The importance of bank seniority for relationship lending

Stanley D. Longhofer and Joao Santos

No 9808, Working Papers (Old Series) from Federal Reserve Bank of Cleveland

Abstract: The authors examine two aspects of a bank's interaction with its borrowers--the relative priority of bank debt and the role of banks as \"relationship lenders.\" They show that making the bank senior improves its incentives to build a relationship with the firm, thereby fulfilling an important function of intermediated debt.

Keywords: Bank; loans (search for similar items in EconPapers)
Date: 1998
References: Add references at CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
https://doi.org/10.26509/frbc-wp-199808 Persistent Link (text/html)
https://www.clevelandfed.org/-/media/project/cleve ... ship-lending-pdf.pdf Full Text (application/pdf)

Related works:
Journal Article: The Importance of Bank Seniority for Relationship Lending (2000)
Working Paper: The importance of bank seniority for relationship lending (1999)
Working Paper: The importance of bank seniority for relationship lending (1998)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fip:fedcwp:9808

Ordering information: This working paper can be ordered from

DOI: 10.26509/frbc-wp-199808

Access Statistics for this paper

More papers in Working Papers (Old Series) from Federal Reserve Bank of Cleveland Contact information at EDIRC.
Bibliographic data for series maintained by 4D Library ().