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This paper studies the dual role of risk managers and loan officers in a bank's organizational structure. Using 75,000 retail mortgage applications at a major European bank from 2008-2011, I analyze the effect of risk management involvement in the loan granting process on loan default rates. In the period under study, the bank requires risk management approval for loans that are considered risky based on hard information, using a sharp threshold that changes during the sample period. Using adoi:10.1093/rfs/hhv040 fatcat:alrviefohvdmhc6kr2cnho3y2i