A large literature on the effects of bank consolidation focuses on direct efficiency gains for participating banks and market power effects. The special nature of credit markets suggests that indirect informational effects for borrowers may be generated by bank consolidation. In particular, borrowers that depend on relationship-based lending may face a reduction in credit availability because s...

due to the increasing importance of internet banking and the critical actions taken by banks in order to offer internet banking services in iran and also according to the increasing number of people using internet banking services, it is essential for bank marketers to understand internet banking customers better. only through this comprehension the marketers are able to develop strategies and ...

Abstract We analyze lending by traditional as well fintech lenders during COVID-19. Comparing samples of and bank loan records across the outbreak, we find that companies are more likely to expand credit access new financially constrained borrowers after start pandemic. However, this increased provision may not be sustainable; delinquency rate loans triples but there is no significant change in...

The bank recovery and resolution directive (BRRD) regulates the bail-in hierarchy to resolve distressed banks in European Union (EU). Using staggered BRRD implementation across 15 member states, we identify banks’ capital cost responses subsequent pass-through borrowers towards surprise elements due national transposition details. Average costs increase heterogeneously countries with strongest ...

Consolidation in the banking industry of many countries has reduced the number of small banks and led to significant shifts in market shares; deregulation has fostered entry in local credit markets and branch expansion, which in turn have increased competition. Small businesses are believed to be more vulnerable to these changes since they are more dependent on credit from local banks. In this ...

This paper analyses the effect of the capital structure of lenders on the capital structure of their borrowers. We provide new evidence on the capital structure determinants of non-financial firms and contribute to the discussion on the effect of the financial sector on the real economy. Using syndicated loan contracts, we identify the most important lenders for each borrower and construct a pr...

We present a banking model with imperfect competition in which borrowers’ access to credit is improved when banks are able to transfer credit risks. However, the market for credit risk transfer (CRT) works smoothly only if the quality of loans is public information. If the quality of loans is private information, banks have an incentive to grant unprofitable loans in order to transfer them to o...