The world’s economy seems to be less and less stable with the passing time. That’s why it’s important to consider other ways of storing your money than the traditional method of banks. Perhaps it strikes you as an extreme idea to avoid banks. But a time may come when you will find it valuable to know how to store money without a bank. Consider it a learning opportunity and keep the information that you feel may help you in the future.
Should I Keep My Money in the Bank?
It seems that over the past few years there has been constant conversation and debate about whether or not money is safe in the bank. Changes in international affairs that have affected world finances have prompted these discussions. But what does that mean for you?
The main argument against keeping your money in the bank is that while banks promise all of their customers that they can have constant and instant access to all of the money in their accounts, the reality is that banks do not actually have that much money.
Here’s what that means: if something disastrous happened and all of the customers from your bank went to withdraw their funds at the same time, the bank would not have enough cash to fulfill the withdrawal requests. What would happen then, first come first serve? There would be no fair way to go about it. That’s why knowing to store money without a bank is important.
That being said, today’s society seems to necessitate the use of a bank account for at least some important matters such as paying bills. Living completely free from the use of banks may prove challenging, but there also is no need to put all your eggs in one basket.
Having a bank account is a wise decision, as you may want or need to use it for paying bills and debts. The best way to manage your money in the bank is to keep only what you must in your account. For example, if your bank requires a minimum amount at all times, maintain that amount, and then deposit more cash as needed for bills and other matters.
Alternatives to Keeping My Money in the Bank
If you’ve been keeping the majority or all of your money in a bank up until now, then you may be feeling at a loss about what else you could possibly do with your funds. No need to panic. Making the transition away from keeping your money in the bank does not need to be scary or difficult.
There are other ways to store your money, you just need to think creatively. Here are a few places to keep your money instead of the bank:
- At home in a safe: this is one way to keep your cash close and easily accessible at all times. The one thing to consider is whether you want to keep all your cash in one safe, or invest in multiple safes and put them in various places.
- Treasury and Federal Reserve: you can still obtain treasury notes in the United States. This is a viable option for putting some money aside, although you will need to deal with possibly high interest rates.
- Precious metals: have you considered buying gold? Looking into the bullion market can be another good option if you want to ensure access to your funds at any point in the future.
- Collectible assets: there is still a booming market for trading and selling collectibles. This means if you invest your money in goods like watches, jewelry, art, and cars, you will be able to sell it for to get your money back. Just be mindful of the market and assets you choose to put your money into.
How to Store Cash Long Term?
When considering storing money without a bank, perhaps you’d feel safer knowing that you have access to your cold hard cash at any moment’s notice. There’s no shame in that. If you prefer keeping cash than storing your money in other ways like in the form of gold or other assets, then you absolutely want to invest in or make your own money safes.
Keeping your cash in your mattress may be the first solution that comes to mind, but the reality is that storing it there is a fast way to have it stolen in the event of an emergency. You want to store your cash somewhere it will be accessible only to you.
Ideally, you should have more than one money safe for your cash. You don’t want to keep all of your funds in one place. Consider keeping safes in different locations where you will be able to access them if necessary. You may want to think about keeping safes not only in your home, but in the homes of other family members or people you can trust.
And no matter what, be sure that only you know where all your money is!
Final Thoughts
Having alternatives to storing your money in mind may come in handy. While you can still use your bank account for many purposes, knowing that you have a simply executable Plan B will give you peace of mind when it comes to your hard-earned money.
