In their pioneering work, Musto and Souleles (Journal of Monetary Economics 53(1):59–84, <CitationRef CitationID="CR19">2006</CitationRef>) apply portfolio theory to consumer lending. This paper extends their work by analyzing three county-level credit outcome betas. We use the probability of default calibrated from the credit score, the...</citationref>

This paper reviews the behavioral literature on inter-temporal choice and decision making under uncertainty and assesses the evidence on behavioral influences affecting consumers' credit decisions. The evidence reviewed suggests that consumers often do not consider all information available in...