The digital credit divide: marketplace lending and entrepreneurship

HIGHLIGHTS

SUMMARY

    Tang suggests that marketplace borrowers move from traditional banks to online marketplaces when banks restrict lending, and that marketplace lenders attract borrowers with observably poor credit quality. Within the unsecured consumer loans market segment, Cornaggia et_al find that high risk marketplace loans substitute bank credit whereas low risk loans complement bank lending. Section III briefly discusses differences between banks and marketplace loans, explains why peers lend on these platforms and in addition, whether peer-to-peer lending is able to overcome frictions that banks cannot. Dependent Variable: ESTAB 1 MP_LOANS ETHNICITY DEGREE LATITUDE LONGITUDE . . .

     

    Logo ScioWire Beta black

    If you want to have access to all the content you need to log in!

    Thanks :)

    If you don't have an account, you can create one here.

     

Scroll to Top

Add A Knowledge Base Question !

+ = Verify Human or Spambot ?