Retail deposit fees and multimarket banking
Abstract
This paper reports a systematic examination of the determinants of deposit-related retail banking fees using a set of survey data that is unusual for its size, specificity, and sampling properties. The analysis focuses explicitly on six different fees associated with checking accounts and automated teller machine (ATM) usage. A preliminary analysis documents that, on average, multimarket banks charge substantially higher fees than do typically smaller, single-market banks. A more detailed econometric analysis yields results consistent with predictions of recent models. In particular, it finds that the greater the presence of multimarket banks in the local market, the higher are the retail deposit fees of single-market banks (except in highly concentrated markets) and the weaker is the positive relationship between those fees and market concentration.(This abstract was borrowed from another version of this item.)
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Bibliographic Info
Article provided by Elsevier in its journal Journal of Banking & Finance.
Volume (Year): 30 (2006)
Issue (Month): 9 (September)
Pages: 2561-2578
Contact details of provider:
Web page: http://www.elsevier.com/locate/jbf
Related research
Keywords:Other versions of this item:
- Timothy H. Hannan, 2005. "Retail deposit fees and multimarket banking," Finance and Economics Discussion Series 2005-65, Board of Governors of the Federal Reserve System (U.S.).
References
References listed on IDEASPlease report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- H. Damar, 2009. "Why Do Payday Lenders Enter Local Markets? Evidence from Oregon," Review of Industrial Organization, Springer, vol. 34(2), pages 173-191, March.
- Massoud, Nadia & Saunders, Anthony & Scholnick, Barry, 2011. "The cost of being late? The case of credit card penalty fees," Journal of Financial Stability, Elsevier, vol. 7(2), pages 49-59, June.
- Nathan H. Miller, 2008. "Competition When Consumers Value Firm Scope," EAG Discussions Papers 200807, Department of Justice, Antitrust Division.
- Timothy H. Hannan & Robin A. Prager, 2006.
"The profitability of small, single-market banks in an era of multimarket banking,"
Finance and Economics Discussion Series
2006-41, Board of Governors of the Federal Reserve System (U.S.).
- Hannan, Timothy H. & Prager, Robin A., 2009. "The profitability of small single-market banks in an era of multi-market banking," Journal of Banking & Finance, Elsevier, vol. 33(2), pages 263-271, February.
- Pavel Dvorak & Jan Hanousek, 2009. "Paying for Banking Services: What Determines the Fees?," CERGE-EI Working Papers wp388, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
- Örs, Evren & Rice, Tara, 2007. "Bank Imputed Interest Rates: Unbiased Estimates of Offered Rates?," CEPR Discussion Papers 6036, C.E.P.R. Discussion Papers.
- Hannan, Timothy H., 2007.
"ATM surcharge bans and bank market structure: The case of Iowa and its neighbors,"
Journal of Banking & Finance,
Elsevier, vol. 31(4), pages 1061-1082, April.
- Timothy H. Hannan, 2005. "ATM surcharge bans and bank market structure: the case of Iowa and its neighbors," Finance and Economics Discussion Series 2005-46, Board of Governors of the Federal Reserve System (U.S.).
- Hirtle, Beverly, 2007.
"The impact of network size on bank branch performance,"
Journal of Banking & Finance,
Elsevier, vol. 31(12), pages 3782-3805, December.
- Beverly Hirtle, 2005. "The impact of network size on bank branch performance," Staff Reports 211, Federal Reserve Bank of New York.
- Evren Örs & Tara Rice, 2006. "Bank imputed interest rates: unbiased estimates of offered rates?," Working Paper Series WP-06-26, Federal Reserve Bank of Chicago.
- Brian T. Melzer & Donald P. Morgan, 2009. "Price-increasing competition: the curious case of overdraft versus deferred deposit credit," Staff Reports 391, Federal Reserve Bank of New York.
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