Banks are owed $349B by private credit funds that may not be collecting cash from borrowers
Private credit funds can count interest as income even when the borrower hasn't sent them any cash, because some loan contracts let businesses add interest to what they owe. That gives a company more time to pay, but it doesn't extend the same courtesy to the fund, which could have borrowed money from a bank…
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Private credit funds can count interest as income even when the borrower hasn't sent them any cash, because some loan contracts let businesses add interest to what they owe. That gives a company more time to pay, but it doesn't extend the same courtesy to the fund, which could have borrowed money from a bank…
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