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FinTech and consumer financial well-being in the information age

By Michaela Pagel, Arna Olafsson & Bruce Carlin
Posted on February 04, 2019

With the advent of the information age, and the surge of FinTech products consumers use we would presume that people are better informed and equipped to make good financial choices. However, beyond measuring the adoption of new technology, actually measuring its economic impact is challenging.

Dr. Michaela Pagel, Dr. Arna Olafsson and Prof. dr. Bruce Carlin analyse how access to information affects individual decision making, and make use of a unique dataset in Iceland. A substantial fraction of the citizens in Iceland use a common on-line platform that consolidates all of their bank account information and transaction histories in one place. They investigate economic outcomes such as payment of financial fees and overdraft interest before and after the introduction of the app Meniga, and show that solely accessing financial information already helps consumers pay less financial fees.

Read the full study report below and find out how FinTech products could improve financial decisions.

Click here for a summary of the report.