How does Congress go about borrowing money?

Answer 1

Bonds. When people buy bonds, they are essentially giving the government a loan which the government promises to repay. This is the primary mechanism through which the government borrows money.

Answer 2

Here's where the Government is different from individual people and businesses. When the Government borrows money, it doesn't go to the bank and apply for a loan. It "issues debt." This means the Government sells Treasury marketable securities such as Treasury bills, notes, bonds and Treasury inflation-protected securities (TIPS) to other federal government agencies, individuals, businesses, state and local governments, as well as people, businesses and governments from other countries. Savings bonds are sold to individuals, corporations, associations, public and private organizations, fiduciaries, and other entities.

Here is how Treasury securities - such as savings bonds - generally work. People lend money to the Government so it can pay its bills. Over time, the Government gives that money, plus a bit extra, back to those people as payment for using the borrowed money. That extra money is "interest."

Answer 3

The government will either ask a different government or a large multinational bank for funds. The money lender will assess the risk of lending to the government and if the risk is low enough they will lend the money.

Answer 4

Bonds. When people buy bonds, they are essentially giving the government a loan which the government promises to repay. This is the primary mechanism through which the government borrows money.

Answer 5

By going to the IRS. Our money in the gov'ts pockets.

The government can borrow money by bonds.

Answer 6

By selling securities and bonds.