Non-performing loans (NPLs) rate is one of the main risks in commercial banks and is also a critical measure of the bank's financial performance and stability. Banks meet the growth rate of NPLs when the debtors are not able to meet their financial obligations in terms of repayment of loans....

We use fair value adoption as a quasi-natural experiment to examine the effect of hard information on credit supply through a contracting channel. After fair value adoption, usage of financial covenants depending on capital-based fair value treatments significantly declined. Capital-based...

For the emerging peer-to-peer (P2P) lending markets to survive, they need to employ credit risk management practices that ensure an investor base that is profitable in the long-term. In this paper, we propose a profit scoring decision support system that is dynamically updated and based on...

The authors analyze how data in public credit registries can be used both to strengthen bank supervision and to improve the quality of credit analysis by financial institutions. Empirical tests using public credit registry (PCR) data were performed in collaboration with the central banks in...