BEAT INFLATION BUT BRING PROFITS FOR YOU


why isn't our payment system per hour as opposed to other countries operating on a fractional reserve banking.

Now look around you: HOW MANY ASSETS FO YOU THINK YOU CAN PURCHASE IN NIGERIA THAT CAN BEAT NIGERIA INFLATION AND NOT ONLY BRING A PROFIT TO YOU IN NIGERIA.

you think it's random that people never excape the rat race.

Still typing


Look around you.

Walk up to different salary earners...even those in expensive suits and tell them what their opinion is on a weekly salary payment in Nigeria

Do you know that some will kick against it because THEY WANT THEIR MONEY TO COME ONCE at the end of the month...

A lot of economic activity was tied monthly so it can give people the illusion that their monthly salary is the real deal when it is not. Interest rates release and all...but in between the Month, big economic changes happen. You think it's random

If monthly salary was the real deal, Fractional Reserve multiplication should only happen every month end and people should be warned beforehand what their money value iams about to be reduced to after the money multiplication takes place without the production of local goods to back it up


But fractional reserve banking is happening even as I'm typing this and it will keep happening even after I'm done. How many newspaper in Nigeria carry such a news. How many huh

People's salary is losing value BY THE SECOND but they don't even know what's up

Trust me: YOU HAVE NOT READ MY POST AND THE LINKED POST I SUGGESTED YOU READ ALSO. You only glanced at it

and get that entitlement vibe off your comment. If newspapers and DStv and social Media carried this type of information, wouldn't it be better for the average man

But I don't see you yelling at Zuckerberg or Punch or South Africa.
But here you are after getting it for free n sounding like low budget king Kong

Learn to get that entitlement vibe off your future comment. Would be better for you in the long run. Nobody owes you anything. Everyone has their freewill but people seem to misuse it...that's all

Freedom comes with limitations as I've explained in my other post. You're free to drive on the road with your vehicle but not free to pass the speed limits. You're free to eat what you like but you wouldn't willingly swallow pois on now would you

Oga, you can insult me as much as you like, but you have not answered my question.
What should we do with all this "privileged" information "our savior" has given us? What can we do with it? How is this information going to better my life or my finances? You have listed all you think I learned, but you didn't mention one way any of those things I learned will make my life better. I'm still waiting for an answer.

Hie guys

Remember I said fractional reserve banking works on reserve ratio set by the central banks of any country

I'll give an insight and possibly a slight correction

The fractional reserve banking happens only after the vault cash has been extracted from the deposit


So if a customer deposited #1000 and the reserve requirement is 10%, #100 is kept as vault cash while #900 is multiplied ie loaned out and replaced with #900 bank credit which is essentially the bank saying 'i owe this account and as soon as the loan I gave out by borrowing from this account is paid back, I'll return the amount I borrowed from the account'

The bank then charges interest on loans because it's doing a risky business and it has to pay itself because if the borrower and the real account owner were to walk into the bank to demand their money, the banks won't be able to produce it simultaneously for the two different customers

I said their money because it's essentially the borrowers too since for the borrower to obtain the loan from the bank, he or she MUST HAVE DROPPED A COLLATERAL for the bank to give such loans. So yes, the borrower now has a stake in the loan as HIS OR HER MONEY

for this example using #1000 as deposit, It's the #900 that is multiplied NOT THE WHOLE DEPOSIT of #1000

So 1/ reserve ratio= 1/ 10% = ×10
So #900 × 10 = #9000

Heads up.

Didn't want to go and hide and edit anything so I decided to lay this bare here so constructive criticisms and questions...
I'll explain when time permits

IAmHim1:
A LONG READ...
You're welcome to skip



This piece was extracted from my red pill content here https://www.nairaland.com/8018973/secret-redpill-all-doubts-cleared

Forget all these things you wrote

Corruption is the main problem

VeeVeeMyLuv, when you say 'corruption', WHAT EXACTLY DO YOU MEAN


how do you think corruption is carried out?

How do you think corruption works??

I just detailed how commercial banks give out loans to customers FROM MONEY CREATED OUT OF THIN AIR and STILL CHARGE interest on these magic money

They even collect collateral...your vast physical land, your beautiful car, your house...the properties you sweat tirelessly to have...all because of paper currency THEY PRINTED OUT OUT OF THIN AIR and you're here typing 'it's corruption'

Hmmmm....
If this isn't organized corruption and thievery, what then is

VeeVeeMyLuv:


Forget all these things you wrote

Corruption is the main problem

IAmHim1:
VeeVeeMyLuv, when you say 'corruption', WHAT EXACTLY DO YOU MEAN


how do you think corruption is carried out?

How do you think corruption works??

