I think the article clearly states the reason for this. There is a lack of formal credit scores or collateral making it difficult to assess loan-worthiness. Co

I think the article clearly states the reason for this. There is a lack of formal credit scores or collateral making it difficult to assess loan-worthiness. Combine that with the fact that a disabled phone is no good for the owner or the lender, there is a substantial risk involved. And interest rates are nothing but a measure of risk premium.