Anyone who believes in that old chestnut about the moral arc of the universe bending toward justice has had a rough couple of years. A new report from Reuters, however, might be just enough to keep the faith. President Donald Trump may find himself in a dire financial situation after the election, as Deutsche Bank is reportedly looking to sever ties with the controversial president.
Trump made his name exploiting the period when banks around the country failed to extend credit to the city of New York, finding the teetering metropolis of the mid-'70s to be too much of a risk. He could find himself on the other end of similar bargains if Deustche Bank dusts its hands of the president and his organization. The bank has loaned Trump billions of dollars since the 1990s and currently holds $340 million in Trump Organization debt.
Officials who spoke with Reuters said that the German bank is looking to sell off or demand repayment of the debt, looking to close their relationship with Trump and the scrutiny it brings to the bank. Trump guaranteed those loans personally, against several of his US resort properties. They come due in two years. If the bank finds that Trump cannot repay his loans, they would move to seize his properties. Bank officials worry that this might come to pass, as Trump has paid none of the principal and the resorts themselves are seeing a downturn amid the coronavirus pandemic.
The officials added that they would extend the loans were Trump to win re-election, to avoid the publicity of seizing property from a sitting president.