This study examined the factors associated with consumers' decisions to use payday loans. Using a sample of 24,201 respondents from the 2015 National Financial Capability Study (NFCS), structural equation modeling was used to analyze the relationships among the variables. The results indicated...

Financial risk aversion and financial risk tolerance are sometimes considered to be ‘opposite sides of the same coin’, with the implication being that risk aversion (a term describing the unwillingness of an investor to take risks based on a probability assessment) and risk tolerance (an...

We used three financial ratios to measure the financial security of low income households: the liquidity, debt-to-income (DTI), and solvency ratios. Our analytic sample included non-retired households with incomes no greater than three times the poverty threshold as reported by the U.S. Census...