In the present paper through an empirical analysis it will be pointed out what was claimed by Powell et al. (2004) that is credit information about bank clients can reduce bank risk. The present sample covers all industrial world. Data are taken from World Bank. The elaboration of these panel...

Using a novel data set, we study the soft information in subprime mortgages that is not verifiable by a third party, and its relationship with mortgage default. We find that lender effort to collect soft information is intertwined with borrower self-selection into subprime mortgages. We employ...

The current banking crisis highlights the challenges faced in the traditional lending model, particularly in terms of screening smaller borrowers. The recent growth in online peer-to-peer lending marketplaces offers opportunities to examine different lending models that rely on screening by...