• NotMyOldRedditName@lemmy.world
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    7 months ago

    Giving up liquid cash is also bad as it limits your options.

    He can’t use this money for anything else now as he had to collateralize it. He’s still able to earn interest as its his account, but he can’t use it for the election for example. And no one would lend him money against it because he might lose it.

    If he’d been a trustworthy person, he’d still have 100% control of that cash.

    It’s not a good situation to be in for anyone.