[torginus]

I've always told people that social credit as used by China was unsed to track dishonest businesses who scammed people and/or other businesses by breaking agreements and not delivering as promised.

The fact there's a credit system that protects banks from the people makes it painfully obvious who is in charge of Western society - consider this:

You take out a loan to contract the company to build you a house. The company defaults and disappears overnight. The bank is protected automatically but it's up to you have to run after your money yourself.

[slightwinder]

> I've always told people that social credit as used by China was unsed to track dishonest businesses who scammed people and/or other businesses by breaking agreements and not delivering as promised.

To be fair, that's the outcome. But there has been attempts to make more problematic, more intrusive, darker versions of this. They just never worked out for technical or ethical/legal reasons. And they made a nice picture to frame the competing culture, darker than they are.

[greyw]

If your borrow money and give it to someone else and that someone else loses it how is it the borrower's fault or even problem?

[torginus]

It's not the borrowers fault, and in case of banks, it's not even their problem thanks to credit score and extensive guarantees built into the system.

However when I'm paying for some work to be done in the future, I'm essentially lending the contractor money predicate on the work being done by a certain deadline, quality or even at all.

So I'm the lender until the job is done, and if the borrower defaults on this it's not my fault, but certainly my problem.

[greyw]

Sorry I meant lender.

Anyway my point is that if you become a lender for a nontrivial sum of money it might sense to hedge that risk (insurance, credit risk entrustment, ...)

[skeezyboy]

> The bank is protected automatically but it's up to you have to run after your money yourself.

oh yeah and whos guaranteeing borrowers for these banks? source would be nice but I bet you dont reply