A student loans scheme (SLS) came into effect recently in Thailand, covering both upper secondary and tertiary level schooling. The central objective of the scheme is social — to increase access of poor students and to prevent student dropout. The loans scheme is highly subsidized owing to the extremely favorable repayment conditions, which in turn calls into question the longer-term financial ...

T he topic of the “credit crunch” received considerable attention during the early 1990s. As a result, several initiatives aimed at eliminating regulatory disincentives to lending were put in place. For example, documentation requirements recently were reduced to the legal minimum for loans to small and medium-sized businesses. Also, examiners and bankers were encouraged to emphasize the charac...

Someone once observed that every decade the real estate industry invents a new vehicle for wealth transfer between the inventors and their investors. During my career we have seen this drama play out many times. New wrinkles in capital markets often lead to disheveled portfolios. In the mid 1970s, major banks seized on the mortgage real estate investment trust (REIT) as a vehicle to make loans ...

one of the main challenges facing the agriculture bank of iran regarding lending loans is the high probability of default by farmers. several factors could be involved in this issue and should be considered in order to control and reduce the risk in the failure of repayment. this study aimed to examine the factors affecting the repayment performance of agricultural loans in the city of maragheh...

This paper examines the impact of government guaranteed small business loans on urban economic growth, and compares the growth impacts of government versus market financed entrepreneurship. OLS estimates indicate a significant and positive relation between the Small Business Administration’s guaranteed loans and metropolitan growth between 1993 and 2002. However, first-difference and instrument...

BACKGROUND Borrowing money is a common strategy to cope with health care costs. The impact of borrowing on households can be severe, leading to indebtedness and further impoverishment. However, the available literature on borrowing practices for health is limited. We explore borrowing practices for paying for health care by the poor in Cambodia and provide a typology, associated conditions, and...

This study presents an intriguing contrast of the ex ante and ex post relations between mortgage securitization and loan performance using a comprehensive dataset from a major national mortgage bank. While the paper supports that the bank applies lower screening efforts on loans that have higher ex ante probability of being securitized, it further shows that loans remaining on the bank’s balanc...

Distinguishing pure supply effects from other determinants of price and quantity in the market for loans is a notoriously difficult problem. Using German data, we employ Bayesian vector autoregressive models with sign restrictions on the impulse response functions in order to enquire the role of loan supply and monetary policy shocks for the dynamics of loans to non-financial corporations. For ...

A lot of confusion and misunderstanding has been created by several commentators on the issue of non-performing loans (NPLs) of banking system. They take the absolute amount of such loans at the current point of time and compare it with the quantum of such loans in October 1999 and make a hue and cry that the situation has deteriorated because the quantum of NPLs has gone up. Such a simplistic ...

This study uses new nationally representative data from the National Financial Capability State-by-State Survey to examine the relationship between state-level alternative financial service (AFS) policies (prohibitions, price caps, disclosures) and consumer use of five AFS products: payday loans, auto title loans, pawn broker loans, refund anticipation loans, and rent-to-own transactions. Looki...