We used to define this using heuristics like limiting loans to amounts that can be serviced on ⅓ of the primary household income.
We could go back to using those rules, the catch is that people desperate for finance will shop around to find a less principled lender, so FOMO leads to acquiring customers who are one bad week away from defaulting.
We could go back to using those rules, the catch is that people desperate for finance will shop around to find a less principled lender, so FOMO leads to acquiring customers who are one bad week away from defaulting.