Banks are required to prove their loans are affordable. They can only lend someone an amount that they can prove the borrower can afford.

In my experience, rates are not low in the U.S. They are high because high risk loans are able to be granted.

The availability of debt for things like housing and cars is very complicated, but high taxes, a high degree of education, livable minimum wages, and realistic employee rights helps increase stability and decrease risk. I don't say it to be flippant. It is more complex than even I understand. It's only to say that, given that these systems are designed artificial systems, there are multiple implementations that work under various constraints and incentives.