Author: Richard HynesPublisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 52
Book Description
Bankruptcy Exemptions and the Market for Mortgage Loans
Author: Richard HynesPublisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 52
Book Description
Bankruptcy and the Market for Mortgage and Home Improvement Loans
Author: Emily Y. LinPublisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 23
Book Description
Bankruptcy Exemptions, Credit History, and the Mortgage Market
Author: Souphala ChomsisengphetPublisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 27
Book Description
"We develop and test a model of mortgage underwriting, with particular reference to the role of credit bureau scores. In our model scores are used in a standardized fashion, which reflects the prevalence of automated underwriting in industry practice. We show that our model has implications for the debate on the effect of personal bankruptcy exemptions on secured lending. Recent literature (Berkowitz and Hynes (1999), Lin and White (2001)) has developed conflicting theories & —and found conflicting results & —seeking to explain how exemptions affect the mortgage market. By contrast, our model implies that when lenders use credit scores in a standardized manner, exemptions should be irrelevant to the mortgage underwriting decision. Merging data from a major credit bureau with the Home Mortgage Disclosure Act (HMDA) dataset, we confirm this prediction of our model. We also show that while ignoring borrower credit quality may make exemptions appear to be significant, once one controls for credit scores then exemptions have no effect on the likelihood that a mortgage application is approved. We confirm this empirically and argue that this may help explain some of the results of the previous literature"--Federal Reserve Bank of Philadelphia web site.
Effects of Bankruptcy Exemptions and Foreclosure Laws on Mortgage Default and Foreclosure Rates
Author: Chintal A. DesaiPublisher:
ISBN:
Category :
Languages : en
Pages :
Book Description
This study analyzes the effects of state bankruptcy asset exemptions and foreclosure laws on mortgage default and foreclosure rates across different segments of the mortgage market. We found that the effects of these legal provisions are larger for sub-prime than for prime mortgages and larger for adjustable rate mortgages than for fixed rate mortgages. These results demonstrate that the effects of variation in bankruptcy exemptions and foreclosure laws is most pronounced in the most risky segments of the mortgage market, which are those that have been most affected by the continuing housing slump in the United States.
Cramdowns of Residential Real Estate Mortgages in Chapter 13 Bankruptcies
Author: United States. Congress. Senate. Committee on the Judiciary. Subcommittee on Courts and Administrative PracticePublisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 130
Book Description
Household Credit Usage
Author: B. W. AmbrosePublisher: Springer
ISBN: 0230608914
Category : Business & Economics
Languages : en
Pages : 293
Book Description
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.
Straightening Out the Mortgage Mess
Author: United States. Congress. House. Committee on the Judiciary. Subcommittee on Commercial and Administrative LawPublisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 88
Book Description
Three Essays on Consumer Bankruptcy and Exemptions
Author: Richard Mark HynesHelping Families Save Their Homes in Bankruptcy Act of 2009 and the Emergency Homeownership and Equity Protection Act
Author: United States. Congress. House. Committee on the JudiciaryPublisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 176
Book Description
Personal Bankruptcy and Credit Supply and Demand
Author: Reint GroppPublisher:
ISBN:
Category : Bankruptcy
Languages : en
Pages : 64
Book Description
This paper examines how personal bankruptcy and bankruptcy exemptions affect the supply and demand for credit. While generous state-level bankruptcy exemptions are probably viewed by most policymakers as benefitting less-well-off borrowers, our results using data from the 1983 Survey of Consumer Finances suggest they increase the amount of credit held by high-asset households and reduce the availability and amount of credit to low-asset households, conditioning on observable characteristics. We also find evidence that interest rates on automobile loans for low-asset households are higher in high exemption states. Thus, bankruptcy exemptions redistribute credit toward borrowers with high assets.