In 1945, Britain borrowed $4.3 billion from the U.S. That money prevented Britain from going bankrupt after World War II.
In 2006, Britain finally paid off the last of that loan.
But when a country can’t pay off its debts, what happens? TIME explains in the above video.
More Must-Reads from TIME
- Welcome to the Noah Lyles Olympics
- Melinda French Gates Is Going It Alone
- What to Do if You Can’t Afford Your Medications
- How to Buy Groceries Without Breaking the Bank
- Sienna Miller Is the Reason to Watch Horizon
- Why So Many Bitcoin Mining Companies Are Pivoting to AI
- The 15 Best Movies to Watch on a Plane
- Want Weekly Recs on What to Watch, Read, and More? Sign Up for Worth Your Time
Contact us at letters@time.com