The government should increase the difficulty of loan applications

Consumerism is on the rise and it is now easier than ever to buy products online. This causes a significant number of credit card usage or loan which could lead to a huge debt that is not possible to be paid. Consequently, there should be a tighter regulation to make lending huge sum of money more challenging. Personally, I find that this is a good approach and I will explain my reasons in the following paragraphs. Firstly, this mechanism protects members of the society. Research shows that people are getting more impulsive when it comes to shopping. As a result, this causes them to borrow large sum of money to purchase things that is not their primary need. This could be problematic if left alone. For example, just imagine that there is a family which uses credit card liberally without any planning and then they got into a huge debt that they cannot pay. Hence, this might lead to the bank seizing their assets, including their home. As a result, there will be an increase of homelessness. This will definitely cause a headache for the government in the long run. However, a stricter regulation can prevent this from happening. Secondly, this will shift the mindset of society. If the citizens of a country tend to buy things impulsively, there needs to be a way to shift their habit. With more regulations in place, it should make them realize that they should earn money instead of just relying on credit cards. This will serve as a wake up call for people before they try and submit a loan application. In conclusion, the regulators should step up and impose more rules to increase the difficulty of borrowing money. This approach will protect themselves and the government.