Home > 2011 > Credit Cards > Late Credit Card Payments Drop to Pre-Recession Levels

Late Credit Card Payments Drop to Pre-Recession Levels

Advertiser Disclosure Comments 0 Comments

Late Credit Card Payments Drop to Pre-Recession LevelsCredit card delinquencies for the nation’s top six lenders fell to their lowest rates since the recent credit crunch hit, according to a report from The Associated Press. This was particularly the case for American Express, typically the card issuer with the best delinquency rate, which saw late payments fall to just 1.6 percent. JPMorgan Chase saw payments that were 30 days or more behind fellto 2.66 percent, the lowest rate seen since 2006. Similarly, Discover’s 2.88 percent delinquency was the best rate it has seen in more than four years.

[Feature: Credit Cards That Inspire Awesome Father’s Day Gift Ideas]

However, defaults fell as well, and once again American Express led the pack, the report said. The lender saw charged off accounts dropped to 3.2 percent in May, while Discover and Capital One rounded out the top three at 4.82 and 4.84 percent, respectively.

“It continues to paint a good picture,” Michael Dean, a managing director at Fitch Ratings, told the news service.

Continued improvements in credit card delinquencies are typically reflected in the number of defaults banks deal with several months down the line.

Comments on articles and responses to those comments are not provided or commissioned by a bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by a bank advertiser. It is not a bank advertiser's responsibility to ensure all posts and/or questions are answered.

Please note that our comments are moderated, so it may take a little time before you see them on the page. Thanks for your patience.

Certain credit cards and other financial products mentioned in this and other articles on Credit.com News & Advice may also be offered through Credit.com product pages, and Credit.com will be compensated if our users apply for and ultimately sign up for any of these cards or products. However, this relationship does not result in any preferential editorial treatment.