Search results for " loan"

La nueva oportunidad de la hipoteca inversa

2021

The reverse mortgage is a credit or loan guaranteed by a mortgage that falls on the applicant?s habitual residence, granted at once, or through periodic benefits, to a person who must be over a certain age or prove a degree of disability or dependency, and is not due until the time of death. In view of the doubts that the future of the public pension is raising and the concentration of savings in Spanish property, the reverse mortgage is once again being put on the table as a viable alternative to complement a public pension with little revaluation, in view of the increase in life expectancy and expenses after retirement.

- CREDIT RISK AND EFFICIENCY IN THE EUROPEAN BANKING SYSTEMS: A THREE-STAGE ANALYSIS

1999

Increased competition and the attempts of European banks to increase their presence in other markets may have affected the efficiency and credit risk. The first of this aspects is based on the incentive to the banks to reduce cost in order to gain in competitiveness. The second is associated to their lack of knowledge of such markets and/or acceptance of a higher risk in order to increase their market share. Despite the importance of these aspects, banking literature has usually analyzed the effects of competition on the efficiency of banking systems without considering these aspects. The few studies that attempt to obtainrisk adjusted efficiency measures do not consider that part of the ri…

The impact of corporate characteristics on the financial decisions of companies: Evidence on funding decisions by Italian SMEs

2015

Small and medium enterprises (SMEs) represent a large percentage of the corporate tissue of developed countries, but they do not have adequate attention. In fact, various researchers have focused their studies on larger and well-known companies. This paper aims to investigate the impact of corporate characteristic on the financial choices of SMEs, with a specific focus on agro-food micro companies. Access to finance is vital in business start-up, development and growth for SMEs, all with very different needs and facing different challenges in terms of finance compared to large companies. The lack of equity invested in small enterprises makes them more dependent on other external sources (e.…

ARE LAC COOPERATIVE AND COMMERCIAL BANKS SO DIFFERENT IN THEIR MANAGEMENT OF NON‐PERFORMING LOANS?

2018

This paper assesses technical efficiency in the management of non‐performing loans (NPLs) in the Latin American and Caribbean (LAC) banking industry. To that end, Data Envelopment Analysis techniques are employed with data from the years 2013 to 2016 on a sample of 307 LAC cooperative and commercial banks. Our main contribution to existing literature is that differences of efficiency between cooperative banks and commercial banks are assessed as the result of the different capacities of their managers – managerial efficiency – and the so‐called programme efficiency, which represents differences in the technology used by these two categories of entities. Our principal result suggests that th…

Geographic diversification and credit risk in microfinance

2019

Abstract This paper examines the relation between geographic diversification and credit risk in microfinance. The empirical findings from the banking industry are mixed and inconclusive. This study extends the discussion into a new international setting: the global microfinance industry with lenders having both social and financial objectives. Using a large global sample of microfinance institutions (MFIs), we find that geographic diversification comes with more credit risks. However, this finding is more pronounced among non-shareholder MFIs like NGOs and cooperatives, compared to shareholder-owned MFIs. Moreover, the results show that MFIs can mitigate the effect of geographic diversifica…

Excessive Focus on Risk? Non-performing Loans and Efficiency of Microfinance Institutions

2021

Discrimination by microcredit officers: Theory and evidence on disability in Uganda

2015

This paper studies the relationship between a microfinance institution (MFI) and its loan officers when officers discriminate against a particular group of micro-entrepreneurs. Using survey data from Uganda, we provide evidence that loan officers are more biased than other employees against disabled micro-entrepreneurs. In line with the evidence, we build an agency model of a non-profit MFI and a biased loan officer in charge of granting loans. Since incentive schemes are costly and the MFI's budget is limited, the MFI faces a trade-off between combating discrimination and granting loans. We show that the optimal incentive premium is a non-decreasing function of the MFI's budget. Moreover, …

Latvijas komercbanku kredītu analīze

2016

Bakalaura darbs “Latvijas komercbanku kredītu analīze” ir veltīts komercbanku izsniegto kredītu analīzei un izpētei, kā arī izpratnei par kredītrisku un to pārvaldīšanu. Darba mērķis ir izanalizēt Latvijas komercbanku izsniegtos kredītus, izdarīt secinājumus un sniegt priekšlikumus. Bakalaura darba uzdevumi: •izzināt kredītportfeļa būtību un nepieciešamās kredītpolitikas pamatprincipus; •izpētīt kredīta funkcijas un kredīta klasifikāciju; •raksturot kredītu veidus; •izpētīt kredītrisku, to ietekmējošos faktorus un pārvaldīšanu; •izanalizēt izsniegto kredītu struktūru Latvijā: to apjomu, struktūru pēc aizņēmēja veida, pēc termiņa, pēc valūtu un pēc nozaru griezuma, pēc nodrošinājuma un kvali…

Financial incentive to prepay in fixed-rate mortgages

2004

The borrower's financial incentive to prepay is a crucial determinant in estimating prepayment in mortgage pools and, consequently, in valuing mortgage-backed securities. In mortgage prepayment literature, this incentive to prepay has been proxied by both the ratio of the loan rate to the refinancing rate and by the arithmetic spread between the two rates; however, the former is considered to be a better proxy of the refinancing incentive than the latter by a section of the literature. In this paper, the authors check the accuracy of that statement and subsequently estimate two prepayment functions using, alternatively, the two proxies. The results indicate that the use of the ratio does no…

Financing public higher education in developing countries : the potential role of loan schemes

1986

The financing of education has emerged as a major topic of discussion among policy makers in recent years. There is evidence that in many developing countries, governments can no longer continue to increase spending on education at the high rates characteristic in the 1960s and 1970s. The macroeconomic environment has worsened, and there is keen intersectoral competition for public funds. Thus unless educational development moves away from its present heavy dependence on public funds, the expansion of education would be frustrated. One policy option is to increase the private financing of education. In this paper, we evaluate the potential effectiveness of loans schemes as a cost recovery i…