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In reply to the discussion: Trump can't secure $454 million appeal bond in New York fraud case, his lawyers say [View all]getagrip_already
(14,994 posts)If the property is worth that much, surely a bank will loan him cash on its value.
Same with his other properties. Especially with his beautiful brand attached.
Yes, that is sarcasm.
Insurance companies are not loan collectors. They don't foreclose on properties and take them to auction. They deal in liquid assets.
Banks deal in property and real assets that need to be sold to become monetized. So banks will frequently back end an insurance company and provide them a letter of surety, which means they will pay them back x dollars when they eventually foreclose and liquidate the collateral they are holding. The insurance company then provides the surety bond to the court.
Insurance companies are good at managing large sums of unplanned monetary outlays. Banks are good at foreclosures and auctions.
Odd there was no combination that could be made to work here, no?