Q: Under what circumstances is it a “problem” when the people who have given you their property for safekeeping demand the immediate return of their property?
A: It is a problem if and only if the safekeeper has neglected his duty to his customers, and made use or otherwise disposed of their property for his own private gain.
Welcome to the Bizarro World of modern banking.
We faced the very real problem of how banks could stop depositors from withdrawing their money — a Treasury source, according to the Daily Mail.
Let’s put this in perspective: the bankers with whom individual depositors entrusted their hard-earned money, primarily for safekeeping (but also to facilitate exchange through clearing processes, etc.) have admitted what was already known to anyone who could overcome decades of propaganda to the contrary: they don’t have your money.
Since they don’t have your money, they can’t meet their obligations to fulfill redemption by returning your money, to you. Thus, it has become a “real problem” when people want their own money back from the bankers.
This isn’t theoretical, the Banks are bankrupt; the money simply isn’t there.
(H/T: Gilligan)