Post
By Cory Doctorow (GPG 0xBF3D9110957E5F4C)
doctorow.pluralistic.net
did:web:pluralistic.net
The reason the risk premium exists is that poor borrowers have a harder time paying their loans. That can be good, up to a point: if you're Klarna and you're originating loans to people Chipotle lunches on the installment plan, you *want* your borrowers to miss several payments.
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2026-07-25T11:07:15.201Z