Responsible lending?

We are doomed - apparently - to learn nothing and forget nothing.  Is this sensible?

The Post Office yesterday unveiled its new range of mortgages using the Help to Buy loan guarantee scheme. Using the government support it will offer 95 per cent mortgages to house buyers with small deposits saved up. Its two-year loans will be on offer with an interest rate beginning at 4.95 per cent. The new loans come at a time when the scheme is under fire for boosting the housing boom. But lenders have hit back, noting that most borrowers are outside London’s hotspots.

Doesn't matter where the houses are located,  When interest rates rise and house prices fall, the borrowers will be in financial doo-doo.