Experts Warn of AI Impact on Banking, Suggest Home Cash Storage

Fears that artificial intelligence could trigger a global banking crisis are prompting discussions about the security of digital finance, with some experts suggesting that people may resort to storing physical cash at home. International Monetary Fund (IMF) Managing Director Kristalina Georgieva recently voiced concerns that a loss of faith in the banking system could lead individuals to hoard money, reminiscent of practices before the collapse of communism in Eastern Europe.

Georgieva, speaking at the IMF and World Bank Group's 2026 Annual Meetings in Bangkok, drew a parallel to her own experience growing up in Bulgaria. "We didn’t trust the system. What did we do? I would have my dollars in a shoebox under my bed," she stated. She added, "I worry, today, that unless we figure out how to get ahead of this curve, given the speed, the scale and the cost of fraud growing up, we may end up with lots of people with shoeboxes under their beds."

This sentiment echoes warnings from Bank of England Governor Andrew Bailey regarding the potential ramifications of AI on financial stability. The banking system faces multifaceted threats, including increasingly sophisticated cyberattacks and, as highlighted by the Bank of England, potential monetary and financial instability arising from climate change mitigation efforts.

Security Advice for Storing Cash

In light of these concerns, residential security experts are offering guidance on how to store cash at home securely, should individuals choose to do so. Bob Morrison, Managing Director of SecTech, advises that while keeping a small cash reserve can be prudent, significant amounts should be kept secret to avoid attracting unwanted attention. He stresses the importance of not keeping all stored assets in one place, advocating instead for the use of multiple safes.

Morrison suggests that even inexpensive home safes, available for around £30, can offer a good level of security if properly installed. He recommends anchoring safes securely to solid walls, ideally in corners where they can be fixed from both the back and the sides with long screws and rawl plugs. This makes them difficult to remove quickly, even for determined burglars.

He also advises strategic placement of safes, recommending less obvious locations within a home rather than common spots like offices or master bedrooms. Diversifying the location of stored cash across several safes further mitigates risk.

Beyond cash storage, broader emergency preparedness is also being emphasized. The UK Government has issued advice on preparing for wider infrastructure failures, including maintaining emergency kits with items such as torches, power banks, radios, first-aid supplies, water, and non-perishable food. The government also advises on basic home security measures like ensuring doors and windows are well-secured and visible alarm systems can act as a deterrent.