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This tradition an almost uniquely US phenomenon. "Around the world, people are less forgiving about debt forgiveness than they are in the United States" [0] No

This tradition an almost uniquely US phenomenon. "Around the world, people are less forgiving about debt forgiveness than they are in the United States" [0] Now consider the implications of a globalized economy where consumption in rich countries is underwritten by debt peonage. "The International Labour Organization (ILO) estimates that $51.2 billion is made annually in the exploitation of workers through debt bondage".[1] [0] https://www.bc.edu/content/dam/files/schools/law/lawreviews/journals/bciclr/28_1/01_TXT.htm https://www.bc.edu/content/dam/files/schools/law/lawreviews/... [1] https://en.wikipedia.org/wiki/Debt_bondage#South_Asia_2 https://en.wikipedia.org/wiki/Debt_bondage#South_Asia_2

mbg721 5y ago
My understanding is that home mortgages are also more borrower-friendly in the US than elsewhere (e.g., fixed interest rates for 30 years).
- PeterisP 5y ago
  Another aspect of how home mortgages are more borrower-friendly in US is that in many states of USA if you default on your mortgage, then after foreclosure the debt is considered settled; while in many other countries the mortgage is just "extra" collateral, so if you default then the mortgaged property is auctioned, but if the proceeds do not cover the whole debt, the remainder still has to be paid in due term and/or accrues extra penalty interest; so a housing bubble followed by a mortgage crisis hits borrowers more and banks less.