Infographic: Credit card delinquencies on the decline
By Juan Rodriguez and Kristin McGrath | Published: January 3, 2013
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:
- ID thieves covet SSNs over credit card data – Social Security number breaches are outnumbering credit card data breaches 4 to 1 ...
- Poll shows people use their credit cards for everyday needs – Using cards for to earn rewards and as an emergency cushion are also common ...
- Wallets get thinner as U.S. consumers avoid cash – With mobile apps gaining traction as an accepted way to pay bills and other people, cash is taking up residence in fewer and fewer wallets ...