Shocked by Bank Funding Shocks: Evidence from Consumer Credit Cards

• 成果类型: Article
• 署名作者: Chava, Sudheer; Ganduri, Rohan; Paradkar, Nikhil; Zeng, Linghang
• 署名单位: University System of Georgia; Georgia Institute of Technology; Emory University; University System of Georgia; University of Georgia; Babson College
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhad039
• 发表日期: 2023
• 页码: 3906
• 关键词: monetary-policy; BEHAVIOR; transmission; consumption; constraints; selection; CRISIS

摘要

Using the near universe of U.S. consumer credit cards, we show that banks transmit their wholesale funding shocks to consumers by reducing their credit card limits. Credit-constrained consumers who are unable to hedge against the transmitted shock by accessing other credit cards experience a stronger and more persistent reduction in aggregate credit card limits at the consumer level. Consequently, these credit-constrained consumers reduce their aggregate credit card borrowing. Our results document a credit card lending channel for the transmission of adverse bank shocks and show who bears the costs of fragile bank funding structures. Authors have furnished an , which is available on the Oxford University Press Web site next to the link to the final published paper online.