# Debt Versus Money Summary::Explain the difference between debt and money. See my comments in:[[Money as Debt, Mostly Fiction]] Explain the difference between debt and money. This distinction provides the foundation for the reputation of the concept that money equals debt.. Money, as I have described another blog posts, consists of a commodity it or a claim on a commodity used for the purpose of indirect exchange. Whether using the actual commodity or the claim on a commodity, money always consists of a current good. It is accessible to the holder immediately. Debt — including bank loans, bonds, notes — consists of a claim in the future. This future claim is entirely different than the immediate claim represented by money. Just because the bank "borrower" creates a note payable to the bank at approximately the same instant that the bank provides an immediate claim in no way makes them equivalent. Somehow or another people have become confused by the removal of the commodity money that another bank asset must be substituted in its place. I can find no other reason why they think that debt equals money. This distinction provides the foundation for the refutation of the concept that money equals debt.