Does Opening Complaints Data Change Company and Consumer Behavior? Evidence from the Consumer Financial Protection Bureau

50 Pages Posted: 14 Mar 2017 Last revised: 21 Apr 2017

See all articles by Kweku A. Opoku-Agyemang

Kweku A. Opoku-Agyemang

University of California, Berkeley - Center for Effective Global Action (CEGA); Center for Effective Global Action, University of California, Berkeley; University of California, Berkeley - Department of Electrical Engineering & Computer Sciences (EECS)

Date Written: March 10, 2017

Abstract

I analyze a technological change which improved the public monitoring of financial customer treatment. This major assessment of the Consumer Financial Protection Bureau is based on its exposing credit card-related complaints online while keeping mortgage-related complaints concealed. Exposed companies were more likely to close complaint files while providing explanations and relief to aggrieved consumers and in a timely manner. The transparency policy seems uncompromised by economic inequality. Consumers procrastinate in reporting exposed banks while rewarding exposed banks for their improved behavior with new accounts. Debt remained generally stable. Surprisingly, both consumers and banks benefit when offending banks are exposed online.

The Online Appendix is available here: http://ssrn.com/abstract=2931200

Keywords: financial reform, open data, transparency, credit card, mortgage, Consumer Financial Protection Bureau

JEL Classification: D18, G20, G28, H40

Suggested Citation

Opoku-Agyemang, Kweku A. and Opoku-Agyemang, Kweku A., Does Opening Complaints Data Change Company and Consumer Behavior? Evidence from the Consumer Financial Protection Bureau (March 10, 2017). Available at SSRN: https://ssrn.com/abstract=2929790 or http://dx.doi.org/10.2139/ssrn.2929790

Kweku A. Opoku-Agyemang (Contact Author)

University of California, Berkeley - Center for Effective Global Action (CEGA) ( email )

207 Giannini Hall
Berkeley, CA 94720-3310
United States

Center for Effective Global Action, University of California, Berkeley ( email )

310 Barrows Hall
Berkeley, CA 94720
United States

HOME PAGE: http://www.kwekuopokuagyemang.com

University of California, Berkeley - Department of Electrical Engineering & Computer Sciences (EECS)

Berkeley, CA 94720-1712
United States

HOME PAGE: http://www.kwekuopokuagyemang.com

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
105
Abstract Views
3,755
Rank
462,937
PlumX Metrics