There are many great insights here, but I'll try to speak more directly to your questions:
- How would it affect social interactions and day-to-day business?
- If you are going to 'repair' a mind, you won't stop halfway, right?
We'll address these in reverse order.
I think repair isn't the right word. You also used the word adjust, so I'll go with that. Repair doesn't sit well with me because some things you might 'repair' aren't necessarily wrong. For example, I like to watch anime and read SO sites. Most of us don't think these are bad things, but no one would disagree that making anime and contributing to SO sites are better. Am I a bad person because of that? Most people would say no.
The next issue is that criminality is also subjective. I'll cite scripture from the LDS church to support this point. I'm sure there are other examples that would work better for the wider audience, but alas it is the only thing coming to mind right now.
Be warned: The following is perhaps the most gruesome passage in this book of scripture, though I daresay it is not the most graphic.
For behold, many of the daughters of the Lamanites have they taken prisoners; and after depriving them of that which was most dear and precious above all things, which is chastity and virtue—and after they had done this thing, they did murder them in a most cruel manner, torturing their bodies even unto death; and after they have done this, they devour their flesh like unto wild beasts, because of the hardness of their hearts; and they do it for a token of bravery.
If you skipped the reading, then take my word that the acts condoned by the society in that passage would not be condoned today. (At least, not in my country.)
Now let's assume we're all on the same page, criminality is well defined, and we're only going to adjust criminals. There are ethical issues with adjusting someone "all the way"—At what point are you done remaking the criminal and begin remaking the person?—but let's assume we go all the way. There's still one thing we can't really do much about: agency. The person is still free to choose and be who they want to be. They still have the option of becoming a criminal, again.
Say we resolve that issue by falling on the nurture side of the nature vs nurture debate. People we adjust can't innately choose to return to their criminal ways. This finally brings us to your first question:
How would it affect social interactions and day-to-day business?
It depends on the scope of our definition of criminality. The large the scope the greater the effect. I'm going to suggest that you would see the following in order of increasing scope:
Fear generally decreases
No matter where I go, I have peace of mind that I won't killed, mugged, taken hostage, sold into slavery, etc. Such incidents would become so rare as to not warrant the worry.
Our standards rise
Let me explain this one. The spectrum of murderer to saint, for the common man, narrows down to, say, petty thief to saint. While this is an improvement, the prejudice or opinions we have of major criminals now shifts to minor criminals.
For an analogy, let's use the political spectrum. Let's assume we have a party halfway to the left and another halfway to the right. Both parties are equally moderate, right? Now let's remove the left quarter of the chart. The party on the left is now really close to an edge, and that makes them radical, right?
Similarly, we've artificially adjusted the common man's scale of right and wrong. It's hard to gauge what all this does to society, but I'm going to say we net zero with this.
Good faith abounds
You implicitly trust that no one will do you wrong, and that people try to do well. You don't lock your bike because there is no theft; you come back and it's there or someone took it to the local lost & found.
Altruism is abundant
You care about everybody, and she cares about everybody; Everybody cares about everybody! The ideal culture to support socialism has been born.
For my last point, I'll simply note that this doesn't necessarily make a cookie cutter population. At the highest level you can still have artists and scientists and politicians. You can have the devout and the atheist. Many values may be shared—perhaps all of them—but priorities, personalities, and experiences can make all the difference.