Deutsche Bank Thought Trump Might Default On Loan, Mulled Deferment Until 2025

The CEO of Germany's biggest lender Deutsche Bank Christian Sewing addresses the media during the company's annual financial statement at its headquarters in Frankfurt, Germany, on February 01, 2019. - Deutsche Bank ... The CEO of Germany's biggest lender Deutsche Bank Christian Sewing addresses the media during the company's annual financial statement at its headquarters in Frankfurt, Germany, on February 01, 2019. - Deutsche Bank reported a 2018 bottom line in the black for the first time in four years, with a cost-cutting drive delivering results even as revenues fell. The firm reported 267 million euros ($305 million) net profit, compared with a loss of 751 million in 2017. (Photo by Daniel ROLAND / AFP) (Photo credit should read DANIEL ROLAND/AFP/Getty Images) MORE LESS

Executives at Deutsche Bank — which House Democrats plan to probe over its financial dealings with President Trump — considered pushing back repayment dates for Trump Organization loans until 2025, after a possible second term for Trump, Bloomberg News reported.

According to people with knowledge of the conversations who spoke to Bloomberg, executives were worried the Trump Organization might default on about $340 million in loans while Trump was in office, so they considered the deferment, but ultimately decided against it. Instead, the bank decided it wouldn’t take on any new business with the Trump Organization while he’s in office.

Eric Trump, who’s the executive vice president of the company while Trump is President, called the developments “nonsense” in an email to Bloomberg.

“We are one of the most under-leveraged real estate companies in the country,” he told Bloomberg. “Virtually all of our assets are owned free and clear, and the very few that do have mortgages are a small fraction relative to the value of the asset. These are traditional loans, no different than any other real estate developer would carry as part of a comparable portfolio.”

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