What do you think will happen if we pressed the reset button on everyone's credit score?

Every financial institution in the country would be bankrupt (again) in 180 days

Although there are problems with the credit reporting system, there has to be some system in place and lenders/creditors need to be aware if a person has a history of late pays or defaulting.

Zapping out all scores and underlying credit histories would create chaos...and almost all of those with bad scores to begin with would just revert to their old habits and get bad credit all over again.

Consider this: You own a home that you rent out and in this scenario, all credit scores and histories have been wiped out. You let it new tenants who have a long history of evictions and property damage, but because everyone's credit history has been "reset," you were not aware of this. 5 months later the new tenants are done $20K in damage to your home and they've not paid the rent. This is why there has to be some system in place.

That would be ok.

Banks would still look at your credit reports (all three), since that is where the information is

You'd just ruin yours again.