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Loan repayment was often in cash, bills of exchange and goods. Some debtors repaid their loans by providing the creditor with labour. Alternatively, children or oxen where 'lent' to the creditor. [1] Typical domestic loans were issued for a time period of several months to a few years. The overseas loans were usually issued for 6 months to a year.
A triangular trade occurred in this period: between Africa, North and South America, and Europe; and it worked in the following way: Slaves came from Africa, and went to the Americas; raw materials came from the Americas and went to Europe; from there, finished goods came from Europe and were sold back to the Americas at a much higher price.
The Jewish newcomers, on the other hand, could make high-risk loans to farmers against crops in the field without direct jurisdiction by the Church. [citation needed] They then began to advance payment against the future delivery of grain shipped to distant ports. In both cases they made a profit from the present discount against the future price.
The outcome was a campaign by Alfonso the Battler against Granada in 1125. [17] [73] The crusaders established polities known as the Latin East, because it was impossible to defend Jerusalem in isolation. Despite this, regular campaigns were required in addition to the capability provided by the military orders.
The Muslim population was forced to leave the town. They surrendered the castle and their Christian slaves in exchange for being allowed to carry their goods out of the city. For two days, they were able to sell their properties and the town was resettled with a Christian population. Up until 1487, Antequera was attached to Seville. [75]
As cash flow declined, the United States of America had to rely on European loans to maintain the war effort; France, Spain and the Netherlands lent the United States over $10 million during the war, causing major debt problems for the fledgling nation. Coin circulation had also begun to wane.