Cheesy Collateral Keeps Italian Credit Flowing

Italian banks use cheese as a loan collateral. (Bloomberg News)
can take that red sox nation. we go on to italy where one italian bank is helping its customers survive the credit cris. here is daniel lester with a tasty tale of alternative finance. >> since the middle ages, parmesan cheese has been played a pungent part in italian cuisine. it takes two years to mature. regional lender has been using it as loan collateral since the 1950’s. today the bank stores 250,000 maturing chunks of cheese in a valt. securitizing their cheese is the only way to survive. >> this is not only a good mechanism. it is essential. it is our life blood if we want to stay in business. the bank doesn’t risk anything. >> and it is not just the banks that can smell the profit in parmesan. early they are year, organized crime pulled off a daring cheese heist from the bank’s valts. >> the thief came in from that window over there and made a big hole in the wall. they loaded th



Found Country:US