Thursday, December 18, 2008

Two Conversations At Different Times

A dramatization inspired by a true story.

Time Zero
Real Estate Developer: I would like a loan to build a large luxury apartment building please.
Banker: Fine idea, but what collateral can you offer me?
Real Estate Developer: I have this multi million dollar investment portfolio run by former NASDAQ chair Barry Madoff.
Banker: Excellent my good man, here is your loan.

Time One
Real Estate Developer: Hello my good man, what brings you to my office today?
Banker: The interest rates are going much higher on that loan I gave you.
Real Estate Developer: Whatever for? The target for the Fed Funds rate is at a historic low.
Banker: Well, it's your collateral.
Real Estate Developer: But I put down ... oh, yes I see.

No comments: