I don't disagree with you about what lenders want, but I disagree that more oversight (dare I say "nanny state" tactics) is necessary.  At some point customers need to be more responsible to know what they are buying.  The information is there if they cared to look.  I advocate giving full and fair disclosure and letting people make an informed choice.  If they make the wrong choice that should be on the customer and not the company that sold them a good or service.