Under-refinancing limits the transmission of accommodative monetary policy to the household sector and costs mortgage holders in many countries a significant fraction of income annually. We test whether targeted communication can reduce the attention frictions that inhibit transmission by...

This paper analyses the role of interest rate expectations in determining a household’s selection of mortgage product. We use a bespoke survey of 1,484 mortgage holders conducted by the Central Bank of Ireland to investigate the choice between safe fixed rate and risky adjustable rate...