The 10th International P2PFISY Workshop 2024 is being held in Dubai Learn More
Christoph Bertsch
Isaiah Hull
Xin Zhang
Sveriges Riksbank
2016
Fed Liftoff and Subprime Loan Interest Rates: Evidence from the Peer-to-Peer Lending Market

On December 16th of 2015, the Fed initiated “liftoff,” raising the federal funds rate range by 25 basis points and ending a 7-year regime of near-zero rates. The authors use a unique dataset of 640,000 loan-hour observations to measure the impact of liftoff on interest rates in the peer-to-peer lending segment of the subprime market.