Big payday loans make economic sense
Bonuses for large loans are a current trend in payday loan lending circles. As discussed in this blog, larger payday loans have a lower default rate. Offering a bonus for […]
Read MoreRecent payday loan research
Adams, William, Liran Einav, and Jonathan Levin. 2009. “Liquidity Constraints and Imperfect Information in Subprime Lending.” American Economic Review 99 (1): 49-84. Agarwal, Sumit, Paige Marta Skiba, and Jeremy […]
Economists find that larger payday loans lead to LOWER default rates
Economists, Will Dobbie and Paige Mart Skiba, in their paper, use data from Payday lenders in a number states to estimate an econometric model of the payday loan model. Their […]
