I didn't purposely take loans, however I was forced to automatically take them when I ran out of money.
I do now see my problem. I'm under the force limit, but my maintenance sliders are maxed, which is costing me a fortune I don't need to pay. If I drop those sliders to zero, I'll stop losing money.
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. Plough all monies into the Trade Tech (and grab a Trade Tech advisor if you can - you should have a high cultural level due to the gilded icon decision you took early on) to get QFTNW and start colonising the Canary Islands, Cape Verde and Azores first, building them up to cities before moving on. Once they core, go for the tip of Brazil to get an easy port for your exploring ships to get back to while exploring the Caribbean. Discover and colonise the whole Caribbean but DO IT SLOWLY, say five at a time maximum, no-one will race you there.


