My understanding is the essentially take out loans indefinitely using their assets as collateral. Loans to pay back previous loans, etc. The 'grift' is that w

My understanding is the essentially take out loans indefinitely using their assets as collateral. Loans to pay back previous loans, etc. The 'grift' is that when they die, their inheritors are able to sell off said collateral to pay off the debt avoiding any cap gains on those sales due to the step-up basis after death.