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"This binds the politics much better" than a smaller loan paid up front, he said.
Nevertheless, its lawyers sued WMC, contending WMC held the smaller loan.
The lack of loan defaults may have something to do with the smaller loan amounts.
He said Mr. Kozlowski suggested the full relocation loan after Mr. Belnick approached him about the smaller loan.
He said a smaller loan made sense, given that Lucent was "a quarter of the size it was two and a half years ago".
Anthony Morgan, 33, a hospital cleaner, contacted Wonga last summer when he found himself unable to pay back around £560, a sum that had ballooned from a smaller loan taken out to buy presents for his three children.
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That may be a significant burden for smaller loans.
Meanwhile, the total amount borrowed with these smaller loans fell by less than 2 percent — meaning that even the smallest loans are getting bigger.
They had advanced to the higher loan level after repaying the smaller loans.
Entrepreneurs who are being squeezed are trying to get smaller loans or looking for alternative financing.
The willingness to repay becomes very relevant when you are giving out smaller loans.
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