Thursday, December 28, 2006

Brits finally pay off WWII loans

Tomorrow, Britain will pay off its World War II loan debt to America and Canada.

On Friday, Britain will transfer 43 million pounds ($84 million) to the U.S. Treasury, according to Bloomberg News Service, the final payment on a debt used to finance the World War II defeat of Adolf Hitler and Nazi Germany.

The original loan was for $4.34 billion in 1945. Canada loaned $1.07 billion. At the time, the Brits expected a generous gift, not a loan, but grudgingly accepted it .... because they had no choice.

You know, they say you should never loan money to family, but despite their debt, the Brits have remained our closest allies over the past 60 years. One wonders how many other nations have kept up their mortgage payments over the past six decades.

4 comments:

Jill said...

And just what would we do if we decided to call in our notes? What if everyone who owned Treasury bills wanted their money? Too bad that mountain of money the British paid won't help our bottom line.

Love, Rita said...

I would be interested in finding out how many other nations owe the United States money? What is the amount each of them owes? What do we do about delinquencies? (I betcha we don't send nasty little collection letters threatening lawsuits and/or garnishment, as do our domestic consumer creditors!!)

Hmmm...maybe more research??

Chancelucky said...

I suspect that it wouldn't come close to covering what we would owe if China happened to call in our debt to them.

Ron Franscell said...

Yes, it's worth noting that the USA is a debtor nation. We're akin to the single mom with a master's degree who lives with her 12 kids in a trailer park and is 3 hours away from losing her job as a convenience-store clerk.