Payment Card News

Loss Trends

479 0

Charge-offs for managed outstandings edged up again in November by 10 basis points after a rocky year following the implementation of new bankruptcy rules last fall. The charge-off ratio has oscillated much of this year but seems to be on an upward trend as delinquency points north. According to CardData (www.carddata.com), charge-offs for November rose to 4.19% of managed outstandings, versus 4.09% in October and 7.03% one-year ago. According to FitchRatings, “prime” charge-offs for October were 3.78%, 10 basis points lower than the prior month but up 59 basis points since May. The “prime” 60-plus day delinquency index for October was 2.40%, compared to 2.33% in September.

table{margin-right: auto; margin-left: auto;}.
|_2. CHARGE-OFFS 2006 |
|_. Jan 06: | 6.05% |
|_. Feb 06: | 4.73% |
|_. Mar 06: | 3.75% |
|_. Apr 06: | 3.95% |
|_. May 06: | 4.24% |
|_. Jun 06: | 4.19% |
|_. Jul 06: | 3.99% |
|_. Aug 06: | 3.95% |
|_. Sep 06: | 4.15% |
|_. Oct 06: | 4.09% |
|_. Nov 06: | 4.19% |
|_2. Source: CardData (www.carddata.com) |

Leave A Reply

FREE MONEY SAVING TIPS!
Your Information will never be shared with any third party.