Emergency cash reserves?

[MrGray]

I know a couple of guys with several properties each, that have this plan of action. Pay off the bond, except for R100 to keep it open and if **** hits the fan, they can quickly empty the bond and take the cash out of country, leaving the banks to fight over what's left.

How do you quickly empty your bond? And then how do you just take the cash out of the country? You need reserve bank clearances, bank approvals, etc etc. These days that could take months. If they have access bonds, then they could withdraw the access portion quickly, but then just transferring large sums of money offshore isn't that easy and anyway if the shtf probably wouldn't get much for it.

 

[Other Pineapple Smurf]

....

To be clear cb, I think you've got a reliable mindset there & many would do well to copy it. I just object to the blanket dismissal of debt in a personal context i.e. "it should never be considered".

My main motivation for that statement is when I see friends around me haul out their credit card to buy a 2nd 50" TV because it was on special and not doing so is a lost opportunity.

Only to see a year later they are loosing everything they own


We just don't have the cultural of working wisely with money in this country and people abuse credit cards with no thought of its consequences.

 

[Messugga]

How do you quickly empty your bond? And then how do you just take the cash out of the country? You need reserve bank clearances, bank approvals, etc etc. These days that could take months. If they have access bonds, then they could withdraw the access portion quickly, but then just transferring large sums of money offshore isn't that easy and anyway if the shtf probably wouldn't get much for it.

Transferring large sums of money out the country becomes significantly easier if you're the owner of several dozen companies registered in various tax havens... I never said their plans were completely above board, but if you never plan on returning to SA, why should you care?