Credit is not cash. Credit is a hedge. You pay a small amount down and have a straddle. You are paying for an option to buy it (pay for it) in the future (call) or selling in the future (put). The problem is that this is a short term option. If you don’t flip it for a profit soon, then long term your continual monthly payment for the option is all loss if prices don’t rise or worse, fall.
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