I think the problem may be that many people see the word 'Ponzi' and jump to the conclusion that it's a Ponzi _scheme_, rather than a Ponzi borrowing situation.

I think the problem may be that many people see the word 'Ponzi' and jump to the conclusion that it's a Ponzi _scheme_, rather than a Ponzi borrowing situation. Not that I'm the most financially savvy person, but I've never heard the phrase Ponzi borrowing before. Until I read the comments, I glossed it as 'Ponzi scheme'. It completely makes sense, once I read the comments.