similar data processing systems, possess "general" signals regarding the borrower's quality. However, the specialized bank …

precision (quality), capturing the emerging trend in fintech/non-bank lending where traditionally subjective ("soft … similar data processing systems possess hard signals about the borrower's hard fundamentals, and the specialized bank, who … fundamentals. We show that hardening soft information levels the playing field for the non-specialized bank by reducing its winner …

We study information acquisition and dynamic withdrawal decisions when a spreading rumor exposes a solvent bank to a … run. Uncertainty about the bank's liquidity and potential failure motivates depositors who hear the rumor to acquire … additional noisy signals. Depositors with less informative signals may wait before gradually running on the bank, leading to an …