The effectiveness of Poland's new consumer credit requirements and their role in overcoming an information asymmetry between lenders and borrowers
by Maria Lissowska
International Journal of Economic Policy in Emerging Economies (IJEPEE), Vol. 2, No. 3, 2009

Abstract: The paper focuses information asymmetry suffered by the borrowers in consumer credit contracts. It analyses the impact of Poland's Consumer Credit Act of 2001 on the information asymmetry. Information available to borrowers has been enhanced under the new law. Banks publish their effective annual rates of charge, but some important information is still incomplete. The standardised information requirements did not narrow the range of loans. A negative relationship exists between the effective annual rate of charge and guarantees required by banks. However, the differentiation of effective rates for similar credits revealed deficiencies of understanding of information by the borrowers.

Online publication date: Thu, 24-Dec-2009

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Economic Policy in Emerging Economies (IJEPEE):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com