Why is Clinton "loaning" money to her campaign rather than "donating?"?

Question

Why is Clinton "loaning" money to her campaign rather than "donating?"?

Answer 1

Politicians "loan" money to their campaigns because campaign finance laws prohibit donations of that size.  Often, at the end of the campaign, the "loan" is not repaid, which amounts to a donation.

In effect, she's using a loophole to pay for her campaign.

Answer 2

Cant you just smell corruption brewing?  I think because it would look more like she was actually funding her campaign rather than loaning till the donations come in.

Either way...she's not pulling 32M like O.

Answer 3

She can't claim the $5 million as a tax deduction if she dontates it since political contributions are not deductible.  If she loans it with interest, she is making an investment.  If the campaign later spends it and does not pay it back (to herself), she can declare it as an "investment loss".  She can then use this loss to offset other income she may earn over the next 7 years (i.e. loss carry forward).  It's a great way to make politcal contributions tax deductible.

Answer 4

So she can get it back when others donate. She doesn't want to spend her own money. This way she can keep going and get her money back. If she just pocketed the donations later, it would be illegal..

Answer 5

Lack of self-confidence! She would ask us to donate our money to her campaign but she will not donate to it herself.

Answer 6

What I would like to know is why she didn't empty her own bank book first before asking for donations from the public, I can just imagine how many people donated to her that didn't even have a bank book.......And she gives all her nephews a big allowance every month and tells them to save some of it when many of her blue collar supporters making donations to her campaign cant make their house payment.  We certainly are hard up for Presidential candidates!

Answer 7

She intends on getting the money back.

Answer 8

She's wants it back with interest.

Answer 9

Because "loaning" means they can get it back no matter what.  They want to save their own money rather then take the chance and do something for the people.

Answer 10

I would want my money back as well. This is a common practice. Romney has been using his own money as needed since the beginning.