The loan carries 5.5 interest.

The loan bears an 8 interest.

He paid the loan with interest.

This loan will carry very heavy interest.

She paid seven percent interest on the loan.

loan, so, maybe, 580,000 if they were only paying interest.

You can also take an interest only loan, but the component of the interest is the same.

Remember, this is the annual interest rate but this is an overnight loan.

A bank says, OK, sure, I'll give you a 500,000 home equity loan, and in exchange, get 8 interest on that loan.

It'll have some interest rate, let me make something up, maybe it's a 7 loan.

So zero coupon essentially means they're not paying interest until they pay off the whole loan.

loan, because this isn't a traditional loan, an interest only loan but for the sake of this presentation, how it's different than a mortgage backed security, the important thing to realize is that the bank would have kept the loan.

So if I take a loan from someone, I owe them interest, or I have to pay them back the actual value of the loan one day.

Because this 500,000 loan is not an unsecured loan.

And this new loan is the most senior loan.

Some of which is interest, some of which is principle, but it's the same amount you're going to pay every month to pay down that loan plus interest.

Can a bank just continue issuing loans and checking accounts indefinitely and essentially collecting the difference in the interest between the interest it gets on the loan and the interest it gives on the checking account?

So 900 loan.

Whose loan out?

Let's say this loan, the loan from Bank B to

Or enough of a loan to pay off that loan.

So I have a loan, 100 loan. That's my asset.

Pay off the old loan, and get a new loan.

In this situation, you take your payment, you discount it by your monthly interest rate, you get the loan amount.

By being loan sharks.

loan to Bank A.

loan from Bank A.

loan to Bank D.

loan money to anyone.

Loan to Entrepreneur D.

We have Loan C.

It's about your loan.

First interest

Interest rate

Interest expense.

National interest.

100 interest.

Professional interest?

Interest. Weekly.

So in general, you expect less interest when you loan money for a shorter period time than a longer period of time.

They just can't get another credit card loan or a home equity loan.

And let's say you still owe pretty close to 150 thousand on the loan to the bank your loan might have even been an interest only loan but even after a year or two you're probably not going to pay down the balance of your loan too much it might be like 140 thousand, or 145 thousand

loan from a third bank.

They're temporarily holding the loan.

Did you get the loan?