Shadow Banking in a Crisis: Evidence from Fintech During COVID-19

Autor:	Difang Huang, Zhengyang Bao
Rok vydání:	2021
Předmět:	Economics and Econometrics 2019-20 coronavirus outbreak Coronavirus disease 2019 (COVID-19) Severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2) media_common.quotation_subject Financial system Payment Loan Accounting Pandemic Business Finance media_common Shadow (psychology)
Zdroj:	Journal of Financial and Quantitative Analysis. 56:2320-2355
ISSN:	1756-6916 0022-1090
DOI:	10.1017/s0022109021000430
Popis:	We analyze lending by traditional as well as fintech lenders during COVID-19. Comparing samples of fintech and bank loan records across the outbreak, we find that fintech companies are more likely to expand credit access to new and financially constrained borrowers after the start of the pandemic. However, this increased credit provision may not be sustainable; the delinquency rate of fintech loans triples after the outbreak, but there is no significant change in the delinquency of bank loans. Borrowers holding both loan types prioritize the payment of bank loans. These results shed light on the benefits provided by shadow banking in a crisis and hint at the potential fragility of such institutions when delinquency rates spike.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::e253503745ddd43ad4f9f6bd2ce84e90 https://doi.org/10.1017/s0022109021000430 Zobrazit plný text záznamu Plný text ve formátu PDF