[zanny]

Its actually quite rare to have property repossessed for failing to pay back a, for example, credit card. A majority of debts you take on the lender won't go through channels to use force against you because those are time consuming and expensive on their part.

The way credit scores work in simplest terms and theory is a non-coercive way of punishing people who defraud lenders. When your score tanks and nobody will lend to you anymore so you get punished for not paying your debts without any violence happening.