Private Credit Funds Owe Banks $349B as PIK Use Rises
More borrowers are paying interest with added debt, while funds still face cash obligations to banks, creating a potential channel for wider financial-market stress.
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More borrowers are paying interest with added debt, while funds still face cash obligations to banks, creating a potential channel for wider financial-market stress.
The finding challenges an income-only view of consumer strength, showing why cash flow matters even among high earners.