Default resolution and access to fresh credit in an emerging market
We examine loan defaults by firms and identify the factors that influence both the default resolution process and firms' access to fresh credit after firms exit default. Using a dataset of all commercial loans made in Pakistan from 2006 to 2013, we find an important role for collateral. Collate...
| Main Authors: | , , |
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| Format: | Journal Article |
| Published: |
Elsevier BV
2016
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| Online Access: | http://hdl.handle.net/20.500.11937/51473 |
| _version_ | 1848758706684035072 |
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| author | Hussain, Inayat Durand, Robert Harris, Mark N. |
| author_facet | Hussain, Inayat Durand, Robert Harris, Mark N. |
| author_sort | Hussain, Inayat |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | We examine loan defaults by firms and identify the factors that influence both the default resolution process and firms' access to fresh credit after firms exit default. Using a dataset of all commercial loans made in Pakistan from 2006 to 2013, we find an important role for collateral. Collateral expedites both the default resolution process and access to fresh credit after exiting default. Higher interest rates increase the default duration. Relationships with multiple lenders as well as those with multiple branches of one lender are associated with obtaining fresh credit at the post default stage. |
| first_indexed | 2025-11-14T09:48:15Z |
| format | Journal Article |
| id | curtin-20.500.11937-51473 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-14T09:48:15Z |
| publishDate | 2016 |
| publisher | Elsevier BV |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-514732018-07-02T00:42:02Z Default resolution and access to fresh credit in an emerging market Hussain, Inayat Durand, Robert Harris, Mark N. We examine loan defaults by firms and identify the factors that influence both the default resolution process and firms' access to fresh credit after firms exit default. Using a dataset of all commercial loans made in Pakistan from 2006 to 2013, we find an important role for collateral. Collateral expedites both the default resolution process and access to fresh credit after exiting default. Higher interest rates increase the default duration. Relationships with multiple lenders as well as those with multiple branches of one lender are associated with obtaining fresh credit at the post default stage. 2016 Journal Article http://hdl.handle.net/20.500.11937/51473 10.1016/j.pacfin.2016.06.009 Elsevier BV fulltext |
| spellingShingle | Hussain, Inayat Durand, Robert Harris, Mark N. Default resolution and access to fresh credit in an emerging market |
| title | Default resolution and access to fresh credit in an emerging market |
| title_full | Default resolution and access to fresh credit in an emerging market |
| title_fullStr | Default resolution and access to fresh credit in an emerging market |
| title_full_unstemmed | Default resolution and access to fresh credit in an emerging market |
| title_short | Default resolution and access to fresh credit in an emerging market |
| title_sort | default resolution and access to fresh credit in an emerging market |
| url | http://hdl.handle.net/20.500.11937/51473 |