Interesting, I understand how a bond would be considered selling debt but a straight up bank loan is also considered selling debt? In the former there is something being sold by the company but in the latter its actually being something bought by the company. Are they both considered selling debt because of how the accounting is done? Or am I being too literal with interpretation? Thanks.
Bank loans are not that different from bonds, yes you are selling debt to the bank who is buying it. Debt is an asset that is bought and sold around the world just like stocks or magic cards.
Most loans are then immediately resold by your bank to some other bank, unless you're at a tiny credit union it's unlikely the bank will keep that debt asset on their books.
There's a distinction between bank loans and debt. Bank loans can be called by the bank if you no longer meet their loan terms, so loans are much riskier for the borrower than debt. Debt is less risky but usually more expensive.
