Financiers, dislike equity investors, seek to avoid uncertainty and lend against existing cash flows or earnings, taking security in case these flows are lost for some reason.

Therein financiers require less return than equity investors and do. It enjoy any upside, only receiving the stipulated interest and principal in return, even if having to enforce security.

So if security is not available due to a ban, loans for personal use or small to medium business may disappear, as their cash flows or earnings are less certain that day major corporations. This the effect would be that loans would only be available to corporations.

A borrower enjoys the benefit of having much higher capital at lower cost than equity to achieve their goals. Typically in society banks provide this service transferring wealth from the old to the young to build wealth.