[skinnymuch]

How would someone’s credit score be messed up forever? Debts are cleared completely after 7 years and have less weight after about half way through that time. Bankruptcy is along the same lines.

So your example isn’t correct.

[taurine]

You still owe any debts after 7 years (up to 15 years in some states). Zombie debt is not "completely clear". But ok, read "mess up your credit score for 7 years" instead. Then point remains: Marginal high-risk credit underwriting is not only dangerous to the institution, but also to the receivers of the loans (and the economy in general). It is socially perverse to hook lower-income people to consumer credit. To have middle-income people lose their house.

[watersb]

Ten years. Maybe. If there are no errors on your credit report.