Estimating expected credit losses on banks' portfolios has long been difficult. The issue has become of increasing … develops a measure of the one-year-ahead expected rate of credit losses (ExpectedRCL) that combines various measures of credit … of expected credit losses. ExpectedRCL performs substantially better than net charge-offs in predicting one …

This study develops a timely and unbiased measure of expected credit losses. The expected rate of credit losses … (ExpectedRCL) is a linear combination of various non-discretionary credit risk-related measures disclosed by banks. ExpectedRCL … performs substantially better than net charge-offs, realized credit losses, and fair value of loans in predicting credit losses …

This paper studies whether credit ratings can alleviate the hold-up problem between small opaque firms and informed … expensive bank credit, especially from new and less informed lenders. Consequently, they rely less on the informationally … powerful lender and invest more. We conclude that credit ratings reduce the informational gap between lenders and erode the …

This paper studies the causal effect of gender bias on access to bank credit. We extract an exogenous measure of gender … are more frequently discouraged from applying for bank credit and more likely to rely on informal finance. At the same … not driven by credit risk differences between female- and male-owned firms or by any idiosyncrasies in the set of …

Estimating expected credit losses on banks' portfolios is difficult. The issue has become of increasing interest to …-year-ahead expected rate of credit losses (ExpectedRCL) that combines various measures of credit risk disclosed by banks. It uses cross …-sectional analyses to obtain coefficients for estimating each period's measure of expected credit losses. ExpectedRCL substantially …

We use individual credit histories to study how creditor-friendly repossession rights in auto lending affect borrowers … uncollateralized and collateralized credit, including home mortgage loans. Our findings suggest that creditors' rights can have broad …

further. Our findings indicate that existing regulations may amplify shocks to credit quality during periods of generalized …

of lenders not observing a borrower's true credit score but only seeing an aggregate credit category. We find that … borrower's credit score. This inference is economically significant and allows lenders to lend at a 140-basis-points lower rate … for borrowers with (unobserved to lenders) better credit scores within a credit category. While lenders infer the most …