If you’ve ever been late paying a credit card bill, you know just how persistent creditors can be. And it seems that persistence scales even when the debtor is a national government. Argentina has been dealt a major blow in its ongoing fight against creditors, as the United States Supreme Court has rejected the country’s appeal against a lower court ruling that prevents them from making bond payments in the U.S. if they refuse to pay a group of hedge funds that would not take restructured debt following the country’s 2001 default.
The news could spell another potential financial crisis for Argentina. The Wall Street Journal reports that since the decision will block payment on bonds, the country will now need to decide whether to reach a deal with debtors or default on its bond payments.