Recently, as you know, this practice has come under some regulatory scrutiny. For example, many banks have taken a close look at their practices to ensure that they are subject to appropriate disclosures and are operated in a way that is fair to consumers.
Shin (2010), “Financial intermediaries and monetary economics”, in B. Friedman and M. Woodford (eds. ), Handbook of Monetary Economics, Edition 1, Volume 3, October. ; Maddaloni, A. and Peydro, J.-L. (2010), “Bank risk-taking, securitization, supervision and low interest rates: evidence from US and Euro area lending standards”, Review of Financial Studies, http://www.ecb.europa.eu/pub/pdf/scpwps/ecbwp1248.pdf; Jimenez, G., Ongena, S., Peydro, J.-L. and Saurina, J.