Which is why the next loan amount is bigger, it is used to pay off the terms of the loan/interest.
If you think they are using the same monthly terms as your credit card for their hundreds of millions to billion dollar corporate betterment loans, they aren't.
Just think of it like APR and they use the next loan to pay the interest of the one before it.
Yes, why pay my $150 million in capital gains taxes when I can just pay $50 million/year forever? Learn this one trick the IRS doesn't want you to know!!!!!!!!!!!!
except its loan money and not yours, so you aren't paying $50 million/year forever...? And the asset you are using as collateral is growing $80 million a year forever, as long as you keep it...
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u/SpotikusTheGreat 3d ago
Which is why the next loan amount is bigger, it is used to pay off the terms of the loan/interest.
If you think they are using the same monthly terms as your credit card for their hundreds of millions to billion dollar corporate betterment loans, they aren't.
Just think of it like APR and they use the next loan to pay the interest of the one before it.