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Event 4. december 2026, 11:00-12:15

BIG­FI/Fin­ance Sem­in­ar with An­dreas Fuster, Uni­ver­sity of Zurich

The De­part­ment of Fi­nan­ce and BIGFI are proud to an­no­un­ce the upco­m­ing se­mi­nar with Andreas Fuster, University of Zurich.

Seminar Details

Tid
4. december 2026, 11:00-12:15
Lokation
Copenhagen Business School
Solbjerg Plads 3
2000 Frederiksberg
Room SPs08
Emner
Finansiering

Please join us for a BIGFI/Finance Seminar with Andreas Fuster, University of Zurich.

Andreas Fuster will present: The Response of Debtors to Rate Changes

Abstract: How borrowers respond to future changes in the interest rate on their debt matters for the transmission of monetary policy and for household financial stability. Combining bank data, a letter RCT, and a survey, we study this question in the context of the German mortgage market, where since 2022 borrowers have faced high interest rates when their rate fixation period ends. We find that borrower actions substantially reduce the impact of higher rates on monthly payments. Survey responses corroborate high informedness and a strong propensity to prepare for rate changes. The letter intervention does not affect rate beliefs but increases awareness of available options and refinancing among borrowers close to expiration of their rate fixation.