FACT#2. How the Federal Reserve banks work (using a 10% reserve requirement).
1. F.R. "creates" $1,000,000 worth of "debt certificates" with no assets behind the creation, just the "OK" of Congress, and distributes it to banks.
3. The bank pockets $90,000 in interest, and accepts the $900,000 back as a deposit.
4. The bank retains 10% of the $900,000 deposit as a reserve, and loans out the $810,000 at 10% interest.
5. The process is repeated over and over, with "hard" assets pledged as collateral for these "loans". Thus, it starts with "no money" and ends up with houses, cars, land, silver, gold...real assets...and all it took was some ink, some paper, and the cooperation of Congress.
FACT#3. The BIRTH of money #1...Congress authorizes the F.R. to purchase U.S.Notes from the U.S. Bureau of Engraving for 2.5 cents per bill (no difference between $1 and $1000 bills). The F.R. then issues an equal amount of "debt certificate" Federal Reserve Notes which they use to purchase U.S. Treasury Bonds. Taxpayers are, supposedly, obligated to pay off these bonds at FULL FACE VALUE, plus the debt of the original currency purchased at 2.5 cents per bill!
FACT#4. The BIRTH of money #2...All credit is hypothecated upon the faith and worthiness of the "United States". Congress authorizes various corporations to extend the credit of the United States (as a privilege, not a right) to finance mortgages and other types of credit. You and I could not set up shop to extend credit to others, except we be licensed and approved by the government.
Thus, it is not the mortgage company, with whom you sign a contract, who extends you credit...they are only an "agent"... it is the United States who is the party with standing, and the only entity which can sue or foreclose for breech of the contract. BET YOU DIDN'T KNOW THAT! Then there is the credit contract itself...a fraud perpetrated upon the buyer everytime. It is another means of "creation" of money.
There is no "money" exchanged in the mortgage transaction. It is a book entry made by the "agent" which "monetizes" the value of the real thing, the property involved. No contract is valid except both parties bring something of value, called "consideration", to seal the contract. You are bringing the property, and the promise of future payments...they bring nothing but the ability to create credit...a congressional "okie-dokie"...to the contract. Thus the government fraudulently claims superior ownership rights to the property involved, and the ability to charge the "tenant" rent (called property taxes) for the privilege of using paper credit.
FACT#5. The taxes paid by Americans never provide ANY services to our country...all collected income tax money goes DIRECTLY to the F.R. Board (check the back of ANY check sent to the IRS...it is true).
FACT #6. All U.S currency is "Federal Reserve Notes" of debt, owed to the Federal Reserve, and is borrowed into existence. How can you pay the debt when you have to "borrow" the currency to pay the debt, FROM THE GUYS YOU ALREADY OWE? It is like paying off your VISA card using THE SAME VISA CARD...the interest just keeps growing, and no principal is ever paid! It is a ponzi scheme....a scam...and America is the mark!
Thus, the national debt can never be repaid. It is not meant to be repaid. It is meant to bring Americans to ruin without bloodshed. It is the legal takeover of the country, piece-by-piece, and the voluntary enslaving of the sovereign people, who will ULTIMATELY be asked to accept the demise of the Constitution, and their sovereign status under that Constitution, to become "subjects" of the benevolent ruling class.
This debt is owed by a "corporation" called "THE UNITED STATES"...A true LEGAL ENTITY...just like AT&T or any other company. It was formed, under Article IV powers of the Constitution, to do, in the territories what the U.S. Constitution said the Federal Government could NOT do in the states of the union, and I'm not talking just about income taxes, although that is certainly the case!
This whole scheme is based upon Congress' "sovereign rights" over the territories (Article IV) they established a "corporation", a central bank, and a paper money supply for those areas and peoples of the territories and areas over which the "FEDS" were Sovereign (see Article IV, Section 3 of the national constitution).... this was NOT done for or apply within the jurisdictions of the 50 union states, mind you, since it would have been openly Unconstitutional to do so. Only the "territories", the subject peoples within those territories or the 50 union states, and those 14th Amendment "citizens of the United States, and subject to the jurisdiction thereof"(see the 14th amendment, the tax code, the voter registration cards, etc) who possess only the inferior legal status of "subjects of the United States" (according to the Supreme Court), and do NOT have Bill of Rights protections, guarantees, or unalienable rights from God (only civil rights from government, who created them in law) ...
They are Federal (U.S.) citizens. The "federal" banks were set up to provide services to only federal citizens and other "subjects" of the United States. Free American Citizens began accepting the fake money (not backed by any substance of value), along with the genuine (redeemable at par for a set quantity of gold or silver), until 1964, when redemption of "paper" into real money (silver and/or gold coin) was terminated, and we all began to exchange only the fake stuff!!
This corporate US makes laws which apply ONLY to those areas and peoples over which the Constitution gives the federal government sovereignty (See US Constitution, Art 1, Sec. 8, and Art. IV, Sec. 3, and Downes Vs. Bidwell, 182 U.S. 244). The ignorant sovereign people (the free natural American Citizen of the constitutional united States of America), began to submit to and obey laws which were legally applicable only to "subjects" of the corporate federal US. We were also tricked into legally volunteering to all become "federal persons" by the promise of old age security... that's right...Social Security...the ever tightening noose around the throat of We the People. This explains why Congress can pass laws about guns and other "protected" topics, and not have such laws declared unconstitutional. They are not legislating for the 50 states or the Citizen of one of those 50 states. If you submit to a law, however, you are judged to be under that law. If you become a "federal person" through application for a social security number, or other federal benefit program, you have traded your birthright for a bowl of pottage (see Esau in the Bible). WE THE SHEEPLE have been voluntarily sheered by our own ignorance! Notice that there is still gold and silver coin being minted today (constitutional money)...but its value is calculated in federal reserve notes, falsely called "dollars".
WE MUST NOW reassert our sovereignty! It is time for "We the People" to declare the corporate US to be bankrupt, remove the Federal Reserve from the U.S.of A., and require Congress to turn on the presses and begin minting lawful coins (or Silver and Gold Certificates) which have no debt attached to their creation. Lawful money which is backed by gold, silver, and the productivity of Sovereign Americans. If you have understood how the debt is created, you know that it has been a fraud from the outset. It is no more a legal debt than Federal Reserve Notes are legal money. It is a "Corporate debt" of the federal corporation known as the "UNITED STATES", which is NOT the constitutional entity established in 1791.