Consumer lending efficiency: commercial banks versus a fintech lender

Consumer-Lending Discrimination in the FinTech Era∗

Loan officers may discriminate based on facial features. Algorithmic scoring may imply disparate impact due to the inappropriate use of big data by FinTech lenders. To investigate these discrimination channels, we estimate a treatment-based OaxacaBlinder decomposition based on the unique mortgage-default-risk setting of the GSEs. We find that lenders reject African-American and Hispanic applica...

Recent Developments in Business Lending by Commercial Banks

[note: 1]. C&I loans are business loans not secured by real estate. [emd of note.] Chart 1. R e a l v a l u e o f C & I l o a n s a t b a n k s , 1 9 8 8 2 0 0 3 [the graph starts at about $720 billion in 1988. It goes up to about $760 billion in 1989. It begins the first recession in mid 1990 at about $740 billion and ends the beginning of 1991 at about $710 billion. It goes down to about $620...

Cross-Lender Variation in Home Mortgage Lending

by Robert B. Avery, Patricia E. Beeson, and Mark S. Sniderman Robert B. Avery is an associate professor in the Department of Consumer Economics and Housing, Cornell University, and Patricia E. Beeson is an associate professor of economics at the University of Pittsburgh; both are visiting scholars at the Federal Reserve Bank of Cleveland. MarkS. Sniderman is senior vice president and director o...

X-Efficiency of Commercial Banks in China

This analysis investigates the efficiency of Chinese commercial banks between 1997 to 2002. DEA method is employed to estimate overall cost, technical, allocative, pure technical and scale efficiency scores. In the second stage regression, ownership, market share and technology are chosen as the underlying driving factors. To minimize the bias arising from the inherent dependency problem, the b...

Multi-Component Efficiency with Shared Resources in Commercial Banks