In reply to: Thats kind of sickening posted by The Mean Farmer
There’s nothing physical to repossess when the borrower defaults. It’s an entirely unsecured loan, which is why rates are high and you cannot discharge the loans in BK.
when the debtor goes to pay back the loan, he/she has already received the benefit of having the loan.
People don't like to pay for something that they aren't currently benefiting from.