Infographic: Credit card delinquencies on the decline
Delinquent payments on credit cards hit an 18-year low in the third quarter of 2012, according to numbers from the American Bankers Association (ABA). Credit card payments more than 30 days late fell to 2.75 percent of all payments, a low not seen since 1994.
In the chart below, similar downward slides are evident in auto loan delinquencies and delinquencies overall. It's the result of recession-weary consumers trying to shed debt, said James Chessen, ABA's chief economist, in a news release.
"Consumers are paying close attention to their finances as they continue to pay down debt in an uncertain economy," Chessen said. "The conservative approach consumers have taken to credit over the last several years has allowed them to better manage their debt and better position themselves for the future."
Delinquencies on home equity loans are the only ones on a rise. As with other types of loans, delinquecies on home equity loans spiked when the recession hit in 2008. Unlike other types of loans, though, the delinquency rates on home equity loans have not fallen back down.
See related: Life cycle of a delinquent credit card account
To use the graphic on your site, use the following code:
- Millennials go mobile to manage their money – and check their credit scores – Nearly half of U.S. millennials use their smartphones to check their credit scores. And a majority of young adults use their phones for a variety of other financial activities ...
- Consumers putting themselves at risk with unsafe online habits – A new study by AARP finds only 4 in 10 American adults have set up online access to all their bank accounts, and only 57 percent have done so with their credit card accounts ...
- What would college football fans sacrifice to fund their fandom? – A new survey by SunTrust Banks reveals nearly half of college football fans would stop dining out in order to fund one season of fandom ...