Impatient people have lower credit scores
December 5, 2011
Yahoo India:
Impatient people default on their mortgages, because they are more likely to chose immediate gain over a larger reward later, researchers say.
‘Most often, the reasons economists put forward are, maybe there was not enough screening for mortgage applicants, or securitization, or other institutional reasons,’ said economist Stephan Meier from the Columbia University.
‘That’s definitely important, but in the end humans make those repayment decisions. So there must be more psychological factors that explain how people make those decisions to default or not,’ said Meier, the journal Psychological Science reported.
Read the whole story: Yahoo India
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