The information asymmetry between the borrower and the lender is a well-studied issue in the credit contracts. Various … mechanisms (credit rationing, short-term debt, relationship banking, collateralization) have been discussed in the literature to … reduce the asymmetry. This paper examines the role of credit line in reducing the information asymmetry through better risk …

The information asymmetry between the borrower and the lender is a well-studied issue in the credit contracts. Various … mechanisms (credit rationing, short-term debt, relationship banking, collateralization) have been discussed in the literature to … reduce the asymmetry. This paper examines the role of credit line in reducing the information asymmetry through better risk …

Inaccuracy of borrower-provided information in marketplace loans for credit card debt repayment and consolidation … contains information about credit risk. I identify inaccuracies based on three indicators: consistency of loan amount with … outstanding credit balance, roundness of reported income, and roundness of chosen loan amount. An Inaccuracy Index constructed …

to obtain various kinds of credit certificates. As P2P markets continue to develop, it is plausible that certification …, using unique data from Renrendai, one of the People's Republic of China's largest P2P lending platforms. We find that … surprisingly, loans with more credit certificates experience a higher rate of delinquency and default. However, lenders remain …

the financial health of the contracting parties and uncertainty regarding the borrowers' credit quality. The relative …