Successfully lending without creditor rights, collateral, or reputation [pdf]

The first 7 pages of this was an absolutely fascinating read.

TLDR; In 1800s China, they had “student loans” for aspiring government officials. The caveat was these officials had to hire a “trusted assistant” into their administration, supplied by the bank. This assistant both ran the province and enforced repayment of the loan. These assistants were also seasoned governing pros. Even though the officials were less experienced, these loans ended up paying the banks greater returns.

Moral of the story: I’ve got the brains, you’ve got the looks. Let’s make lots of money.