Spłata zadłużenia kredytowego w ujęciu teoriogrowym
The game theoretic approach to bank credit repayment

Summary/Abstract: The model of collateralized bank credit refunding as the signaling game is presented in the paper. The borrower, knowing the return of the project, makes a decision about an amount repaid. The lender, who does not know the actual return of the borrower’s project, in absence of full debt repayment decides if to renegotiate credit conditions or to seize the collateral. As a result, the asymmetry of information leads to strong repayment contingency on the borrower’s assets liquidation value. The model predictions were verified on the basis of financial data gathered from selected corporations. The interest rate is, according to the theoretical model, inversely dependent on the estimated assets liquidation value of the borrower.

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