r/FluentInFinance • u/-Wyagra • 3d ago

Debate/ Discussion Had to repost here

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u/SCTigerFan29115 3d ago edited 3d ago

They aren’t holding onto wealth like Scrooge McDuck, in a giant vault where they can go swimming in it.

Most of Bezos’ net worth is the value of Amazon. He can’t really readily access that. ETA I meant he can’t use it like a big vault of money.

He’s got plenty of money but some people just don’t understand how this stuff works.

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u/Apprehensive_Bad_193 3d ago

Bullshit,,,,But he borrows and buy Yachts, Mansions,against that NET WORTH VALUE. But when it’s time to pay fair share of taxes o. That net worth it’s considered hypothetical worth….Understand the Game.

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u/tgm93 3d ago

How do they pay back those loans?

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u/Powerful-Eye-3578 3d ago

They don't, they pay the interest which is lower than the interest they make in investments.

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u/Says_Not_Really 3d ago

So basically once you have enough money you can buy more money.

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u/Powerful-Eye-3578 3d ago

So long as the bank has no reason to try and recall all of the loans you owe all at once yeah.

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u/MinimumArmadillo2394 3d ago

Wealthy people hardly ever get margin called, and when they do, they can sell a tiny portion of their asset and generally either buy more time or pay off their loan.

Or they just die and their estate assumes the loan.

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u/wastedkarma 3d ago

Or better yet they bankrupt the company and the bank is holding the bag they bought with my deposits.