Ethnographic Perspective on Loans

Abstract

The results of the research show that loans have a deep impact in not only the lives of borrowers but also the lives of loan officers. For borrowers, loans are tools that can generate vast economic mobility but can also generate negative emotions and financial burdens. For loan officers, it is unveiled that social and cultural capital both play an impactful role in the lending process, and the relationship between a borrower and a loan officer has a deep impact on financial outcomes. A focused understanding of the relationship between institutional banks and smaller community focused banks further reveals the trade-off between a focus on profits and personalized relationships in the industry. A deeper understanding of loans as being both economic, social and cultural tools is achieved through a combination of ethnographic interviews along with literature reviews