Meet the New Borrowers
6 Pages Posted: 27 Jun 2007
Credit card lenders have been writing off loans at sharply higher rates since 1995, suggesting that riskier borrowers are acquiring credit cards. What makes the new borrowers riskier - even more than their personal characteristics and attitudes toward debt - is the fact that they carry higher debt burdens and work in occupations where income may be more cyclical.
Keywords: credit cards, borrowers, debt
JEL Classification: G21, E5
Suggested Citation: Suggested Citation