This paper empirically examines the effect of the use of credit scoring by large banking organizations on small business lending in low- and moderate-income (LMI) areas. Using census tract level data for the southeastern United States, the authors estimate that credit scoring increases small...

Credit derivatives are the latest in a series of innovations that have had a significant impact on credit markets. Using a micro data set of individual corporate loans, this paper explores whether use of credit derivatives is associated with an increase in bank credit supply. The author finds...

Commercial loans are a major source of financing for small businesses. To enhance the likelihood of obtaining a commercial loan with the most favorable terms, sufficient information must be made available to the bank loan officer (BLO). Based on a review of the banking literature and a study of...