use of collateral in bank loan contracts as well as the exist-ence of relational compared to arm's length lending. In this … neither confirm that a high priority for secured lenders explains an excessive use of collateral in bank loans nor that a … priority for inside collateral promotes relational lending. Regarding relational lending we point to variables lying outside …

This paper analyses the role of collateral in loan contracting when companies are financed by multiple bank lenders and … the view that collateral is a strategic instrument intended to influence the bargaining position of banks. Our result …

illiquid but solvent borrowers only) against the security of sound collateral and at above-market, penalty interest rates. Deny … tarnished collateral and/or purchasing assets of questionable value, in bailing out insolvent borrowers, in extending its …