Boycott the Banks

Posted on 11/03/2011 by


Originally published on

Not to grind an axe terribly hard, but many of the ills of the modern world can be laid at the feet of banks. The video featured on the front page of this website gives an excellent overview of why this is so. It also makes a case which, I think, can be expanded briefly upon.

Much of economic activity in, for example, the United States, does indeed end up being a system which primarily benefits banking institutions. Those few manufacturing businesses left in the US are leveraged to the hilt in order to finance their machines, their payroll, and even their factories. All these things give banks profits in the form of interest on loans.

Except for Wal-Mart — which is self-financing — virtually every store you will ever shop at has leveraged their operations via bank-issued money. Any single product you might buy sees a portion of its price to you go straight to multiple banks. There is the bank financing the store you’re shopping at, but also the banks financing every step of the entire supply line. The producer has bank loans, the shipping company has loans, and so on and so forth.

So, whenever you buy something at a retail store, you help to support banks. Even if you are so fortunate as to have no personal debt, your labor and money is going toward supporting a bank. You shoulder a small portion of the bank’s loans, and help ensure the bank’s profits — and more importantly, executive bonuses — stay agreeably high.

Simply pulling your money out of banks will not end this problem, although it is a good step. Nor will avoiding personal debt be sufficient to roll back banks’ penetration into the economy, and our lives; avoiding debt, though, is sound advice.

The best way to roll back the banks is to boycott not only those institutions directly, but indirectly as well. Reduce or avoid buying goods and services where your money will go to support banks. Be willing to pay more for local goods and services, so as to prevent your money from being drained from the economy and used to pad executive bonus accounts in the Cayman Islands.

Do this, and the banks will be brought to their knees. They depend on growth; they are addicted to it. We needn’t reduce the amount of money they make, but simply slow the growth. Even if a mere 20% of people reduced their direct and indirect support of banks by 20%, it would be more than enough to put banks in their place.

They have forgotten they work for us, and the betterment of our communities. They need to be reminded of this, or put out of business.

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Posted in: Activism, Reform