A little word of warning/advice. It is my intention to take my money out of the banking system, 401K, mutuals etc. and generally diversify.

I'm mow living in CO and flew back to California last week to tidy up a few things, one of which was cashing out from my Credit Union - Patelco. I didn't think it would be a problem as it's only about $2,000. Wrong.

I asked the teller for a current balance,then asked for it in cash. She asked if I was closing my account, I said no, but I still wanted the cash. She said no can do, have to wait two days, the most she would give me was $500. Biting my lip I lied and said I really needed the money, Im leaving town the next day, do you want to see my airline tickets, I need to pay some people here in cash.

She trots off to speak to the manager, five minutes later, comes back - NOT all smiles, OK how do you want the money - you need to leave a $5 minimum balance. Fine says I, thanks, $100's please.

Not a pleasnt experience at all - try doing this a few months down the road for perhaps substantially larger sums in a perhaps worried financial climate.

Went a few doors down the road to buy 3 1oz gold eagles and 60 1oz Silver eagles. Again, ID please, Oh, you want to pay cash? etc. etc. I bought them in my Brother's name - got them home to CO after LOTS of fun and games with airport metal detectors, Oh, are these gold coins?, knowing looks and winks from the search crew.

By the way - notice how much the 1oz silver eagles cost now? I wonder why :)

-- Andy (2000EOS@prodigy.net), May 01, 1999

Answers

Hi Andy. I was surprised when I read the title of the thread and saw that you were the one that started it - thought you would have had your money out based on earlier conversations and your knowledge of our wonderful fiat currency :) Only kidding. Anyway, I have belonged to a credit union for quite some time and they used to have a withdrawal limit of $500 also, but that was changed and for the last few years you can get your money out (Gee, what a concept) reagrdless of the amount. So I am not sure that this has anything to do with Y2K. Did you ask if the $500 limit was just a matter of that particular CU's policy?

p.s. Silver spot is about $5.37 now. There is quite a premium still on junk, and the numismatic market, especially the higher end, has been going up steadily.

-- Rob Michaels (sonofdust@com.net), May 01, 1999.

Hi Rob,

No - it's taking me time to move the paperwork around to achieve the desired effect :) I didn't ask the teller about the $500 limit for FCU's, I just wanted to get out before she changed her mind... I know about structuring, and I know about the $10k limit for "regular" banks - although most have small print that can delay you for up to a week, some I've heard have the same small print whereby they can just give you a cashier's cheque...

Just a little reminder here folks.

BTW got ripped off on the 1oz eagles - paid way too much. Should have done more shopping around :)

-- Andy (2000EOS@prodigy.net), May 02, 1999.

Airport metal detectors won't pick up gold.

I told my bank teller that I was going to Las Vegas and withdrew $1,500. I had no problem.

I suggest you be more patient and just take your money out slowly. Heck, why didn't you just write a check for all your bullion?

Oh well.

-- SJK (xxyyzz@foo.foo), May 02, 1999.

I have my reasons for not writing a cheque to an agency that wants my ID, SSN etc. for my purchase of precious metals. That's why my brother in another state is the "registered owner"...Call me paranoid if you like :) As for the metal detectors, they picked up my coins, which went in a little plastic tray and were minutely examined, held up to the light, bitten and weighed in the palm of the hand of a charming Indian gentleman (ahh, is gold yes, wink...:) ) Won't be doing THAT again. Plus sixty ounces of metal sure messes up the hang of your 501's :)

-- Andy (2000EOS@prodigy.net), May 02, 1999.

A close friend's father recently died and the friend approached me (he knew that I use to be a coin collector) and asked if I would help him liquidate his father's coins. To make a long story short, in helpng him sell his fathers small collection, I discovered that the volume of bullion sales by wholesalers/dealers compared to a year ago has risen substantially! I express shock at this because the price of G&S is about where it was a year ago. The only possible explanation is that there must be sifnificant selling of bullion occurring. Any insights/explanations?

-- Dave Walden (wprop@concentric.net), May 02, 1999.

I.D. required to make the purchase? Whose requirement was (is) that?

-- A. Hambley (a.hambley@usa.net), May 02, 1999.

I bought a fair amount of gold and silver coins in California a few years ago. Always paid cash. Frequently did not even have to give name. NEVER gave social security # or address. Another nice thing is that bullion purchase over $1,000 no sales tax, saves you 8.5% in Sacramento area.....

-- kozak (kozak@formerusaf.guv), May 03, 1999.

Local coin dealers in my neck of the woods do not ask for any kind of identification when you purchase gold or silver coins from them, using cash. It's just like purchasing a pair of pants or a toothbrush; you give them your paper money and they give you the product they sell. No ID of any kind required.

-- cody varian (cody@y2ksurvive.com), May 03, 1999.

Cody - that's the way it should be but I can assure that the rigmaroles I went through are true. Why the variations throughout the country?

-- Andy (2000EOD@prodigy.net), May 04, 1999.