But the important thing to realize is that these payments

We will make the payment by bank transfer.

And when the 1 billion came from that local bank, all the payments, the interest payments, went to the bank.

So the way to think about a bank account is, well how much do I pay for that bank account?

And I need that in a cashier's check or a money order, doesn't matter.

Did you make regular payments from banking section?

Can I pay you later? I need to run to the bank.

Right?

I'm in banking. In banking? How'd you get into that?

And like before, the bank gives me 1 million.

We're now going to make all of our mortgage payments, the 10 payment, to this bank, this investment bank.

But in the old model, the bank would keep these payments itself.

This paper here says you ain't paid your bills or the bank.

So I don't know what 5 7 is.

The payment of 5,000 Swiss francs to such and such an agent is authorised by soandso.

That kills the stock.

And they're going to get the money back for their loan.

And now instead of you getting the payments, I get the payments.

Let's say you have some debt that you took from a company, and the debt is going to last for 10 years, and you had to pay a one time lump sum to the bank.

You need to open an account at a bank to receive the payment.

These CDOs were already an issue.

So the bank has to stay liquidate

I've essentially become the lender to the home owner, and so the home owner's morgage payment will now come to me the Investment Bank .

So all that happened is, this guy got the cash and then this bank will now get the set of payments.

So the value of this company is 1.1 billion that now goes to the bank.

You could put here what you paid for it.

And if he were to sell his house for 480,000 and the bank were to agree that 480,000 is all he has to pay back, then that would be a short sale.

Banker of some kind. City boy. Paid in cash.

It applies to and I'll do it in the next video but let's say I had one big expense in terms of I had to pay a bunch of fees to the bank, but the benefit of those fees are going to be over time.

And then year 10, I pay the 100,000 plus I pay back the 1 million.

And the payments?

That will now compound over the next month.

What's this, dear?

I want to buy the rights to those payments.

But in multi sided markets there might be users, but they're also might be very separate people who are payers.

The bahamas branch of switzerland's oldest bank Bank lausanne international.

I went to deposit it just a couple of days ago, and was told the check had been stopped.

You're going to pay it over 30 years, or you could say that's 360 months.

And you say, this group of the CDOs, they'll get the first payments. or if any payments that go, immediately go to this very senior tranche, right?

Because some of them have paid, and some of them are still paying.

Payment

Pay up

Because it buys treasuries, just from people or from banks or from institutions, and then those people take that cash that they just got for these treasuries, and they'll deposit it in banks.

And then instead of me and the other thousands of me paying the money to this bank, we're now paying it to this new party, right?

I put ten thousand yen into the bank every month.