In conclusion, loans without collateral have many problems, and I am surprised that the OP is looking to provide lending services even though he has a red tag on his profile due to his accusation of “Liar and collateral scammer.”
Giving loan without collateral is very risky, many reputed members have not repaid with small amount loan, even the amount was very small according to his rank. If you go to the Scam accusations board, you can see how many defaulters there are. And those loans were without collateral. So that it is easy for those scammers to take loans from those lenders and leave the forum.
This user will approve a 50% loan with collateral from the borrower, meaning he will have 50% more amount of money with the lender than the borrower's loan. It is risky to send collateral to such a low rank member, even if he gives a loan to a borrower with collateral, he has 50% extra funds than the loan, which means he will be profitable even if he runs away with the collateral money.
So the feedback given on his profile is reasonable, and that's what he intended.