This is a totally fine and ethical arrangement. What makes someone a bad person is if they see that, for whatever reason, these kinds of arrangements are inadequate to meet the needs of people (and particularly children of people) to have a decent life and they do nothing.
High interest rate loans to people who can never repay them don't do much of anything to help actually lift people out of poverty. Being in the loan business is fine, but accepting a world where a kid's entire life is stunted because of who they happen to have been born to is not.
This seems to me almost impossible to change. Of course a child's entire life is hugely affected by genetics and upbringing. That's not even to mention the connections anf opportunity gained through family ties. It may be unfair
(debatable) but it's the way of the world.
Sure, the genetics are not easy to fix, but we can and must fix problems like crushing poverty, shitty infrastructure that poisons kids, and lack of good public education. These are not even remotely intractable problems and its the most ridiculous kind of prevarication to suggest that they are.
High interest rate loans to people who can never repay them don't do much of anything to help actually lift people out of poverty. Being in the loan business is fine, but accepting a world where a kid's entire life is stunted because of who they happen to have been born to is not.