Actually, the relationship between creditors and debtors is totally distorted when the government is involved. Lenders need to be careful when lending their money, just as borrowers need to be careful when borrowing. When the government is involved there is no responsibility for the lenders as government makes rules to make sure they can always get their money back. On the other side of the coin it encourages reckless borrowing and spending by debtors by distorting the interest rate and encouraging people to get into debt. It's an abdication of responsibility on both sides.