ABA Banking Journal
No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
SUBSCRIBE
ABA Banking Journal
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
No Result
View All Result
No Result
View All Result
ADVERTISEMENT
Home Economy

Consumer Delinquencies Rise in Q4 Ahead of Coronavirus

April 15, 2020
Reading Time: 2 mins read

Consumer delinquencies rose in the fourth quarter of 2019, mostly due to increases in auto and home-related delinquencies, according to the American Bankers Association’s Consumer Credit Delinquency Bulletin released today. The composite ratio, which tracks delinquencies in eight closed-end installment loan categories (direct and indirect auto, home equity, marine, mobile home, personal, property improvement and RV loans) rose to 2.14% of all accounts, slightly above the pre-recession average of 2.09%.

Delinquencies were up in eight of the 11 categories tracked by ABA, while falling in three. Direct auto loan delinquencies edged up to 1.19% from 1.15% the previous quarter, while indirect auto loan delinquencies rose from 2.43% to 2.56. Among the open-ended loan types tracked, home equity lines of credit delinquencies also rose from 1.07% to 1.12%, while non-revolving loan delinquencies fell. Bank card delinquencies rose 15 basis points to 3.11% of all accounts but remained well below the pre-2008-09 recession average of 4.33%.

“Credit card delinquencies remain near their lowest levels as consumers work to keep their financial obligations low relative to disposable income,” said ABA Senior Economist Rob Strand. “At the same time, lenders have maintained strong underwriting standards. In response to the coronavirus pandemic, many card issuers are supporting their customers by offering flexible bill payments as well as waiving late fees and interest.”

Strand added that the coronavirus pandemic could affect the trajectory of delinquencies in the months ahead. “COVID-19 has changed the economic outlook, and we’ll be tracking its impact over the next several quarters,” he said. “While individual circumstances will vary significantly, consumers were generally well positioned with historically low debt levels prior to the emergence of the pandemic. Our hope is that the economic disruption will be temporary, and that we’ll settle back into a normal pattern once the health crisis has passed.”

ADVERTISEMENT
Tags: ABA newsConsumer creditConsumer lendingCredit cardsDelinquencies
ShareTweetPin

Related Posts

Freddie Mac tool to warn users about possible appraisal bias

ABA DataBank: Shelter remains elevated, keeping CPI hot

Economy
June 13, 2025

When removing shelter costs from CPI calculations, underlying inflation trends appear softer and falls below the Federal Reserve's 2% inflation target.

Survey: Banks boosting cybersecurity due to AI while also investing in technology

Survey: Banks boosting cybersecurity due to AI while also investing in technology

Cybersecurity
June 13, 2025

Most U.S. banks are increasing their cybersecurity efforts because of emerging technologies such as generative artificial intelligence, and many of those same banks also list AI as a top business investment, according to a recent survey by auditing...

Senate bill would mandate discount window testing, modernization

Proposal to end Fed interest payments to banks faces pushback

Newsbytes
June 13, 2025

Senate Banking Committee Chairman Tim Scott (R-S.C.) said a proposal to prevent the Federal Reserve from paying interest to banks “is not a decision to be rushed” and must follow proper parliamentary procedure, Bloomberg Law reported.

Research roundup: ABA holds policymakers accountable with independent analyses of key banking issues

Senate passes ABA-advocated ‘trigger leads’ bill

Mortgage
June 13, 2025

The Senate granted unanimous consent to S. 1467, an ABA-advocated bill that would would prevent credit reporting agencies from selling so-called mortgage trigger leads to lenders in most circumstances.

Producer price index increased 0.5% in April

Producer Price Index increased in May

Economy
June 13, 2025

The Producer Price Index for final demand edged up 0.1% in May, seasonally adjusted, the U.S. Bureau of Labor Statistics reported. Final demand prices declined 0.2% in April and 0.1% in March.

In 90th anniversary year, Stonier graduates 182

In 90th anniversary year, Stonier graduates 182

Newsbytes
June 12, 2025

ABA Vice Chair Cathy Owen of State Holding Company in Little Rock, Arkansas, delivered the keynote address during the graduation ceremony, which saw students receive Stonier diplomas and Wharton leadership certificates.

NEWSBYTES

Proposal to end Fed interest payments to banks faces pushback

June 13, 2025

Senate passes ABA-advocated ‘trigger leads’ bill

June 13, 2025

Producer Price Index increased in May

June 13, 2025

SPONSORED CONTENT

AI Compliance and Regulation: What Financial Institutions Need to Know

Unlocking Deposit Growth: How Financial Institutions Can Activate Data for Precision Cross-Sell

June 1, 2025
Choosing the Right Account Opening Platform: 10 Key Considerations for Long-Term Success

Choosing the Right Account Opening Platform: 10 Key Considerations for Long-Term Success

April 25, 2025
Outsourcing: Getting to Go/No-Go

Outsourcing: Getting to Go/No-Go

April 5, 2025
Six Payments Trends Driving the Future of Transactions

Six Payments Trends Driving the Future of Transactions

March 15, 2025

PODCASTS

Podcast: Old National’s Jim Ryan on the things that really matter

June 12, 2025

Podcast: What bankers need to know about ‘First Amendment audits’

June 5, 2025

Podcast: Accelerating banking for quick-service restaurants

May 8, 2025
ADVERTISEMENT

American Bankers Association
1333 New Hampshire Ave NW
Washington, DC 20036
1-800-BANKERS (800-226-5377)
www.aba.com
About ABA
Privacy Policy
Contact ABA

ABA Banking Journal
About ABA Banking Journal
Media Kit
Advertising
Subscribe

© 2025 American Bankers Association. All rights reserved.

No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive

© 2025 American Bankers Association. All rights reserved.