Reply #6: the good and bad...

[MSU_Spartans]

The good:
Accountability- This is like a last chance for these people. If they fail, we seize their assets at what we would pay for them anyway.
Collateral- We measure what we believe to be their worth, and don't offer them a line valued at a penny more.
Returns- If it works, we're guaranteed to get the money back plus interest.

The bad:
Less oversight- We'd be essentially letting the same people who got us into this mess spend the money. However, the difference now is they need to save their own butts, so they should be smarter with it now.