Yes, entitlement is the problem:

You aren't entitled to having a loan repaid if the interest rate is too high.

...or if you loan too much money to someone who won't be able to afford it.

...or if you expect someone in a lower income bracket to pay more than X% of their income.

Common-sense laws that loosened bankruptcy and regulations on repayment amounts would fix student loans, credit cards, bad mortgages, and payday lending. Why do we always blame the person taking out the loan? The lender should have the expertise to know if a person is capable of repayment and should bear the burden of making predatory loans.