[Flammy]

The lenders are not idiots. I'm very sure they either are signed by their families or they have other ways of enforcing collection.

[xyzzy4]

A lot of lenders are idiots. My evidence is the 2008 subprime lending crisis.

[titomc]

2008 subprime lending crisis happened only in America.

Lets think outside of America for this one. Lenders outside America are not idiots. Most of them lend on a solid collateral and someone from the family will have to have co-sign the loan, especially if its a huge sum.

[GFK_of_xmaspast]

You mean the ones who made the bad loans and immediately turned around and sold them to be somebody else's problem?