Consumer Payment Card News

Card Delinquents

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Credit card delinquencies, based on total dollars outstanding, rose for the third consecutive quarter, soaring to nearly 6.7%. Consumers are working hard to get their financial houses in order by spending less, saving more and paying down debt. But thereâs still a bumpy road ahead with many people unemployed and family budgets stretched to their limits. According to the American Bankers Association’s “Consumer Credit Delinquency Bulletin,” delinquencies based on total dollars outstanding for 3Q/09 were 6.69%, compared to 6.58% in the second quarter and 4.74% for 3Q/08. Based on the number of accounts past-due, the figures were 4.77% for 3Q/09, 5.01% for 2Q/09, and 4.20% one-year ago.

                   3Q CREDIT CARD DELINQUENCY HISTORY
                  (based on total dollars outstanding)
                              1980: 3.40%
                              1985: 3.15%
                              1990: 4.01%
                              1995: 4.21%
                              2000: 3.93%
                              2005: 3.74%
                              2006: 3.50%
                              2007: 4.00%
                              2008: 4.74%
                            2009: 6.69%
                    Source: ABA Delinquency Bulletin

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