You still collect the monthly interest payments based on the original loan terms.
The borrower is struggling, and the lender would rather take a partial loss now than deal with a default later. buying loans at a discount
AI responses may include mistakes. For financial advice, consult a professional. Learn more M&G CLO Equity Overview - Investing - Scribd You still collect the monthly interest payments based
Buying a loan at a discount isn't just about finding a "deal"—it's a calculated move on risk vs. reward. When you buy a loan for €90 that has a face value of €100, that 10% gap represents your potential additional return. For financial advice, consult a professional
Did you know you can buy someone else's loan for less than they owe? It’s called buying at a discount. Immediate cash.
A higher effective interest rate and a profit when the full loan is repaid.