Impact of mobile banking on small business lending after bank branch closures

IF 7.2 1区 经济学 Q1 BUSINESS, FINANCE Journal of Corporate Finance Pub Date : 2024-05-15 DOI:10.1016/j.jcorpfin.2024.102593
Ye Wang , Shuang Wu
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Abstract

We provide new evidence on the substitute role of mobile banking in small business lending after banks close branches. Compared to the matched bank-counties with similar economic conditions and bank financials, small business lending in the treatment counties decreases 0.064 million (equivalent to 18.8%) less after branch closings for banks with mobile apps than banks without mobile apps. The effect is more pronounced in high-income census tracts and for high-rated apps, suggesting that high-income customers and customers whose banks provide better mobile apps are less affected when banks close branches. We do not find a significant impact of having apps on small business lending when banks increase the number of branches. However, the effect of having mobile apps increases with closed branches' years of service. Our results imply that bank branches are still important in providing credit to the local communities. Mobile banking helps preserve the existing customer-bank relationship but cannot reduce information asymmetry.

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银行关闭分行后移动银行对小企业贷款的影响
我们就银行关闭分支机构后手机银行对小企业贷款的替代作用提供了新的证据。与经济条件和银行财务状况相似的匹配银行县相比,有移动应用程序的银行在关闭分行后,处理县的小企业贷款比没有移动应用程序的银行少减少 0.64 亿美元(相当于 18.8%)。这种影响在高收入人口普查区和高评级应用程序中更为明显,这表明当银行关闭分行时,高收入客户和银行提供更好的移动应用程序的客户受到的影响较小。当银行增加分行数量时,我们没有发现拥有应用程序对小企业贷款的重大影响。然而,拥有移动应用程序的影响随着关闭分行的服务年限而增加。我们的研究结果表明,银行网点在向当地社区提供信贷方面仍然很重要。移动银行业务有助于维护现有的客户-银行关系,但无法减少信息不对称。
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来源期刊
Journal of Corporate Finance
Journal of Corporate Finance BUSINESS, FINANCE-
CiteScore
11.80
自引率
3.30%
发文量
0
期刊介绍: The Journal of Corporate Finance aims to publish high quality, original manuscripts that analyze issues related to corporate finance. Contributions can be of a theoretical, empirical, or clinical nature. Topical areas of interest include, but are not limited to: financial structure, payout policies, corporate restructuring, financial contracts, corporate governance arrangements, the economics of organizations, the influence of legal structures, and international financial management. Papers that apply asset pricing and microstructure analysis to corporate finance issues are also welcome.
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