ADVERTISER DISCLOSURE
AcclaimVisa.com is an independent, advertising-supported web site. AcclaimVisa.com is compensated by the credit card issuers whose offers appear on our site. This compensation can impact how and where credit products appear on our site, including, for example, the order in which they may appear within product listings. AcclaimVisa.com does not offer, review or present all available credit offers.

Banks report fall in late payments and defaults

[Thursday, June 2nd, 2011]

The recent reports that have come in have revealed that five out of the six major banks that issue credit cards to consumers have reported a fall in the number of late payments and defaults. The only exception was the Bank of America that reported an increase in the number of defaults for the month of April 2011.

All the six major credit card lenders unanimously agreed that customers have become more responsible and are becoming increasingly aware of this payment and spending patterns. The fact that defaults and late payments at most banks have hit new lows stands proof to this.

The charge offs at the Bank of America which stood at 8.18% in the month of March increased to 8.25% in the month of April. Despite this raise, it was significantly lower that the default rate at the peak in August 2009 which stood at 14.53%.

The steepest fall in defaults was reported by Capital One where the rate fell to 4.97%, the least among all lenders since 2007. The default rate at American Express remained steady at 3.5%, while Citi Group Inc that reported a default rate of 4.21% in the month of March saw it fall to 3.87% in the month of April. While the late payments at Discover stood at 2.86%, it dropped to 3.15% at JP Morgan Chase.

Credit card holders are using their cards wisely and spending more carefully than ever before. Most of the customers, in an effort to repay their dues on time, are setting up the direct debit option and are trying hard to spend within their limits.

Copyright © 2006-2017
AcclaimVisa.com.
All Rights Reserved

AcclaimVisa.com is an independent, advertising-supported web site. AcclaimVisa.com is compensated by the credit card issuers whose offers appear on our site. This compensation can impact how and where credit products appear on our site, including, for example, the order in which they may appear within product listings. AcclaimVisa.com does not offer, review or present all available credit offers.

All the credit card information presented without warranty and can change. To confirm the terms and conditions click the "Apply Now!" button and review the current information on a secure credit card terms page. AcclaimVisa.com can be compensated by the credit card issuers when visitors apply for a credit card through this website.

* The acclaimvisa.com webpage is a free service and an information resource for credit cards and financial products and services available to eligible United States consumers. acclaimvisa.com does not offer any warranties and is not a direct service. There are no guarantees for approval or offers when applying for a credit card. Please refer to the application if you would like more information on each credit card. When you click "Apply" for a particular credit card, please take the time to review the terms and conditions of the product/service at the issuer's website. All logos on the acclaimvisa.com website are property of their respective owners.