That's a common misconception (on the level of "katakana is for loan words"):
I switched my televi off and rode my autobike from my mansion to the cleaning to pick up my Y shirt because my car's front glass broke. On the way home I stopped at the conveni.
Televi: TV Autobike: motorcycle Mansion: apartment Cleaning: dry cleaning Front glass: windshield Conveni: Conveni-ence store
> Chinese loanwords are more garbled, with different methods of assigning them random chinese characters.
This was standard in Japanese too (ateji). It is more common now to just make a loanword, but if someone doesn't learn them they may be confused about why Japanese abbreviate America as "rice".
米 US from 亜米利加 A ME RI KA (亜 is for Asia) eg 米軍 (US military) or 米ドル (US dollar)
(I used to think 美国 was descriptive since it didn't sound phonetic, until I came across 米国 and was confused as to why anyone would describe the US as "rice country", and then I learned that both were phonetic, but for the "me" in "america")
Bit of a stretch IMO - the pronunciation and usage can still often be different enough to trip you up, especially when you consider there are non-English loanwords on occasion (e.g. playing Persona 5, it took me far too long to realise that ルブラン, which I naively transliterated as ruburan, was actually the French "Le Blanc").
Your conception on the writing systems is quite weird, consistency (if any) is the same, I would say. I do not get what you mean by characters being "traditional" or not.
Chinese loanwords are more garbled, with different methods of assigning them random chinese characters. And the Japanese use Latin characters to mark pronunciations also, minus the tone markings. (Let me introduce you to -- bopomofo)