Debtor in possession financing.

That man is a heavy debtor.

This debtor will hire one bank.

So these mortgages really haven't been defaulting.

Let's say some of these borrowers start defaulting.

So that's kind of a roundabout way of defaulting.

Farmers defaulting on loans had to auction off their land.

There's very little chance of them defaulting on their loans.

And they'll say, wow, these mortgages really haven't been defaulting.

Let's say a bunch of borrowers start defaulting on their loans.

The government owns car companies, banks are defaulting on their own banks.

And it's often, maybe this debtor right here, he'll hire one bank.

But you don't keep enough capital to pay all of the defaulting debt.

What if all of these corporations, for whatever reason, do start defaulting simultaneously?

So what happens is that the debtor stays in possession of the assets.

Of course, if enough people start defaulting, even these people start to get hurt.

Housing prices went up, then we had a lot fewer people defaulting on their loans.

So you can kind of view the debtor as the equity holders and the management of the company.

And we can lower the standards, because we find even when we do lower the standards, no one's defaulting on their mortgages.

I figured, surely some of the most creative artistic minds in the world, really, aren't all defaulting back to this one easy trope

So, you can imagine it's really good money while noone is defaulting but all of a sudden when people start defaulting then all of a sudden AlG is gonna be in trouble and all of the people who thought they had in effect AA debt because AlG was insuring it might not

They'll get the debtor in possession financing so that the company has some cash to operate, pay the bills, and pay the employees and whatever else.

Or what you think the real interest will be after you take into account people pre paying their mortgage, people defaulting on their mortgage, and other things

And if (the debtor) is in straitness, then let there be postponement until (he is in) ease and that you remit (it) as alms is better for you, if you knew.

If a debtor is in want, give him time until his circumstances improve but if you forego (the debt) as charity, that will be to your good, if you really understand.

And if the debtor is in difficulty, give him respite till the time of ease and your foregoing the entire debt from him is still better for you, if only you realise.

If the debtor is in straits, let there be a respite until the time of ease and if you remit the debt as charity, it will be better for you, should you know.

And actually what happens is because these guys didn't have enough cash to pay off their debt holders what happens is that they take on a new loan, called a debtor in possession loan.

And if the debtor is in straitened circumstances, then (let there be) postponement to (the time of) ease and that ye remit the debt as almsgiving would be better for you if ye did but know.

If the debtor is in a difficulty, grant him time Till it is easy for him to repay. But if ye remit it by way of charity, that is best for you if ye only knew.

If your debtor be in straitened circumstances, give him time till his monetary condition becomes better. But if you remit the debt by way of charity, it would be better for you, if you only knew it.

If the debtor is in straitened circumstances, then grant him respite till a time of ease. If you were to write it off as an act of charity, that would be better for you, if only you knew.

Instead of defaulting to our normal convergent approach where we make the best choice out of available alternatives, it encourages us to take a divergent approach, to explore new alternatives, new solutions, new ideas that have not existed before.

And if the debtor is in a hard time (has no money), then grant him time till it is easy for him to repay, but if you remit it by way of charity, that is better for you if you did but know.

But if you do (it) not, then be apprised of war from Allah and His Apostle and if you repent, then you shall have your capital neither shall you make (the debtor) suffer loss, nor shall you be made to suffer loss.