{"id":1169,"date":"2023-03-17T19:55:26","date_gmt":"2023-03-17T19:55:26","guid":{"rendered":"https:\/\/wfdfi.org\/knowledgehub\/?p=1169"},"modified":"2025-01-28T12:13:33","modified_gmt":"2025-01-28T17:13:33","slug":"consumer-loans-heterogeneous-interest-rates-and-inequality","status":"publish","type":"post","link":"https:\/\/wfdfi.org\/en\/consumer-loans-heterogeneous-interest-rates-and-inequality\/","title":{"rendered":"Consumer Loans, Heterogeneous Interest Rates, and Inequality"},"content":{"rendered":"","protected":false},"excerpt":{"rendered":"<p>Using the Brazilian administrative credit registry data with the universe of all<br \/>\nconsumer loans originated by banks in the country from 2013 to 2019, we document<br \/>\nhigh borrowing interest rates, which vary systematically with individual\u2019s<br \/>\ncharacteristics. In particular, even after controlling for several observable<br \/>\nindividual attributes (such as income, occupation, and default probabilities,<br \/>\nlow-income), individuals pay higher interest rates than high-income borrowers.<\/p>\n","protected":false},"author":6,"featured_media":1172,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21,150,74,107,123,170],"tags":[126,59,20,146,115],"class_list":["post-1169","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economic-development-stability","category-economy","category-policy-governance","category-publications","category-quality-of-life","category-risk","tag-banks","tag-development","tag-economic-development","tag-policies","tag-risk-management"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Consumer Loans, Heterogeneous Interest Rates, and Inequality - World Federation of Development Financing Institutions<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/wfdfi.org\/en\/consumer-loans-heterogeneous-interest-rates-and-inequality\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Consumer Loans, Heterogeneous Interest Rates, and Inequality - World Federation of Development Financing Institutions\" \/>\n<meta property=\"og:description\" content=\"Using the Brazilian administrative credit registry data with the universe of all consumer loans originated by banks in the country from 2013 to 2019, we document high borrowing interest rates, which vary systematically with individual\u2019s characteristics. In particular, even after controlling for several observable individual attributes (such as income, occupation, and default probabilities, low-income), individuals pay higher interest rates than high-income borrowers.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/wfdfi.org\/en\/consumer-loans-heterogeneous-interest-rates-and-inequality\/\" \/>\n<meta property=\"og:site_name\" content=\"World Federation of Development Financing Institutions\" \/>\n<meta property=\"article:published_time\" content=\"2023-03-17T19:55:26+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-01-28T17:13:33+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/wfdfi.org\/wp-content\/uploads\/2023\/04\/IADB-Consumer-loans.png\" \/>\n\t<meta property=\"og:image:width\" content=\"464\" \/>\n\t<meta property=\"og:image:height\" content=\"579\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Kevin Fiestas\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@WFDFI_\" \/>\n<meta name=\"twitter:site\" content=\"@WFDFI_\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Kevin Fiestas\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/wfdfi.org\/consumer-loans-heterogeneous-interest-rates-and-inequality\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/wfdfi.org\/consumer-loans-heterogeneous-interest-rates-and-inequality\/\"},\"author\":{\"name\":\"Kevin Fiestas\",\"@id\":\"https:\/\/wfdfi.org\/#\/schema\/person\/49bedd2aae6309f033268e80c67fb360\"},\"headline\":\"Consumer Loans, Heterogeneous Interest Rates, and Inequality\",\"datePublished\":\"2023-03-17T19:55:26+00:00\",\"dateModified\":\"2025-01-28T17:13:33+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/wfdfi.org\/consumer-loans-heterogeneous-interest-rates-and-inequality\/\"},\"wordCount\":7,\"publisher\":{\"@id\":\"https:\/\/wfdfi.org\/#organization\"},\"image\":{\"@id\":\"https:\/\/wfdfi.org\/consumer-loans-heterogeneous-interest-rates-and-inequality\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/wfdfi.org\/wp-content\/uploads\/2023\/04\/IADB-Consumer-loans.png\",\"keywords\":[\"Banks\",\"Development\",\"Economic Development\",\"Policies\",\"Risk Management\"],\"articleSection\":[\"Economic Development \/ Stability\",\"Economy\",\"Policy \/ Governance\",\"Publications\",\"Quality of Life\",\"Risk\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/wfdfi.org\/consumer-loans-heterogeneous-interest-rates-and-inequality\/\",\"url\":\"https:\/\/wfdfi.org\/consumer-loans-heterogeneous-interest-rates-and-inequality\/\",\"name\":\"Consumer Loans, Heterogeneous Interest Rates, and Inequality - 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