Home » Most Recent Stories

CREDIT CARD DELINQUENCIES REMAIN ELEVATED, BUT STABILIZING

15 September 2009 by Cullen Roche 0 Comments

Consumer’s haven’t given their credit cards much of a break despite the worst recession in over 75 years.  Consumer credit data remain abysmal, but did show signs of improvement over the first quarter of 2009.  According to  TransUnion, the 90 day late payment rate rose to 1.17% from 1.04% last year.  This was down from 1.32% in the first quarter.  The average balance on U.S. credit cards rose to $5,719 from $5,621 last year.  The second quarter figure showed a slight decline from $5,776 in the first quarter.  TransUnion analyst Ezra Becker sees this as a sign of stabilization:  “We’re coming out of the woods,” Becker said, “even if we’re not out of the woods yet.”

Major credit card issuers showed mixed performance during the quarters with most seeing higher delinquency rates:

  • Discover Financial:- 5.35%, up from 5.28% in July
  • American Express: 4.1%, down from 4.2% in July
  • Capital One: 5.1%, up from 4.83% in July
  • JP Morgan: 4.8%, up from 4.5% in July
  • Bank of America: 7.5%, down from 7.6 in July
Cullen Roche

Cullen Roche

Bio - Coming Soon.

More Posts - Website

Follow Me:
TwitterYouTube

Disclosures - Unless otherwise noted, authors have no positions in any securities mentioned and readers should never consider this to be investment advice. Always consult your financial advisor before acting on any ideas. Comments Guideline - Readers who denigrate authors or other readers will be banned without warning. This site does not tolerate any sort of reader abuse. The goal of this site is to create an environment that is conducive to learning and better understanding of the monetary system and the investment world. We expect readers to behave maturely and responsibly. We welcome and encourage intense and intelligent discourse, but the site adheres to a strict 1 strike policy. While it is your right to speak freely, it is not your right to behave childishly. Above all else, please enjoy the site. It is intended to be used as an educational tool and we hope the intelligent and mature debate will further that purpose. We hope readers will make an effort to respect that goal. Comments with excessive linking or foul language will be moderated before posting.