In response to growing interest in household finance, this collection of essays with a foreword by John Y Campbell, studies household and consumer use of credit instruments. It shows how individual consumers and households utilize various credit alternatives in managing their consumption and savings and suggests areas for future research.
Household Finance and the Financial Decision-Making Process by Sumit Agarwal and Brent W. Ambrose 3
2 Recent Developments in the Credit Card Market and the Financial Obligations Ratio by Kathleen W. Johnson 13
3 Whither Consumer Credit Counseling by Robert M. Hunt 37
4 Consumption, Debt, and Portfolio Choice: Testing the Effects of Bankruptcy Law by Andreas Lehnert and Dean Maki 55
5 Collateral and Sorting: An Empirical Investigation of the Market for HELOCs by Shubhasis Dey and Lucia Dunn 79
6 Asymmetric Information and the Automobile Loan Market by Sumit Agarwal and Brent W. Ambrose and Souphala Chomsisengphet 93
7 Introductory Credit Card Offers and Balance Switching Behavior of Cardholders by Tufan Ekici and Lucia Dunn and Tae Hyung Kim 117
8 An Exploration of Usage of Personal Credit Cards by Small Businesses by Grace Kim 133
9 Debit Cards: The New, Old Way to Pay by Marc Anthony Fusaro 149
10 Linkages between Consumer Payments and Credit by Sujit Chakravorti 161
11 Payday Lending: Evolution, Issues, and Evidence by Katherine A. Samolyk 175
12 Do Renters Miss the Boat? Homeownership, Renting, and Wealth Accumulation by C. Tsuriel Somerville and Paulina Teller and Michael Farrell and Yosh Kasahara and Li Qiang 203
13 Choosing between Fixed- and Adjustable-Rate Mortgages by Monica Paiella and Alberto Franco Pozzolo 219
14 Interest Rates in the Sub-Prime Mortgage Market by Souphala Chomsisengphet and Anthony Pennington-Cross 237
15 Default and Prepayment Risk in Residential Mortgage Loans: A Review and Synthesis by Michael LaCour-Little 253
16 Statistical Analysis and Modeling for Fair Lending and Compliance: The OCC's Perspective by Mark Pocock and Irene Fang and Jason Dietrich 269