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Nudging credit union members to check their credit: Evidence from a field experiment

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  • L’Esperance, Madelaine

Abstract

In this study, I explore whether emails that alert consumers to freely available credit score increase attention to personal financial accounts. A sample of credit union members are randomly assigned to receive an email message that highlights different motivations for viewing one’s score, including a simple reminder, social information, and monitoring for identity theft and errors. I find that message receipt does not increase attention to credit union accounts overall as measured by online account login activity. However, the messages are effective for subgroups of the sample. Examination of the daily log in data using panel data methods reveals timing of the treatment response. This study shows the potential for messaging interventions to increase attention to financial accounts and implications for policy.

Suggested Citation

  • L’Esperance, Madelaine, 2023. "Nudging credit union members to check their credit: Evidence from a field experiment," Journal of Behavioral and Experimental Finance, Elsevier, vol. 37(C).
    • Handle: RePEc:eee:beexfi:v:37:y:2023:i:c:s2214635022000971
    DOI: 10.1016/j.jbef.2022.100775
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    References listed on IDEAS

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    1. Kaiser, Tim & Lusardi, Annamaria & Menkhoff, Lukas & Urban, Carly, 2022. "Financial education affects financial knowledge and downstream behaviors," Journal of Financial Economics, Elsevier, vol. 145(2), pages 255-272.
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    More about this item

    Keywords

    Personal finance; Consumer attention; Nudge; Credit union;
    All these keywords.

    JEL classification:

    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • G51 - Financial Economics - - Household Finance - - - Household Savings, Borrowing, Debt, and Wealth

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