Recent research on multi-loan lending operations has remained largely silent on the question of what ties together the retail banking functions of scale and scope lending. Our main point is that in a sense, they are just two different manifestations of banking expansion. This is especially true to the extent that banks are heavily involved in consolidation-based lending. In a multi-loan call pr...

How do banks react to increased interbank competition? Recent banking theory offers conflicting predictions about the impact of interbank competition on bank orientation i.e., the choice of relationship based versus transactional banking and bank industry specialization. We empirically investigate the impact of interbank competition on bank orientation and specialization. We employ a data set c...

This study investigates the relationship between the borrowing firm’s abnormal loan announcement return and the lending bank’s monitoring ability. We use new, well-specified proxies for the bank’s monitoring ability to isolate and examine the effect of superior monitoring on the value added to the borrower. A number of recent studies have suggested that bank loan relationships, and hence the re...

Fintech lending is an alternative vehicle to traditional lending. In the modern industry, fintech will play a vital role as it ensures banking everywhere. The ecosystem in India improving every day and by 2023 emerge key source. RBI issued detailed guidelines this regard Sept, 2022 ensure transparent fair mechanism at low cost. providing new opportunities borrowers investors lower cost, greater...

Although policymakers often discuss tradeoffs between bank competition and stability, past research provides differing theoretical perspectives and empirical results on the impact of competition on risk. In this paper, we employ a new approach for identifying exogenous changes in the competitive pressures facing individual banks and discover that an intensification of competition materially boo...

We develop an empirical approach for identifying comparative advantages in bank lending. Using matched credit-export data from Peru, we first uncover patterns of bank specialization by export market: every country has a subset of banks with an abnormally large loan portfolio exposure to its exports. Using outliers to measure specialization, we use a revealed preference approach to show that ban...

In recent years, there has been a significant growth in the number of online microlending sites that connect individuals to small businesses led by low-income citizens. This type of social lending platforms allow individuals from all over the world to explore large online databases of businesses that require small loans to succeed; and citizens without access to formal banking systems to borrow...

We examine the relationship between female board representation and cost of lending, using a dataset 13,714 loans from 386 banks matched with 2432 non-financial firms 1999 to 2013. find that directors command lower loan spreads. In addition, independent have stronger impact on lowering spreads compared directors' other attributes. However, as build relationships their lenders this effect become...