Card-issuing banks saw their card delinquencies rise in the forth quarter of 2008, but not as much many thought they would, according to the American Bankers Association’s Consumer Credit Delinquency Bulletin.ABA Chief Economist James Chessen said the figures are the latest sign that the U.S. economy is experiencing the worst recession since the mid 1970s.“Clearly, we are seeing a rapid economic decline in all regions and in most business sectors,” Chessen said. “It’s a steeper downslide than in previous recessions because consumers are saving more and spending less.”Credit card delinquencies increased from 4.20% to 4.52% but remain near the four-year average of 4.47%. Chessen said the ability of cardholders to adjust their monthly payments-unlike other loans with fixed payments-has helped keep credit card delinquencies relatively stable.Home equity loan delinquencies also rose 40 basis points to 3.03% of accounts, setting a new record. Home equity lines of credit delinquencies also reached a new record, rising 31 basis points to 1.46%. Every category saw rising delinquencies except mobile home loans. The ABA report defined delinquency as a payment 30 days or more overdue.–[email protected]

Complete your profile to continue reading and get FREE access to, part of your ALM digital membership.

Your access to unlimited content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including and

Already have an account?


© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.


Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including and

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2024 ALM Global, LLC. All Rights Reserved.