The Obama campaign, while leading in most September polls, took out a $15 million loan from Bank of America that is due to be repaid on Nov. 14, or eight days after the 2012 elections.
The campaign will owe a 2.5% interest rate plus the current Libor rate, according to a report by The Blaze published Saturday.
Pundits are asking why Obama’s campaign, the only candidate to ever pledge to raise a billion dollars, needed to run out and get a $15 million loan with the election close at hand.
Others, including many posts on Twitter, are comparing Obama’s late campaign loan to his presidency that has signed off on nearly $6 trillion in deficit spending.
“[President Obama] seems to accumulate debt with everything he touches,” one Twitter user wrote. "Others jokingly said they were 'shocked' that a president who oversaw the downgrade of the U.S. credit rating couldn’t oversee a campaign budget," according to The Blaze.
While campaign loans are not unusual, Obama’s connections to Bank of America are politically charged. Warren Buffett, Obama donor and namesake of the infamous “Buffett Rule,” invested $5 billion in Bank of America, ostensively to help the ailing financial institution recover from a bad economy. Then, in September, two weeks after OFA took out the loan, Bank of America announced a plan to lay off 16,000 workers by the end of the year.
Also, Bank of America contributed $20 million toward the cost of the Democrat National Convention in Charlotte while Bank of America stadium, home to the Carolina Panthers, was scheduled to host Obama’s acceptance speech.
The campaign switched to a significantly smaller venue days before the DNC convention, citing concerns about the weather, however bad weather never materialized.
The Democratic National Convention was hyped as the first campaign “to make history” by pledging to only use money donated by private individuals. However FEC reports caused problems for the Obama campaign and Democrats when it reported the DNC received no less than $5 million in corporate donations to conduct the convention.