I just detailed how commercial banks give out loans to customers FROM MONEY CREATED OUT OF THIN AIR and STILL CHARGE interest on these magic money

They even collect collateral...your vast physical land, your beautiful car, your house...the properties you sweat tirelessly to have...all because of paper currency THEY PRINTED OUT OUT OF THIN AIR and you're here typing 'it's corruption'

Hmmmm....
If this isn't organized corruption and thievery, what then is

Yea not just merely corruption

But highly organized advanced level of greed, corruption and thievery

I needed you to be specific

Corruption is broad

Not just from banks alone...

Your companies you work for too...the popular ones and the not so popular ones ..the highs and the lows.

You might be asking what I mean


If you go through this post, you'll find what I was hinting at:

THE SCAM OF MONTHLY SALARY AND AJO/ LONG-TERM MONEY CONTRIBUTION

ta-da!

Theres a reason why some companies abroad pay PER HOUR and why other companies pay PER MONTH...

those who earn per hour have more economic advantage over those who earn per month. Because inflation VIA fractional reserve banking makes the money useless before month end

Those who work and earn per hour are able to make quick economic decisions and profit/hedge from any price hike in the future.

Imagine those that were waiting for their monthly salary to buy bag of cement

I'm sure the announcement of increased price of the bag of cement wasn't released month end

But if you were earning per hour.... ta-da!



The institution knows this that's why they make the salary payment at the end of the month HIGHER than the PER-HOUR payment.


To safe guard their interest:

1) They don't want workers leaving employment randomly
1b) so they pay them per month slightly HIGHER than those who earn per week cause they've factored INFLATION into the monthly salary.

That's why monthly salary is higher than per hour wage.

Your light bulb moment right there for those reading this

VeeVeeMyLuv:

Yea not just merely corruption

But highly organized advanced level of greed, corruption and thievery

IAmHim1:
Hie guys

Remember I said fractional reserve banking works on reserve ratio set by the central banks of any country

I'll give an insight and possibly a slight correction

The fractional reserve banking happens only after the vault cash has been extracted from the deposit


So if a customer deposited #1000 and the reserve requirement is 10%, #100 is kept as vault cash while #900 is multiplied ie loaned out and replaced with #900 bank credit which is essentially the bank saying 'i owe this account and as soon as the loan I gave out by borrowing from this account is paid back, I'll return the amount I borrowed from the account'

The bank then charges interest on loans because it's doing a risky business and it has to pay itself because if the borrower and the real account owner were to walk into the bank to demand their money, the banks won't be able to produce it simultaneously for the two different customers

I said their money because it's essentially the borrowers too since for the borrower to obtain the loan from the bank, he or she MUST HAVE DROPPED A COLLATERAL for the bank to give such loans. So yes, the borrower now has a stake in the loan as HIS OR HER MONEY

for this example using #1000 as deposit, It's the #900 that is multiplied NOT THE WHOLE DEPOSIT of #1000

So 1/ reserve ratio= 1/ 10% = ×10
So #900 × 10 = #9000

Heads up.

Didn't want to go and hide and edit anything so I decided to lay this bare here so constructive criticisms and questions...
I'll explain when time permits

FBI wants to know your location sir

I believe some of our Nigerian elites who borrow from the banks for "new ventures" don't even pay back. Some use the money to be eating lavishly, dashing their girlfriends and buying foreign cars.

But instead of them to be brought to book by EFCC, you'll never see them. Elumelu will never report his friend Dangote. The commercial banks will rather use their lending window and borrow exponentially from CBN, forcing an inflation on the people. It's like doing ajo 400k and the guy that takes the first 400k says he's not doing again. So we all have to work harder to increase each deposit to meet that same 400k since we're missing someone.

The business elites and the political elites are in cohorts in destroying this country. The political elites don't do it with any tact.

The rich get richer...


I've learnt not to put the blame directly on individuals. All Nigerian leaders ARE NIGERIANS, same as me

There are hierarchy...systems of power. Most of the political holders in political offices got there THROUGH SOMEONE so it's gonna sound and seem like BLATANT DISLOYALTY when such a politician refuses to carry out favors from their 'godfathers/godmothers'

Unless we're talking of getting rid of godfatherism in Nigeria which is gonna be a LONG LONG TOPIC

People believe they can win by doing the wrong things. That's A LIE


I try to teach people that they can win by DOING THE RIGHT THINGS as a matter of fact, ensuring progress for not just their constituents BUT THEMSELVES too
https://www.nairaland.com/8107351/nigerias-govt-alternative-minimum-wage#130218599

Babysho:


FBI wants to know your location sir

I believe some of our Nigerian elites who borrow from the banks for "new ventures" don't even pay back. Some use the money to be eating lavishly, dashing their girlfriends and buying foreign cars.

But instead of them to be brought to book by EFCC, you'll never see them. Elumelu will never report his friend Dangote. The commercial banks will rather use their lending window and borrow exponentially from CBN, forcing an inflation on the people. It's like doing ajo 400k and the guy that takes the first 400k says he's not doing again. So we all have to work harder to increase each deposit to meet that same 400k since we're missing someone.

The business elites and the political elites are in cohorts in destroying this country. The political elites don't do it with any tact.