Quote:
Originally Posted by jayswin
Most of these measures are being put in place so these companies can continue to receive money from their customers in the coming years rather than lose them to bankruptcy.
99.9% of moves and measures made in the corporate world during times of plenty and times of need are made to benefit corporations.
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Yes. I work in the world of bankruptcy and receiverships and it’s true. NOt only do banks and other creditors act with some understanding during these kind of events, it’s in their interest to do so. What happens if loans are called right now? The banks lose a customer, they lose the interest they were making and they probably don’t get their principal back. Heck, they can pay more in receivers’ fees that they get back on the collateral. This happens even without a pandemic. Times can get so hard banks are essentially unable to act. And in these times it would be terrible PR for banks to act precipitously.