I don't see how you call this a scam. The bank should do due diligence before handing out the loan. It's not like the bank is forced to hand out money for bad deals.
I don't disagree, it is always a question of degree. One party sees a 'scam', the other a failure of the first party to do more diligence. Some see separating poorly informed people from their money as a business, other see it as an injustice that needs to be corrected.
