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DEPOSIT loans describe the insert of an investor in a special form of the redemption. On basis of the DEPOSIT the investor keeps a multiple of his DEPOSIT than loans disbursed after locking of one Tranche as well as further 90 bank days (corresponds approx. 4 - 5 months).

This loan is interest and of grace, since the repayment is made by a foreign bank, the deposited DEPOSIT with that 5 - beleiht, a part of it and from the retained part the repayment and interest retain 10 times gained.

The investors are to then get the remainder, mostly the 5-fold of the DEPOSIT, disbursed.

The term is not undisputed. Critics criticize that the beleihende bank - with consideration of all costs - would have to gain a capital return of several 100% per annum over at the end of the loan a profit to gain, which decreases/goes back to the investor. In several cases it is admits become that DEPOSIT loans were actually disbursed to einezelne investors in the promised height - under the aspect, which the disbursed investors won for your part again new investors for the business. This systematics are well-known also under the term snow ball system. 

From respectable view by credit-oh-reasonable and bankers such high net yields are to be obtained neither short nor on a long-term basis.  
See also
Money market, grey capital market, snow ball system 

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