Trump eventually found himself in serious financial trouble. In 1990, due to excessive leveraging, The Trump Organization revealed that it was $5 billion in debt ($8.8 billion by some estimates), with $1 billion personally guaranteed by Trump himself. The survival of the company was made possible only by a bailout pact agreed upon in August of that same year by some 70 banks, allowing Trump to defer on nearly $1 billion in debt, as well as to take out second and third mortgages on almost all of his properties. If it were not for the collective effort of all banks and parties involved in that 1990 deal, Trump’s business would have gone bankrupt and failed.
Could have, would have, should have. But it did not. What ends well is all good.
When you owe the bank $100,000, they own you. When you owe the bank $1,000,000,000 You own the bank.
The banks had no choice, had they not agreed to refinancing and going the extra mile, he would have reorganized in bankruptcy and they would have gotten next to nothing. As it stands he was able to pay them back and is now supposedly a lean debt company owing very little. When Real estate headed south in ‘07-’08 Trump was never under the gun, he was a buyer. That is when he divested from his casinos and bought into golf courses at a discounted price.
In other words he seems to have learned his lesson about over extending.