Hughes, Joseph P.; Jagtiani, Julapa; Moon, Choon-geol - In: Financial innovation : FIN 8 (2022), pp. 1-39
risk and lending inefficiency, respectively. As of 2013 and 2016, we find that the higher NPL ratios at the largest banks … are driven by inherent credit risk, rather than lending inefficiency. Smaller banks are less efficient. In addition, as of … 2013, LendingClub's observed NPL ratio and lending efficiency were in line with banks with similar lending volume. However …