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Credit-card delinquencies (usually one of the first indicators of future losses) have fallen to...

Credit-card delinquencies (usually one of the first indicators of future losses) have fallen to the lowest levels of the year at BofA (BAC), Discover (DFS) and Capital One (COF). Charge-off rates are still historically high but are improving, and loan portfolios are still shrinking.
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Comments (5)
  • bbro
    , contributor
    Comments (10402) | Send Message
     
    BAC 90+ delinquency rate 3.02%....lowest level since
    November 2008....
    15 Nov 2010, 11:10 AM Reply Like
  • Tony Petroski
    , contributor
    Comments (6373) | Send Message
     
    "Credit-card delinquencies (usually one of the first indicators of future losses)"

     

    Source? Making this up as you go along?

     

    You're right, but don't get ahead of yourself.
    15 Nov 2010, 11:12 AM Reply Like
  • Gary A
    , contributor
    Comments (3156) | Send Message
     
    The key is loan portfolios are still shrinking.
    15 Nov 2010, 11:16 AM Reply Like
  • Duude
    , contributor
    Comments (3398) | Send Message
     
    Credit card delinquencies can only go down if credit is being withdrawn as opposed to being extended. Even those that have paid their bills on time and are long time good customers have seen part of their credit withdrawn. This is perhaps one of the brightest results of the financial crisis. Far too many people have applied the, "If I still have checks how can I be broke" philosophy to their credit cards. Its a shame so many couldn't cut their credit card usage on their own, but this works.
    15 Nov 2010, 01:05 PM Reply Like
  • Josh ODonnell
    , contributor
    Comments (229) | Send Message
     
    Thats because all of these people filed for bankruptcy, so of course the deliquency rate went down...
    15 Nov 2010, 04:09 PM Reply Like
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