Chase said the amount of charge offs – credit card debt more than 90 days behind – it dealt with in October was the lowest for any single month this year, according to an Associated Press report. Between September and October, the rate tumbled from 7.78 to 7 percent. The highest rate observed this year was 10.91 percent, which was reported in January.
As charge offs fell, so too did delinquencies, though at a lesser rate, the report said. The number of credit card accounts that were 30 days or more behind fell slightly in October to 3.81 percent, down from 3.82 percent in September. The highest rate observed in the last 12 months was December 2009′s 4.94 percent.
The report said these continued declines were hardly a surprise, as many consumers have trimmed their credit card debt. The latest statistics from the Federal Reserve Board showed the amount of revolving credit consumers carry dropped in September to the lowest point observed since May 2005.
Chase is often one of the first of the major lenders to report its charge off and delinquency rates every month, and typically serves as a bellwether for how the rest of the industry will perform.