Leaving Money on the Kitchen Table: Exploring Sluggish Mortgage Refinancing Using Administrative Data, Surveys, and Field Experiments

Refinancing a mortgage is an important, complicated decision. We examine offers reducing payments $204 monthly on average, at little cost. Administrative data from about 800,000 borrowers shows that more than 50% do not refinance. Surveys and three field experiments show this costly mistake is related to suspicion and time preferences.



Citation:

Eric Johnson, Stephan Meier, and Olivier Toubia (2016) ,"Leaving Money on the Kitchen Table: Exploring Sluggish Mortgage Refinancing Using Administrative Data, Surveys, and Field Experiments", in NA - Advances in Consumer Research Volume 44, eds. Page Moreau, Stefano Puntoni, and , Duluth, MN : Association for Consumer Research, Pages: 179-184.

Authors

Eric Johnson, Columbia University, USA
Stephan Meier, Columbia University, USA
Olivier Toubia, Columbia University, USA



Volume

NA - Advances in Consumer Research Volume 44 | 2016



Share Proceeding

Featured papers

See More

Featured

Globalizing from the Periphery: The Role of Consumer Paratextual Translation

Angela Gracia B. Cruz, Monash University, Australia
Yuri Seo, University of Auckland, New Zealand
Itir Binay, Monash University, Australia

Read More

Featured

Narrative Transportation and Cognitive Responses: The Other Side of the Story

Rebecca Krause, Northwestern University, USA
Derek Rucker, Northwestern University, USA

Read More

Featured

G10. The Effects of self-construal on evaluations of brand logo colors

Eunmi Jeon, Sungkyunkwan University
Myungwoo Nam, Georgia Tech, USA

Read More

Engage with Us

Becoming an Association for Consumer Research member is simple. Membership in ACR is relatively inexpensive, but brings significant benefits to its members.