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dc.contributor.authorBertaut, Carol C.en_US
dc.contributor.authorHaliassos, Michaelen_US
dc.date.accessioned2006-10-11en_US
dc.date.accessioned2009-07-24T13:47:59Z-
dc.date.available2009-07-24T13:47:59Z-
dc.date.issued2005en_US
dc.identifier.piurn:nbn:de:hebis:30-33257-
dc.identifier.urihttp://hdl.handle.net/10419/25485-
dc.description.abstractWe use data from several waves of the Survey of Consumer Finances to document credit and debit card ownership and use across US demographic groups. We then present recent theoretical and empirical contributions to the study of credit and debit card behavior. Utilization rates of credit lines and portfolios of card holders present several puzzles. Credit line increases initiated by banks lead households to restore previous utilization rates. High-interest credit card debt co-exists with substantial holdings of low-interest liquid assets and with accumulation of retirement assets. Although available evidence disputes ignorance of credit card terms by card holders, credit card rates do not respond to competition. There is a rising trend in bankruptcy and delinquency, partly attributable to an increased tendency of households to declare bankruptcy associated with reduced social stigma, ease of procedures, and financial incentives. Co-existence of credit card debt with retirement assets can be explained through self-control hyperbolic discounting. Strategic default motives contribute partly to observed co-existence of credit card debt with low-interest liquid assets. A framework of “accountant-shopper” households, in which a rational accountant tries to control an impulsive shopper, seems consistent with both types of co-existence and with observed utilization of credit lines.en_US
dc.language.isoengen_US
dc.publisherCenter for Financial Studies Frankfurt, Mainen_US
dc.relation.ispartofseriesCFS Working Paper 2006/19en_US
dc.subject.jelG11en_US
dc.subject.jelE21en_US
dc.subject.ddc330en_US
dc.subject.keywordCredit Cardsen_US
dc.subject.keywordDebit Cardsen_US
dc.subject.keywordRevolving Debten_US
dc.subject.keywordConsumer Crediten_US
dc.subject.keywordPortfoliosen_US
dc.subject.stwKreditkarteen_US
dc.subject.stwVerbraucherkrediten_US
dc.subject.stwUSAen_US
dc.subject.stwKreditkarteen_US
dc.subject.stwVerbraucherkrediten_US
dc.subject.stwUSAen_US
dc.titleCredit cards: Facts and theoriesen_US
dc.typeWorking Paperen_US
dc.identifier.ppn518560937en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
dc.identifier.repecRePEc:zbw:cfswop:200619-
Appears in Collections:CFS Working Paper Series, Universität Frankfurt a. M.

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