Self liquidating loan program

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A type of short- or intermediate-term credit that is repaid with money generated by the assets it is used to purchase.

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Article I, Section 8, of the United States Constitution authorizes Congress to enact "uniform Laws on the subject of Bankruptcies." Under this grant of authority, Congress enacted the "Bankruptcy Code" in 1978.

The repayment schedule and maturity of a self-liquidating loan are designed to coincide with the timing of the assets' income generation.

These loans are intended to finance purchases that will quickly and reliably generate cash.

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