I can pay off my bank loan!

My father is paying back a huge loan on our home.

My father is paying back a huge loan on our home.

We create financial markets that are super complex.

I want more time

This bank that thought that they had made a prudent loan, this is house number three, I think.

So now you have 10 billion in cash.

We even bought our old house, assuming that we'd never have to pay the mortgage in full.

The Civil War. Even more expensive.

Two of those other loans, they came due, no one was willing to renew the loans, or give them new loans.

But I would be solvent, assuming that these two loans are still good.

In October of '05, after those first seven loans were paid,

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And you're able to pay off this loan.

You can sell equity in the firm and get some more cash to pay off this loan.

I paid off the mortgage when I got my promotion.

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So in this example, if I assume, that this loan is really worth 300 gold pieces and it's really going to be paid back and this loan right here is really worth 100 gold pieces and it really will be paid back, this bank is solvent.

Love your enemies, and do good to them.

We'll talk later about amortization schedules and how can you pay down the debt.

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2 pounds pays Tuco back.

We're gonna find a way to repay you.

But now that I have leverage, what happens if the value of my assets get written down by at some point, I determine that Loan B they're probably not going to pay up and Loan A maybe won't pay up.

Well, stall them. I did.

I already took care of that, thank you.

I'll pay ya back, plus a little extra.

Pre paying a mortgage is just saying, I sold the house.

And then these are loans that I lent at least, this and this these are loans that I lent out to somebody.

Maybe you're sixty five years old.

I was absolved from paying my father's debt.

But now I have a new problem.

I've got to get some money somehow to repay the bank loan.

(Laughter)

He applied the money to the payment of debts.

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

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.

Most Banking Systems are based on debt, forcing people into a spiral of loans and repayments

That's... 65,625 with interest.

Help me, and I'll clear you.

It's a really complex payment schedule... How much?

And then maybe with any extra savings,

Maybe that's the time your kids can start go to college but not give you enough time to save more money for retirement or to give you time to pay off more of the mortgage and maybe save up some more money for college.. hey ten years was perfect for me if you think when you're forty years old and hey

Well I'm paying you 10 more, right?

They didn't make loans and then sell the loans.